Create Terms and Conditions for Compensation Plans

You can create terms and conditions and then associate them to compensation plans. The three available text fields are Contract Text, Pay Component Description, and Optional Text.

Plan documents are created from a plan document template that includes the terms and conditions text for a plan. You can modify the optional text for an individual participant. You send plan documents to participants to review and accept their compensation plans.

Creating Terms and Conditions

To create or edit terms and conditions:

1. Sign in as an Incentive Compensation Plan Administrator.

2. Navigate to the Participant Assignments work area.

3. Click the Manage Plan Terms and Conditions task.

4. Select a business unit.

5. Give each set of terms and conditions a name and start date.

6. If compensation analysts want the ability to individualize optional text for individual participants, then select the Individualize optional text check box.

7. Select and add compensation plans to the named terms and conditions.

When you deselect Individualize optional text you see a warning if any existing compensation plan contains individualized text. If you have created more than one Terms and Conditions for a compensation plan, then the one that was active the day the participant joined the compensation plan is applied.

Compensation Plan Assignments

Another way to assign terms and conditions text to compensation plans is to open a compensation plan and go to Assignments. Use the Terms and Conditions tab to select and add one or more named terms and conditions to the open plan.

If you remove the terms and conditions from a compensation plan, then all individualized text is also removed for all participants associated with that plan. If you add the terms and conditions back to the plan, then any individualized text doesn't exist until you recreate it for individual participants.

Modifying Optional Text for a Participant

To modify the text for a participant's plan:

1. Sign in as an Incentive Compensation Analyst.

2. Navigate to Participant Snapshot.

3. Search for and select the participant.

4. Click the task Individualize Plan Terms and Conditions.

5. Select the compensation plan.

6. In the Individualize Optional Text region, make your changes to the text. To remove existing individualized text, click Reset Text.

7. Click Save.

Plan Document Templates

You set the default plan document template when you configure the plan approval parameters. You can change the plan document template when you edit a compensation plan. To add a new RTF template:

1. Navigate to Reports and Analytics.

2. Go to the folder Shared Folders/Incentive Compensation/Participant Compensation Plans.

3. Find the Participant Plan Report and click Edit.

4. Click Add New Layout.

5. Click Upload.

6. Select your modified template file.

7. Select RTF for the file type.

8. Choose the correct locale.

9. Click Upload.

10. Bounce the BI domain.