Compensation analyst tasks for bonus awards with incentive compensation

This table outlines the compensation analyst process for creating bonus awards with incentive compensation.

Note: 

For bonus awards that do not use incentive compensation, see Compensation planning and awarding process overview.

Step Task Where?
1 Define a planning rule as a bonus award. Set Up > Compensation Planning > Planning Rules
2 Attach the planning rule to a view. Set Up > Compensation Planning > Awarding Rules
3 Optional. Create the guidelines based on a performance rating. Set Up > Compensation Planning > Planning Rules
4 Optional. Create validations. Set Up > Compensation Planning > Planning Rules
5 Define a pay component as a bonus award. Set Up > Incentive Compensation > Pay Components tab
6 Define a compensation program. Set Up > Incentive Compensation > Compensation Programs tab
7

Attach the pay component to a compensation program. Include the planning rule and version.

Note: 

The planning rule must be attached before you can finalize payouts.

 Set Up > Incentive Compensation > Compensation Programs tab
8 Import the attainments; for example, business unit scores. Incentive Compensation > External Metrics
9 Calculate payouts. Incentive Compensation > Payouts > Calculate Payouts
10

Finalize the pending payouts.

Note: 

This step creates resource budget records.

 Incentive Compensation > Payouts > Maintain Payouts > Finalize Payout action
11 Review the resource budget records and make the manager compensation planning records available. Awarding > Budget Process > Resource Budgets

or

Awarding > Budget Process > Manager Budgets And Awards