SAP Wage Types Tutorial: Primary, Secondary, Dialog, Time

Payment data (allowances or deductions) is stored using Wage types.

Wage Types in SAP

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

1. Dialog Wage types
2. 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