Understanding Compensation Defaults
When you hire a worker or update a worker's Job record, the system enters default compensation information in the Job record or leaves the compensation fields blank for manual entry. The source of the default compensation depends on the way you set up salary plan defaults, the nature of the worker's job change, or both.
When you make a change to any element of a worker's Job record that affects compensation, the system resets the compensation components when you click the Default Pay Components button on the Compensation page of the Job Data component. The system does the following:
Executes rate code defaulting, excluding seniority pay, based on the current defaulting values.
You define these values when you set up rules-driven component defaulting.
Executes rate code defaulting, excluding seniority pay, based on a rate matrix.
You can associate a rate matrix when you set up rules-driven component defaulting.
Replaces manual updates in default components with the current default values.
Replaces the default values in non-updateable components with the current default values.
Recalculates any compensation-related fields on the Job record, for example, comp rate, annual, hourly, daily amounts, compa-ratio, and so on.
If you don't click the Default Pay Components button after updating any relevant Job Data fields, the system issues a warning message when you attempt to save the new record. Click Cancel and go to the Compensation page, where you can click the Default Pay Components button and make any required changes manually. If you don't click the Default Pay Components button, the compensation package is not reset until the next time the default component logic is triggered (either by clicking this button or by a batch update process).
Click the Calculate Compensation button (on the Compensation page) to have the system recalculate the worker's compensation without executing any rate code defaulting or replacing any default values. You need to recalculate if you manually added new components or updated the values on existing components of the worker's compensation record. You cannot save the record after modifying the worker's pay components without recalculating the compensation.