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

SAP Term: commuting type

• Component: PA-GE

• Component Name: Management of Global Employees

• Description: An absence that occurred during the global assignment and that may to be taken into account for tax purposes. This is particularly relevant to the United States, where assignees who work more than 183 days are legally obliged to report their worldwide income and have it taxed in the United States if they have exceeded the above-mentioned limit. &EXAMPLE& A global employee starts his assignment in the United States on 01 Apr 2002 and it finishes on 31 Dec 2002. Within this period, he spends three months abroad for professional business trips and private holidays reasons. In this case, he does not have to report his worldwide income in the United States.

Smart SAP Assistant

• Key Concepts: 
  Commuting type is a feature of the SAP PA-GE Management of Global Employees component. It is used to define the type of commuting arrangement for an employee, such as permanent, temporary, or seasonal. This information is used to determine the employee's tax and social security obligations. 
  
  How to use it: 
  To use the commuting type feature, you must first create a commuting type in the system. This can be done by navigating to the “Commuting Type” tab in the PA-GE Management of Global Employees component. Once created, you can assign a commuting type to an employee by selecting it from a drop-down list in the employee's profile. 
  
  Tips & Tricks: 
  When creating a commuting type, make sure to enter all relevant information such as start and end dates, tax and social security obligations, and any other relevant details. This will ensure that the system is able to accurately calculate taxes and social security payments for each employee. 
  
  Related Information: 
  For more information on the PA-GE Management of Global Employees component, please refer to SAP's official documentation. Additionally, you can find more tips and tricks for using this component in various online forums and blogs.