What is total package scheme in SAP PA-BN-FB - Flexible Benefits?

SAP Term: total package scheme

• Component: PA-BN-FB

• Component Name: Flexible Benefits

• Description: Benefits scheme that gives total control of the package format to the employee. Employees are given complete flexibility to model their package to suit their lifestyle and their risk tolerance level. The exception to this would be any legal constraints, for example, a requirement in law that every employee must be given at least 20 days holiday per year including public holidays. An organization offers the employee a value of money which is the total value of their package, and from this is deducted the cost of any legally-binding benefits. The remaining value can be modeled however the employee chooses. For example, an employee could take the remainder of the package value as salary, or alternatively, further benefits can be chosen and less salary is paid as a result. The benefit choices made are entirely at the discretion of the employee and an organization places no limits on any combination, apart from legal restrictions.

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• Key Concepts: 
  Total package scheme is a component of the SAP PA-BN-FB Flexible Benefits module. It allows employers to offer their employees a range of benefits, such as health insurance, pension plans, and other perks, as part of their overall compensation package. The total package scheme allows employers to customize the benefits they offer to their employees, based on their individual needs and preferences. 
  
  How to use it: 
  The total package scheme can be used to create a comprehensive benefits package for employees. Employers can select from a range of benefits, such as health insurance, pension plans, and other perks. They can also customize the benefits they offer to their employees, based on their individual needs and preferences. Once the total package scheme is set up, employers can manage and monitor the benefits they offer to their employees. 
  
  Tips & Tricks: 
  When setting up the total package scheme, employers should consider the needs and preferences of their employees. They should also ensure that the benefits they offer are competitive and attractive to potential employees. Additionally, employers should regularly review and update their total package scheme to ensure that it remains relevant and up-to-date. 
  
  Related Information: 
  For more information about the SAP PA-BN-FB Flexible Benefits module and the total package scheme component, please refer to the official SAP documentation. Additionally, there are several online resources available that provide detailed information about setting up and managing a total package scheme in SAP.