What is reference salary in SAP PA-BN-FB - Flexible Benefits?

SAP Term: reference salary

• Component: PA-BN-FB

• Component Name: Flexible Benefits

• Description: Salary used as the basis of any calculations in Benefits Administration, when the Reference Salary is different to the Pre-Flex Salary.

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• Key Concepts: 
  Reference salary is a component of the PA-BN-FB Flexible Benefits module in SAP. It is used to define the salary of an employee for the purpose of calculating benefits. The reference salary is used to determine the amount of benefits that an employee is eligible for, such as health insurance, pension contributions, and other benefits. 
  
  How to use it: 
  The reference salary is set up in the PA-BN-FB Flexible Benefits module in SAP. It can be set up for each employee individually or for a group of employees. The reference salary can be set up as a fixed amount or as a percentage of the employee's actual salary. The reference salary can also be adjusted periodically to reflect changes in the employee's salary or other factors. 
  
  Tips & Tricks: 
  When setting up the reference salary, it is important to ensure that it accurately reflects the employee's current salary and any changes that may occur in the future. It is also important to ensure that the reference salary is updated regularly to ensure that employees are receiving the correct amount of benefits. 
  
  Related Information: 
  The PA-BN-FB Flexible Benefits module in SAP also includes other components such as benefit plans, contribution rates, and eligibility criteria. These components are used in conjunction with the reference salary to determine the amount of benefits an employee is eligible for.