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Administrator Guide
Last Updated: 2023-09-08
Reference: Full Time Equivalent in Compensation

Reference: Full Time Equivalent in Compensation

Workday provides these Full Time Equivalent (FTE) settings that affect calculations:
Option
Configuration
Description
Use 100% FTE for Pay Range Comparisons
Edit Tenant Setup - HCM
Compensation
If selected, Workday divides part-time employee by the FTE % before comparing it to the range midpoint, minimum, maximum and segments when calculating:
  • Compa-Ratio
  • Position in Range
  • Pay Range Segment
    If one of the compensation plans assigned to an employee has the
    Use Assigned Value in 100% Calculations
    option selected, Workday uses the assigned plan amount instead of dividing the assigned amount by the FTE %.
Paid FTE
Staffing
section on
Maintain Localization Settings
If selected, Workday uses the paid FTE override on the position to prorate compensation plans or calculate 100% FTE plan values.
Apply FTE%
When creating or editing:
  • Allowance plans.
  • Unit-based Allowance Plans.
  • Amount-based Bonus plans.
  • Salary plans.
If selected on a compensation plan, Workday prorates the plan assignment amount for part-time employees based on their FTE.
When
Paid FTE
  is enabled, Workday prorates using the paid FTE override on the position. Otherwise, Workday calculates FTE by dividing
Scheduled Weekly Hours
by
Default Weekly Hours
when proposing compensation during these business processes:
  • Add Job
  • Change Job
  • Edit Position
  • Employment Agreement
  • Hire
  • Offer
  • Start International Assignment
Use Assigned Value in 100% Calculations
When creating or editing:
  • Amount-based Allowance plans.
  • Unit-based Allowance Plans.
  • Amount-based Bonus plans.
  • Salary plans.
If selected, Workday uses the assigned amount on the plan as the fixed proration value and the 100% value in calculations.
When the check box is cleared, Workday divides the assigned amount by the employee's FTE for 100% FTE calculations.
Example: You assign a worker with 50% FTE amount-based Bonus Plan A for 1,000 and amount-based Allowance Plan B for 1,000. You select the
Use Assigned Value in 100% Calculations
for Bonus Plan A and
None of the above
for Allowance Plan B.
The 100% FTE value calculated for Bonus Plan A is the assigned amount of 1,000. Workday doesn't divide this amount by the worker's FTE. The 100% FTE value calculated for Allowance Plan B is 2,000, which equals the assigned amount (1000) divided by the employee's 50% FTE (0.5): (1000/0.5 = 2000).
Workday doesn't apply this option to workers Managed by Basis Total or to calculated plans that reference plans with this option selected.
FTE Changes in Period
On the
Create Time Proration Rule
task.
If selected, Workday creates a proration segment for each event that can change the FTE% during the compensation review process period.
For percent-based bonus plans, Workday applies the FTE% to the basis to determine the merit or bonus target. For amount-based bonus plans, Workday applies the FTE% to the target award amount the employee is eligible for.
Example: You configure an amount-based bonus plan with an FTE time proration rule. Ben has an FTE change during the process period of the compensation review. Workday calculates proration segments based on Ben's FTE changes.