Forecasting Functionality
SAP SuccessFactors Variable Pay allows you to model and forecast bonus payout. This is beneficial when incentive projections/accruals are due throughout the year and for forecasting what-if scenarios. Once the program is configured, the Compensation administrator can easily change the forecasts, run the calculations, and provide a report on estimated incentive costs.
Proration of Payouts
SAP SuccessFactors Variable Pay calculates prorated incentive awards based on time in an eligible position during the plan year. This is beneficial in recognizing participation across multiple bonus plans during the performance period and/or recognizing changes in incentive targets or salary. Proration of awards can be based on assignments (multiple bonus plans) and drives pay for performance – it ties performance in each assignment to an award based on associated goals and achievements. Additionally, cost savings may be recognized through proration of incentive targets and/or salary changes throughout the year.
Budgets
SAP SuccessFactors Variable Pay offers the ability to budget and track incentive plans, which allows managers to monitor and manage spending and costs.