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OHAUA_INDEXATION_002 - Enter Consumer Price Index
CPI1466 during Backup BAL Application Log DocumentationThis documentation is copyright by SAP AG.
In this Customizing activity, you determine how the system calculates the indexation percentage that it applies to an employee’s income. You can use one of the following options:
- Enter the legally defined consumer
price index (CPI) that the State Statistics Committee of Ukraine publishes each month
The system uses the CPI to calculate the indexation amounts that it pays employees by cumulating the CPI until the CPI exceeds the threshold for calculating indexation amounts. For more information, see the Customizing activity Enter Threshold for Calculating Indexation.
- Enter a precalculated indexation percentage that you want the system to use for a given payroll period
You can enter the indexation percentage that is available in some economic publications, for example. The indexation percentage that you enter is specific to a given month, and applies to all employees who have a given base period.
If you want the system to calculate the indexation percentage by using the official CPI that the State Statistics Committee of Ukraine publishes, choose the Enter Consumer Price Index step and enter the CPI that applies to each month.
If you want to enter a precalculated indexation percentage, choose the Enter Indexation Details for Different Base Period step in this Customizing activity and carry out the following steps:
- Enter the base period to which you want the indexation percentage to apply.
- Enter the actual indexation percentage that you want the system to use in a particular month.
Assume that you want to enter a precalculated indexation percentage. You hire one employee on January 10, 2010 and one employee on March 1, 2010. In line with legislation, the base period for calculating indexation payments for both employees begins on the date on which you hire the employees.
Since the employee who started work on January 10 has been in your company for longer than the employee who started on March 1, the indexation percentage that applies to the first employee is greater than the indexation percentage that applies to the second employee.
Assume that you want to enter indexation percentages for September 2010. In the Enter Indexation Details for Different Base Period step of this Customizing activity, you enter the following data:
| Base Year | Base Month | Indexation Year | Indexation Month | Indexation Percentage |
|---|---|---|---|---|
| 2010 | January | 2010 | September | 2.1 |
| 2010 | March | 2010 | September | 1.5 |
When the system calculates indexation payments for the employees, it uses 2.1% for the employee who started in January and 1.5% for the employee who started in March.
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This documentation is copyright by SAP AG.
Length: 3764 Date: 20240606 Time: 091401 sap01-206 ( 48 ms )
