Creating Payroll-Relevant Employee Master Data


After completing this lesson, you will be able to:

  • Create payroll-relevant Employee Master Data with transaction PA40 when following personnel processes

Personnel Pocesses

In this lesson, we’ll be focusing on personnel processes that can be created using transaction PA40. In particular, we will look at how to use PA40 to add a newly hired employee into the payroll system.

Hire an employee

A hiring action consists of a series of standard infotypes that are required for any country.

By using transaction PA40, it is possible to bring infotypes that need to be maintained in a customer and country-specific sequence. This sequence of infotypes ensures that all information associated with personnel action is stored as data in the system.

Some infotypes, such as tax data, are country-specific. If you set the user parameters for a particular country (such as 01 for Germany or 10 for the USA), the system accesses the appropriate personnel actions, which include all the relevant country-specific infotypes.

Hire an Employee

Business example

You need to hire a new buyer to join the purchasing department of your enterprise. Hire this new employee to be paid on a monthly basis.


Before you proceed with each exercise, you need to enter the name of the transaction code. The transaction is usually added to the Favorites folder. The opening step of this exercise will show you how to do this correctly.

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