Payment data (allowances or deductions) is stored using Wage types.
There are 2 prime categories of Wage types in SAP
- Primary/Master Wage types
- Secondary/Technical Wage types
Primary Wage types are again divided into
- Dialog Wage types
- Time Wage types
Dialog Wage types :- These are Wage types that you can enter online while maintaining Master Data in your SAP system. For Ex. Basic Pay (IT0008) , Additional Payments (IT0015) , Recurring Payments/Deductions (IT0014).
Time Wage types:- Time wage types are created by the system once time evaluation is completed. They can not be maintained online and are system generated.
Ex: Paid Leave 75%
Secondary Wage types
Secondary Wage types are system generated and can not be maintained online. They are created during Payroll run. Secondary Wage types are also used as a container to accumulate several other Wage types or to store wagetype information on a temporary basis. The technical names of the secondary Wage types begin with "/"
Ex: /559 Bank Transfer