Lump sum pay type for a Pay Band Increase

What is the Lump Sum Pay Type used for on a Pay Band Increase?

What is the purpose for Lump Sum Pay Type for Projection Pay Band Change?

• Enterprise ERP

• Pay Band Increase

• Pay Band Changes

• Salary and Benefit Projections

The Lump Sum Pay Type is used when and employee is at the maximum amount as defined on the pay band, but is supposed to receive a salary increase. Instead of skipping the employee, the system will max out the employee as defined on the pay band and will calculate the additional amount and pay it as a lump sum to the employee based on the Pay Dates you define. This makes it easier to take the additional lump sum and pay it as a single lump sum under a specified pay code.

• Make sure that you have a pay code set up with calc code 60 in the Pay Master program that can be used for this type of Lump Sum Payment. 

• Through this process, the system will automatically add the lump sum pay code to the employee’s Employee Job/Salary record for you from within the Mass Salary Change program. There is no need to get out of the program to do it separately.