What is contribution target amount in SAP PA-BN - Benefits?

SAP Term: contribution target amount

• Component: PA-BN

• Component Name: Benefits

• Description: The amount of money that an employee has elected to contribute from their pay check to a benefits plan for the year.

Smart SAP Assistant

• Key Concepts: 
  Contribution target amount is a feature of the SAP Benefits (PA-BN) component. It is used to define the amount of money that an employer contributes to an employee’s benefits plan. This amount can be set as a fixed amount or as a percentage of the employee’s salary.
  
  How to use it: 
  The contribution target amount can be set up in the Benefits Administration module of SAP Benefits. The employer can define the contribution target amount for each employee, either as a fixed amount or as a percentage of the employee’s salary. The contribution target amount can also be adjusted over time, depending on changes in the employee’s salary or other factors.
  
  Tips & Tricks: 
  When setting up the contribution target amount, it is important to consider the employee’s current salary and any potential changes in the future. It is also important to consider any applicable laws or regulations that may affect the contribution target amount.
  
  Related Information: 
  For more information about setting up and managing contribution target amounts in SAP Benefits, please refer to the SAP Help documentation.