Understanding Complex Retro Processing

This topic discusses:

  • Segmentation and retro

  • Retroactive deletes

  • Retroactive adds

Segmentation can affect retro processing when a segmented period is being recalculated for retro, and the segmentation dates of the original calculation don't coincide with those of the recalculation.

This is called a segment mismatch, and it affects how retro deltas are calculated.

Note: Segmentation also affects how the system manages the Retro Recalculation Option of Do Not Recalculate.

See Understanding Segmentation Setup.

Calculating Deltas in Matched and Mismatched Segments

The way that Absence Management calculates deltas varies depending on whether the segmentation dates and payment keys of the prior period match those of the recalc period.

When Segments Match

When segment dates match and payment keys are the same, the system recalculates the original segments (to determine the new values for each segment), subtracts the old value from the new value for each element of pay, and writes new results to the output tables.

When Segments Don't Match

When segments don't match, the system treats the old and new values as if they belong to separate segments.

  • The system creates reversal segments for each segment that existed in the prior calculation and then creates new recalc segments.

  • A reversal segment does not have any results.

The new recalc segments generate the new values. The new values are written to the output result tables.

Note: When the value of a payment key (for example, company ID) changes between a prior calculation and the recalculation, the system handles the situation as a segment mismatch. That is, it treats the old and new calculations as belonging to separate segments—just as if the segment dates no longer matched.

See Understanding Segmentation Setup.

A retroactive delete occurs when there is a retroactive termination, a retroactive pay group transfer, or a retroactive change in pay system. In all cases the information is received after the actual effective dates for these changes. The result is that calculations where made when they should not have been and these results must be completely reversed.

A retroactive add occurs when there is a retroactive hire or a retroactive pay group transfer. With a retroactive hire, there is no previous calculation. In the case of a retroactive pay group transfer, the retro add refers to the pay group to which the payee is transferred.