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Administrator Guide
Last Updated: 2024-09-20
Create Commission Plans

Create Commission Plans

  • Set up compensation components and grades.
  • Security:
    Set Up: Commissions
     domain in the Core Compensation functional area.
Create or update a commission plan that you can then assign to eligible employees. Example:
  • Field Sales Commission
  • Inside Sales Commission
  1. Access the
    Create Commission Plan
     task.
  2. Select either
    Amount Based Plan
     or
    Percent Based Plan
    .
  3. In the
    Details
     section, select the
    Inactive
     check box if the plan isn't available for use.
    Processes already using this plan complete normally.
  4. In the
    Commission Defaults
     section, consider:
    Option Description
    Compensation Element
    Select the element mapped to a payroll earning you want associated with this plan.
    Compensation elements store the earnings associated with compensation.
    If you select a compensation element designated as base pay, then Workday includes the plan's compensation in the employee's base pay calculation.
    Amount
    Workday uses this amount if it can't find another target value for the employee.
    Percent
    You can use percent-based commission plans as part of an on target earnings structure that sets commission target as a percentage of a compensation basis.
    You can't include percent-based commission plans in compensation review processes.
    Currency
    Enables you to manage a commission plan in a single currency, but still accommodate employees with various currencies.
  5. In the
    Plan Eligibility
     section, select 1 or more eligibility rules.
  6. In the
    Draw Defaults
     section, the information you enter is for informational purposes and passing to a third-party commission application.
  7. Complete the
    Commission Plan Profiles
     section:
    If you're defining the plan to have multiple targets, the plan profiles section enables you to associate different targets for different eligibility rules. Example: you can set up 1 profile where the target for individual contributors is 500 USD and another where the target for directors is 1000 USD.
  • Assign (roll out) the plan to employees on the
    Rollout Compensation Plans to Employees
     task.
  • Add the plan to a compensation package on the
    Create Compensation Package
     task.
    Access these reports:
    Commission Plan
    ,
    Commission Plans
    , and
    View Commission Plan Usage
    .
  • Access the
    Edit Commission Plan
     task.
    You can update default values only for plans not yet assigned to employees. You can, however, update the
    Compensation Element
     field regardless if the plan is assigned or not.
  • Adjust default values for assigned plans on the
    Set Up Commission Plan Adjustment
     task.
  • Hide the compensation plan type from specified groups of workers using the
    Worker Data: Compensation Plan Type
     domain in the Core Compensation functional area.