Defining budget calculations for planning rules

Select the eligibility group for this calculation. A single planning rule can have different calculation options for different groups of employees.

• If you use multiple currencies in your organization, and you use the Flat Rate calculation option, you must define eligibility groups by currency.

• When you define group criteria, ensure that a resource work assignment only qualifies for one group.

• If you do not select an eligibility group, the calculations will pertain to all resources in the Calculate Budgets eligibility group that do not belong to another eligibility group for which there are calculations rules.

• Select Percent Of Base Salary to resource awarding budgets based on the percent of the resources' base salary that you specify in the Percent field.

• Select Percent Of Salary Range to create budgets based on the percent of the resources' salary range and the salary range point that you specify in the Percent and Salary Range Point fields.

• Select Flat Rate to create budgets based on a flat amount specified in the Flat Rate field.

• Select Adjust To Salary Range Minimum for a market adjustment planning rule.

• Select Zero Budget to create resource awarding records with 0 budgeted amounts and percents.

  Whether a manager can award amounts for these resources depends on the validations and rules defined for the planning rule. If managers are not allowed to change zero awards, the resources' salaries will remain the same and they will not impact the overall budget.

  If you select this option, leave the remaining fields blank.

If you select Percent Of Base Salary or Percent of Salary Range in the Option field, specify a percent for the calculation.

If you select Percent of Salary Range in the Option field, specify whether the salary should be based on the midpoint, maximum, or compa ratio zone.

If you select Flat Rate in the Option field, specify the amount or number of units to be budgeted.

• If you select Flat Rate for a Salary or Bonus planning rule, specify the currency amount.

• If you select Flat Rate for an Equity planning rule and the equity award option is Amount, specify the currency amount.

• If you select Flat Rate for an Equity planning rule and the equity award option is Units, specify the number of units.

This field is required for Equity planning rule if the equity award option is Units and you selected Percent Of Base Salary or Percent Of Salary Range as the calculation option.

Select Salary Range Maximum (optional). The Limit Option field is available when the Award Type is set to Salary on Salary Planning Rule and can be specified when Calculation Options are either Percent of Base Salary, Percent of Salary Range, or Flat Rate. When Salary Range Maximum is set, the Calculate Budgets action enforces the limit of salary range maximum.

To prorate new resources based on their Start Date and existing resources based on the date when they received an off-cycle increase (or other change to their work assignment such as promotion, transfer, or rehire, with or without salary increase) within the review period, select Prorate in this field. If you select No Prorate, you can leave all of the fields in the Prorate sections blank.

See Prorating in compensation planning.

If you selected Prorate, select whether the proration should be calculated in months or days.

Specify only if you selected to prorate in months.

Select After to count the number of months to prorate starting with the first of the month that follows the work assignment creation or change.

Select Before to count the number of months to prorate starting with the first of the month that precedes the work assignment creation or change.

Specify the period over which the proration will occur, which is the year before the version date. For example, if the version date is 04/01/2019, the proration period is 04/01/2018 through 03/31/2019.

To prorate the awards for resources who received an off-cycle salary increase during the review period, specify the reason codes for which to prorate assignments. These should correspond to reason codes for off-cycle salary increases such as promotion, mid-year merit increase, and rehire.

To prorate new hires based on their start date, specify the range of dates for which the system should pull new work assignments. The budget calculations will use the effective date of the work assignment creation.