What is Off Cycle Payroll? SAP IT267

By : Kaelyn Flynn Kaelyn Flynn
Hours Updated

⚡ Smart Summary

Off-Cycle Payroll makes payments outside the regular payroll schedule, such as one-time bonuses, corrections, or special seasonal payments. This resource explains when to use it, the three off-cycle types in SAP, and how to run a Type A bonus.

  • 💸 Purpose: Off-cycle payroll pays employees outside the regular run, such as one-time bonuses.
  • 🗓️ Timing: The control record must be in Exit Payroll, and the run happens after the regular pay date.
  • 🅰️ Three Types: Bonus payment (Type A), correction accounting (Type B), and Christmas bonus/SAC (Type S).
  • 📝 Infotype 0267: A Type A bonus is entered in infotype 0267 with wage type, amount, date, and reason.
  • 🏦 Follow-Up: An off-cycle run still needs a bank transfer and posting to the General Ledger.
Read More

Off-Cycle Payroll in SAP HR

Off-cycle Payroll runs are used to make payments outside the regular payroll run, such as one-time bonuses. The Payroll Control Record needs to be in the Exit Payroll stage, and the off-cycle run MUST be executed after the pay date of the regular payroll run.

For example, if the current payroll period runs from 01.07.2010 to 31.07.2010, and the pay date is 20.07.2010, then you can execute off-cycle payroll runs between 21.07.2010 and the date you release the Payroll Control Record for the next payroll run.

When to Use an Off-Cycle Payroll Run

An off-cycle payroll run pays an employee outside the normal payroll schedule. You use it whenever a payment cannot wait for—or does not belong in—the next regular run.

Common situations that call for an off-cycle run include:

  • Paying a one-time bonus or incentive that is separate from monthly salary.
  • Reimbursing an approved expense claim quickly.
  • Correcting a missed payment, such as late overtime that did not reach the regular run.
  • Issuing a special seasonal payment, like a Christmas bonus, ahead of the normal cycle.
  • Making an immediate payment to an employee who is leaving the organization.

Because an off-cycle run creates its own payroll result and payment, it keeps these exceptions separate from the regular payroll history. This makes the extra payment easy to trace and audit later. The run must still follow the same downstream steps as regular payroll—bank transfer and posting to the General Ledger—so the money and accounting stay in sync.

Types of Off-Cycle Payroll Run in SAP

There are 3 main types of off-cycle payroll run in SAP:

  • Off-Cycle Bonus Payment (Type A): Considered a one-off bonus payment, it can also be used to reimburse employees for expense claims. Data is entered via infotype 0267 (Additional Off-Cycle Payments). When executing a “Start Payroll”, you need to enter the “Reason for Payroll” field according to the desired calculation type.
  • Off-Cycle Correction Accounting (Type B): Considered an adjustment run, it is used for late overtime or anything that did not make it into the regular payroll run. Data is entered just like a regular payroll run (i.e., IT2001, IT2010, IT0014, IT0015). When executing a “Start Payroll”, you need to enter the “Reason for Payroll” field with the corresponding reason type.
  • Off-Cycle Christmas Bonus Payment or SAC (Type S): Christmas Bonus (SAC) can be paid with the regular payments run (June and December) or on a special Payroll run before the regular one. Data is calculated automatically by the system, based on the payment date and the configuration in tables T511K and V_T7AR75.

How to Run an Off-Cycle Payroll (Type A)

Consider an Off-Cycle Payment of Type A.

STEP 1) Create IT267

Go to Transaction PA30.

  1. Enter a Pernr.
  2. Select Infotype 267.
  3. Click Create.

Off-Cycle Payroll Infotype 0267 Entry

Enter:

  1. Wage Type.
  2. Amount.
  3. Payment Date for the off-cycle run (the day the off-cycle payment will be credited to the employee’s bank account).
  4. Off-Cycle Reason.
  5. Click Save.

Off-Cycle Payroll Wage Type Details

STEP 2) Run Off-Cycle Payroll

In the Payroll Accounting program, enter:

  1. Payroll Area.
  2. Pernr.
  3. Off-Cycle Reason.
  4. Off-Cycle Type and Date.
  5. Payroll Schema.
  6. Click Execute.

Off-Cycle Payroll Run Selection Screen

Check the results.

Off-Cycle Payroll Result Slip

Once you have executed an off-cycle payroll run, you also need to:

  • Execute an off-cycle bank transfer.
  • Post off-cycle results to GL.

The process is similar to that of a regular payroll run in SAP.

RELATED ARTICLES

Off-Cycle vs Regular Payroll

Off-cycle and regular payroll use the same engine but serve different purposes. Understanding the differences helps you choose the right run:

  • Timing: Regular payroll runs on a fixed schedule for a whole payroll area; an off-cycle run happens on demand, after the regular pay date.
  • Scope: Regular payroll processes all employees in the area at once; an off-cycle run usually targets a single employee or a small group.
  • Trigger: Regular payroll follows the payroll calendar; an off-cycle run is triggered by a specific reason, such as a bonus or correction.
  • Data entry: Regular payroll reads standard infotypes; a Type A off-cycle bonus is entered in infotype 0267 with a payment date and reason.
  • Result: Each run still produces its own payroll result, bank transfer, and General Ledger posting.

In short, regular payroll is the scheduled backbone of pay, while off-cycle runs handle the exceptions that fall outside it.

FAQs

Infotype 0267, Additional Off-Cycle Payments, stores the details of a one-time off-cycle payment—the wage type, amount, payment date, and off-cycle reason. It is the data source SAP reads when you run a Type A off-cycle bonus.

The Reason for Payroll is a configured code that tells SAP why an off-cycle run is being made, such as bonus, correction, or leaving. It controls how the run is calculated and keeps off-cycle payments properly categorized.

Type A is a bonus or expense reimbursement entered via infotype 0267. Type B is a correction run for missed items like late overtime. Type S is the Christmas Bonus or SAC, calculated automatically from configured tables such as T511K.

The Payroll Control Record must be in Exit Payroll for the current period, and the off-cycle run must be dated after the regular pay date. This ensures the regular run is closed before the off-cycle payment is issued.

Yes. An off-cycle run creates its own payroll result but still needs an off-cycle bank transfer to pay the employee and a posting to the General Ledger so Finance records the expense. The steps mirror those of a regular payroll run.

Yes. If an off-cycle payment is wrong and not yet posted, you can delete the result with PU01 and rerun. If it is already posted to Finance, reverse the posting first, then correct and reprocess.

AI can track pending off-cycle requests, check that the control record is in the right stage, and flag duplicate or unusual bonus amounts. It streamlines coordination, though the actual run is still executed in SAP.

AI and Copilot assistants can suggest when an off-cycle run is appropriate—for example, an approved bonus or a missed payment that cannot wait for the next cycle. The payroll team should confirm the reason and eligibility before running it.

Summarize this post with: