How to Set the Payroll Component Relevancy to an Employee

Setting the payroll component relevancy for an employee ensures that only the applicable payroll components are included in salary calculations. By marking a payroll component as Relevant, it will be automatically factored into payroll processing based on the configured formulas. Conversely, setting a component as Not Relevant excludes it from calculations.

Follow the steps below to assign payroll components to an employee and ensure accurate payroll processing.

Once the payroll component relevancy is set, the selected components will be applied to the employee’s payroll calculations. Any changes made are recorded in the Activity Log for tracking and audit purposes. If needed, you can modify the settings at any time to accommodate updates in payroll policies or employee contracts. By correctly managing payroll component relevancy, you can ensure accurate and efficient payroll processing.