Set up compensation grids

Note

We will not be accepting edits to this topic, because it is generated from a business process in Lifecycle Services.

Compensation grids are used to define and maintain the pay structures for fixed compensation plans. Compensation grids can be shared between multiple plans or copied when creating a new compensation plan. Before creating a compensation grid, Levels and Reference points must be set up. This example will create a new Grade type of compensation grid using demo data for the Levels and Reference points. The demo data company used to create this procedure is USMF.

Set up information about the compensation grid

  1. Go to Human resources > Compensation > Fixed compensation > Compensation grids.
  2. Click New.
  3. In the Grid field, type a value.
  4. In the Description field, type a value.
  5. In the Type field, select an option.
  6. In the Reference setup field, enter or select a value.
  7. In the Currency field, enter or select a value.
  8. In the Currency field, type a value.
  9. In the Effective date field, enter a date.

Add levels to the compensation structure

  1. Click Compensation structure.
  2. In the list, mark the selected row.
  3. In the Level field, enter or select a value.
  4. Click New.
  5. In the list, mark the selected row.
  6. In the Level field, enter or select a value.
  7. Click New.
  8. In the list, mark the selected row.
  9. In the Level field, enter or select a value.
  10. Click New.
  11. In the list, mark the selected row.
  12. In the Level field, enter or select a value.
  13. Click New.
  14. In the list, mark the selected row.
  15. In the Level field, enter or select a value.

Fill in the compensation structure with values

  1. In the list, mark the selected row.
    • At this point, compensation values can manually be entered into each field in the table, or the Mass change functionality can be used to easily fill in multiple fields and perform basic calculations.
  2. Click Mass change.
    • For this grid, we'll first apply the value for the midpoint of the first level's to all the fields in the table. This will be the basis for the compensation matrix.
  3. In the Adjustment type field, select an option.
  4. In the Adjustment amount field, enter a number.
  5. In the list, mark or unmark all rows.
  6. Click Apply to grid.
    • Now we'll use the mass change function to increment the amounts in each subsequent level by a certain percentage or amount. In this example, each grade will have a 12.5% spread between their midpoints.
  7. In the Adjustment type field, select an option.
  8. In the Adjustment amount field, enter a number.
  9. In the list, find and select the desired record.
  10. In the list, find and select the desired record.
  11. In the list, find and select the desired record.
  12. In the list, find and select the desired record.
  13. Click Apply to grid.
  14. In the list, find and select the desired record.
  15. In the list, find and select the desired record.
  16. In the list, find and select the desired record.
  17. Click Apply to grid.
  18. In the list, find and select the desired record.
  19. In the list, find and select the desired record.
  20. Click Apply to grid.
  21. In the list, find and select the desired record.
  22. Click Apply to grid.
    • Now we'll use the mass change function to adjust the Minimum and Maximum reference points for each level. This example will use a 50% spread so the Minimum reference point will be adjusted -20% and the Maximum will be adjusted +20%.
  23. In the Adjustment amount field, enter a number.
  24. In the Reference point field, enter or select a value.
  25. In the list, mark or unmark all rows.
  26. Click Apply to grid.
  27. In the Adjustment amount field, enter a number.
  28. In the Reference point field, enter or select a value.
  29. In the list, mark or unmark all rows.
  30. Click Apply to grid.