What is allowance in SAP PA-GE - Management of Global Employees?

SAP Term: allowance

• Component: PA-GE

• Component Name: Management of Global Employees

• Description: A part of remuneration that serves as compensation for the special working conditions of expatriates or employees on extended business trips. Special conditions could include: Working in a country with a higher cost of living than in the employee's home country Working unusual hours Working in exceptional conditions such as extreme heat or cold Working in a country that is at war

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• Key Concepts: 
  Allowance is a type of compensation that is provided to employees in addition to their regular salary. It is typically used to cover expenses related to travel, housing, and other costs associated with working abroad. In the SAP system, allowance is managed through the PA-GE Management of Global Employees component. 
  
  How to use it: 
  The PA-GE Management of Global Employees component allows users to set up and manage allowances for employees. This includes setting up allowance types, setting up allowance rules, and assigning allowances to employees. The component also allows users to track and report on allowances that have been paid out. 
  
  Tips & Tricks: 
  When setting up allowance rules, it is important to consider the different types of allowances that may be needed for different employees. For example, some employees may need a housing allowance while others may need a travel allowance. It is also important to consider the different tax implications of each type of allowance. 
  
  Related Information: 
  For more information on the PA-GE Management of Global Employees component, please refer to the SAP Help Portal or contact your local SAP representative.