Requirements

Before creating compensation budgets, perform these tasks:

Ensure that an Administrator created the salary grades and other compensation expenses (benefits, additional earnings and so on) you use to specify employee and position compensation details. See Setting Up Compensation Budgets.
Perform these tasks to ensure that you can select the correct budget year, scenario, and version in the Point of View (POV) bar:
- Select File, then Preferences, and then Planning.
- Select User Variables.
- Select the year, scenario, and version members and click OK.
Review the order in which to specify compensation details. See Recommended Task Flow.

Review the compensation expense data that you can define or change:

Table 24. Compensation Expense Modifications

Expense	Modification Options or Information
Salary	Select and apply different grades or grade steps Specify when salary changes are effective (for example, on an employee's one year hire date anniversary) Note: If an Administrator enabled Allow Value Change for the salary grade, you can also adjust salary values. If however, you cannot modify salary values because this option was not enabled, or if the salary grade steps, sequences, and rates that you must use are unavailable, have an administrator modify or define new salary grades.
Hourly Employees and Overtime	Overtime is calculated only for hourly, nonexempt employees, budgeted separately from salary, and paid at a higher rate (typically 1.5 times or two times the hourly rate). Create overtime as an additional earning element. See Defining Overtime. Working hours can vary across budget periods for hourly-paid employees, and their pay rate is effective-dated. Administrator can define spread patterns for hourly-paid workers (for example, to budget their wages based on the number of work hours per month).
Additional Earnings	Modifying additional earnings can affect other calculations such as those deriving effective dating and percent of gross pay. For example, assume the following: You schedule a bonus of $10,000 for an employee in the second quarter Additional pay is added to gross pay 6.2% tax calculation must include the bonus and must apply only to the second quarter The second quarter would show higher compensation expenses, due to both the bonus and additional taxes resulting from the gross pay increase.

Expense

Modification Options or Information

Salary

Select and apply different grades or grade steps
Specify when salary changes are effective (for example, on an employee's one year hire date anniversary)

Note:

If an Administrator enabled Allow Value Change for the salary grade, you can also adjust salary values. If however, you cannot modify salary values because this option was not enabled, or if the salary grade steps, sequences, and rates that you must use are unavailable, have an administrator modify or define new salary grades.

Hourly Employees and Overtime

Overtime is calculated only for hourly, nonexempt employees, budgeted separately from salary, and paid at a higher rate (typically 1.5 times or two times the hourly rate). Create overtime as an additional earning element. See Defining Overtime.

Working hours can vary across budget periods for hourly-paid employees, and their pay rate is effective-dated. Administrator can define spread patterns for hourly-paid workers (for example, to budget their wages based on the number of work hours per month).

Additional Earnings

Modifying additional earnings can affect other calculations such as those deriving effective dating and percent of gross pay. For example, assume the following:

You schedule a bonus of $10,000 for an employee in the second quarter
Additional pay is added to gross pay
6.2% tax calculation must include the bonus and must apply only to the second quarter

The second quarter would show higher compensation expenses, due to both the bonus and additional taxes resulting from the gross pay increase.

Optional: Extend the business rule default timeout as described in Oracle Hyperion Planning Administrator's Guide. This is useful because some of the business rules you run may display errors indicating that processing has exceeded the allowed limit. In addition to increasing the default timeout, select Administration and then Job Console to view the status of business rules.