How To Fix 3E026 - The sum of Tax Percentage & and Student Loan Percentage & exceeds 100.00%

SAP Error Message - Details

• Message type: E = Error

• Message class: 3E - Vorgesehen für neue Länderentwicklungen HR

• Message number: 026

• Message text: The sum of Tax Percentage & and Student Loan Percentage & exceeds 100.00%

What causes this issue?

You entered a tax percentage and student loan percentage whose combined
value exceeds 100%.

System Response

This is not allowed.

How to fix this error?

Adjust the values in the <LS>Tax percentage</> and <LS>Student loan
percentage</> fields so that the combined value does not exceed 100%.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 3E026 - The sum of Tax Percentage & and Student Loan Percentage & exceeds 100.00% ?

  The SAP error message 3E026 indicates that the combined percentage of tax and student loan deductions exceeds 100%. This typically occurs during payroll processing when the system calculates deductions for an employee's salary.
  Cause:
  
  Incorrect Configuration: The tax percentage and student loan percentage may have been incorrectly configured in the payroll settings.
  Data Entry Error: There may be a manual entry error in the employee's master data or payroll data, leading to an incorrect total percentage.
  Multiple Deductions: An employee may have multiple deductions that, when summed, exceed the allowable limit.
  
  Solution:
  
  Review Employee Master Data: Check the employee's master data for any incorrect entries related to tax and student loan percentages. Ensure that the values entered are correct and within the allowable limits.
  Check Payroll Configuration: Review the payroll configuration settings for tax and student loan deductions. Ensure that the percentages are set correctly and do not exceed the maximum allowable limits.
  Adjust Deductions: If the combined deductions exceed 100%, you may need to adjust one or both of the percentages to ensure they total 100% or less.
  Consult Payroll Policies: Verify the organization's payroll policies regarding tax and student loan deductions to ensure compliance with legal and regulatory requirements.
  Run Payroll Simulation: Before processing payroll, run a simulation to identify any potential issues with deductions.
  
  Related Information:
  
  SAP Notes: Check SAP Notes for any known issues or updates related to this error message. SAP frequently releases notes that may provide additional context or solutions.
  Documentation: Refer to SAP documentation for payroll configuration to understand how to set up tax and student loan deductions correctly.
  Support: If the issue persists after checking configurations and data, consider reaching out to SAP support or your internal SAP team for further assistance.
  
  By addressing the underlying cause of the error, you can resolve the issue and ensure that payroll processing runs smoothly.