What is target pay in SAP LOD-SF-EC - Employee Central?

SAP Term: target pay

• Component: LOD-SF-EC

• Component Name: Employee Central

• Description: A type of compensation paid to an employee based on individual or company performance.

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• Key Concepts: 
  Target pay is a feature of SAP’s Employee Central module that allows employers to set a target salary for each employee. This target salary is used to track the employee’s progress towards their desired salary level. It also serves as a benchmark for performance-based pay increases.
  
  How to Use It: 
  Target pay can be set up in Employee Central by entering the target salary for each employee. This target salary can be adjusted at any time, and it will be used to track the employee’s progress towards their desired salary level. The target pay feature also allows employers to set up performance-based pay increases, which are based on the employee’s performance relative to their target salary.
  
  Tips & Tricks: 
  When setting up target pay, it is important to ensure that the target salaries are realistic and achievable. It is also important to ensure that the performance-based pay increases are fair and equitable. Finally, it is important to regularly review and adjust the target salaries as needed in order to ensure that they remain relevant and up-to-date.
  
  Related Information: 
  For more information on setting up and using target pay in Employee Central, please refer to SAP’s documentation on the topic. Additionally, there are several online resources available that provide tips and best practices for setting up and using target pay in Employee Central.