What is retroactive accounting in SAP (PY - Payroll)?

SAP Term: retroactive accounting

• Component: PY

• Component Name: Payroll

• Description: A payroll run is repeated for a period for which payroll accounting has already been performed in the payroll past. Retroactive accounting is triggered during the payroll run for the current period if certain master and time data affecting the payroll past has been changed in the meantime. Only changes to master and time data are relevant for retroactive accounting since previous payroll results must be corrected. A retroactive accounting limit can be set for the whole company and/or for just one employee.

Smart SAP Assistant

• Key Concepts: 
  Retroactive accounting is a feature of SAP Payroll (PY) that allows for the adjustment of payroll results after the payroll run has been completed. This feature allows for corrections to be made to payroll results due to changes in employee data, such as salary or tax information. It also allows for corrections to be made to payroll results due to changes in the payroll rules or regulations. 
  
  How to use it: 
  Retroactive accounting can be used in SAP Payroll (PY) by running a retroactive accounting report. This report will list all of the changes that need to be made to the payroll results and will provide the necessary information for making those changes. Once the changes have been made, the payroll results can be updated and the retroactive accounting report can be re-run to ensure that all of the changes have been applied correctly. 
  
  Tips & Tricks: 
  When using retroactive accounting in SAP Payroll (PY), it is important to ensure that all of the necessary information is included in the report. This includes employee data, such as salary or tax information, as well as any changes in payroll rules or regulations. Additionally, it is important to ensure that all of the changes are applied correctly and that any discrepancies are addressed before the payroll run is completed. 
  
  Related Information: 
  For more information on retroactive accounting in SAP Payroll (PY), please refer to the official SAP documentation on retroactive accounting. Additionally, there are many online resources available that provide detailed instructions on how to use this feature in SAP Payroll (PY).