How To Fix 5Z725 - &1: Pension cession due to change of residence

SAP Error Message - Details

• Message type: E = Error

• Message class: 5Z - IS-HR/PSG Public Sector Payroll - Germany

• Message number: 725

• Message text: &1: Pension cession due to change of residence

Self-Explanatory Message

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Smart SAP Assistant

• What is the cause and solution for SAP error message 5Z725 - &1: Pension cession due to change of residence ?

  The SAP error message 5Z725, which states "Pension cession due to change of residence," typically relates to issues in the payroll or benefits module, particularly concerning pension contributions when an employee changes their residence. This error can arise in various scenarios, such as when an employee moves to a different region or country, which may affect their pension contributions or eligibility.
  Cause:
  
  Change of Residence: The primary cause of this error is the change in the employee's residence, which may lead to different tax implications or pension regulations.
  Incorrect Data Entry: There may be incorrect or incomplete data in the employee's master data, such as the new address or residence status.
  Configuration Issues: The system may not be properly configured to handle pension contributions for the new residence, especially if it involves different legal or tax jurisdictions.
  Pension Plan Rules: The pension plan rules may not accommodate the new residence, leading to a cession (cessation) of pension contributions.
  
  Solution:
  
  Verify Employee Data: Check the employee's master data for accuracy, particularly the address and residence status. Ensure that all relevant fields are filled out correctly.
  Update Residence Information: If the employee has moved, ensure that the new residence information is updated in the system.
  Review Pension Configuration: Consult with your SAP HR or payroll administrator to review the configuration settings for pension contributions related to the new residence. Ensure that the system is set up to handle the pension rules applicable to the new location.
  Consult Legal Guidelines: If the change of residence involves moving to a different country or region, consult the legal guidelines regarding pension contributions in that area to ensure compliance.
  Run Payroll Simulation: After making the necessary updates, run a payroll simulation to check if the error persists. This can help identify if the changes have resolved the issue.
  
  Related Information:
  
  SAP Notes: Check SAP Notes for any specific patches or updates related to this error message. SAP frequently releases updates that may address known issues.
  Documentation: Review SAP documentation related to payroll processing and pension contributions for specific guidelines on handling changes in residence.
  Support: If the issue persists after following the above steps, consider reaching out to SAP support or your internal IT department for further assistance.
  
  By addressing the underlying causes and ensuring that all relevant data is accurate and up-to-date, you should be able to resolve the error message 5Z725 effectively.