Create Compensation Rounding Rules

Security: Set Up: Merit and Bonus
domain in the Advanced Compensation functional area.

You can create rounding rules for compensation plans or a compensation basis.

You can add a rounding rule to salary plans, but only when you've selected the

Apply FTE%

option and the worker's FTE % isn't 100 percent. Using a rounding rule on salary plans eliminates any need to round salary plan values with an integration and maintains consistency between Compensation and Payroll. See: Steps: Set Up Salary Plans.

You can apply a rounding rule to allowance plans, but only when you’ve selected a

Percent Based Allowance Plan

and a ceiling is not also configured on the plan. Using a rounding rule on allowance plans eliminates any need to round allowance plan values with an integration and maintains consistency between Compensation and Payroll. Workday uses the pay range frequency to calculate the rounded compensation amount in Workday and payroll calculations.

Workday rounds merit and bonus award amounts during compensation review processes according to the rounding rules on the plans, if configured. See: Steps: Set Up Merit Plans, Steps: Set Up Bonus Plans, FAQ: Rounding and Precision in Compensation Review Calculations .

For stock awards, Workday reads the amount- or percent-based stock plans, if configured with rounding rules, and displays the amount or percent, but doesn't determine the final number of stock units in whole numbers until the grant is updated with a strike price. See: Steps: Manage Stock Plans and Grants.

You can, however, configure compensation calculation tables that round stock awards by number, percent, or amount to whole numbers of stock units. Example:

Create a calculation in the Compensation
category that rounds values.

Select the Custom Calculation Stock Numeric
field for the

Input

column.

On your grid configuration, add Custom Calculation Stock Numeric
as an editable field to the Stock section.

Workday rounds the stock award values you enter during the compensation review.

See: Steps: Manage Custom Calculations for Compensation Reviews.

For compensation bases managed by a compensation basis total, Workday applies the rounding rule to the assignment amounts for all future compensation transactions. Steps: Manage Compensation Basis.

Access the

Create Compensation Rounding Rule

task.

Select the

Rounding Option

Optie	Omschrijving
Round	Examples: 1.4 rounds down to 1.0. 1.5 rounds up to 2.0.
Round down	Examples: Both 1.4 and 1.7 round down to 1.0.
Round half down	Examples: Both 1.4 and 1.5 round down to 1.0. 1.6 rounds up to 2.0.
Round up	Examples: Both 1.4 and 1.7 round up to 2.0.

Select 1:

Optie	Omschrijving
Round to Currency Precision	Use the standard decimal precision for the currency.
Round to Nearest	Enter the number to which the rule resolves. Examples: With Round selected, entering 1 for Round to Nearest rounds 7.20 to 7 and 7.80 to 8. With Round Up selected, entering 10 rounds 7 to 10 and 14 to 20. With Round down selected, entering 10 rounds 7 to 0 (zero) and 14 to 10.

(Optional) Add 1 or more

Compensation Rounding Rule Profiles

For each profile, select an eligibility rule.

Example: Some of your overseas offices have regulatory requirements to round pay to whole numbers. Workday provides tools to help you become compliant. You can configure 1 profile for each country that requires rounding to whole numbers, and select an eligibility rule based on locale. Workday rounds pay to whole numbers for those employees in those locales. Workday uses the default rounding rule for those employees in other locales.

The effect of different rounding methods associated with compensation plans can have a cumulative effect on merit or bonus pool totals. Pool totals might differ from the sum of award amounts due to rounding of the individual amounts or the use of different rounding methods.

Access the

View Compensation Rounding Rule

report and select the related action off a rule to see an example.