What is employee savings bonus in SAP PY-DE - Germany?

SAP Term: employee savings bonus

• Component: PY-DE

• Component Name: Germany

• Description: In , the employee savings bonus is paid by the state to people who are in direct paid employment that is, people who are not self-employed if the employer makes capital formation savings payments to the employee and the employee's taxable annual earnings do not exceed a specified amount. The savings bonus is calculated on the basis of the savings amount with corresponding assessment thresholds multiplied by a fixed percentage. Employers used to pay the employee savings bonus on a monthly basis and were then refunded the money by the tax office. As of January 1990, the savings bonus is calculated by the tax office and paid to the employee once a year as part of the annual employment tax declaration.

Smart SAP Assistant

• Key Concepts: 
  Employee savings bonus is a feature of the PY-DE Germany component of SAP. It allows employers to provide their employees with a bonus for saving money. The bonus is calculated based on the amount of money saved by the employee and can be paid out in cash or in kind. 
  
  How to use it: 
  Employers can set up employee savings bonus plans in the PY-DE Germany component of SAP. They can specify the amount of money that employees must save in order to receive the bonus, as well as the type of bonus they will receive (cash or in kind). Employers can also set up rules for how often the bonus will be paid out and how long it will last. 
  
  Tips & Tricks: 
  Employers should consider offering incentives for employees who save more than the required amount, such as additional bonuses or rewards. This can help encourage employees to save more and make the most of their employee savings bonus plan. 
  
  Related Information: 
  The PY-DE Germany component of SAP also includes features such as pension plans, health insurance, and other benefits. Employers should consider these features when setting up their employee savings bonus plan to ensure that their employees are receiving all of the benefits they are entitled to.