Adjust Budgets - Decrease Budgets Use Cases
Use Case 1
A compensation task is configured with the following compensation plan budgets:
- Percentage of Base Budget = 10%
- Overage Allowance = 10%
- Employee 1 Salary (Default) = $60,000
- Employee 2 Salary (Texas) = $50,000
- Employee 3 Salary (Texas) = $50,000
- Employee 4 Salary (Default) = $40,000
- Merit Increase - Default Budget = $10,000
- Merit Increase - Texas Budget = $10,000
The following allocation totals are made within the compensation task:
- Merit Increase - Default = $11,000
- Merit Increase - Texas = $10,000
The administrator adjusts budgets for the compensation task and sees the following information:
- Merit Increase - Default:
- Original Budget = $10,000.00
- Difference = $0.00
- Current Budget = $10,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = $0.00
- Current Budget = $10,000.00
The administrator adjusts the budget to the following:
- Merit Increase - Default:
- Original Budget = $10,000.00
- Difference = -$2,000.00 (red)
- Current Budget = $8,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
The administrator saves the adjustments, and a warning pop-up is displayed to indicate that the compensation manager's Merit Increase - Default component allocations exceed the updated budget allowances (new budget plus 10% overage allowance). The administrator clicks the button within the pop-up. The compensation manager's compensation plan allocations are reset and the new budgets are reflected in the compensation plan.
- Merit Increase - Default = $8,000
- Merit Increase - Texas = $9,500
The Modification History section within the Adjust Budgets pop-up displays the details of the two budget modifications.
Use Case 2
A compensation task is configured with the following compensation plan budgets:
- Percentage of Base Budget = 10%
- Overage Allowance = 10%
- Employee 1 Salary (Default) = $60,000
- Employee 2 Salary (Texas) = $50,000
- Employee 3 Salary (Texas) = $50,000
- Employee 4 Salary (Default) = $40,000
- Merit Increase - Default Budget = $10,000
- Merit Increase - Texas Budget = $10,000
The following allocation totals are made within the compensation task:
- Merit Increase - Default = $11,000
- Merit Increase - Texas = $10,000
The administrator adjusts budgets for the compensation task and sees the following information:
- Merit Increase - Default:
- Original Budget = $10,000.00
- Difference = $0.00
- Current Budget = $10,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = $0.00
- Current Budget = $10,000.00
The administrator adjusts the budget to the following:
- Merit Increase - Default:
- Original Budget = $10,000.00
- Difference = -$5,000.00 (red)
- Current Budget = $5,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
The administrator saves the adjustments, and a warning pop-up is displayed to indicate that the compensation manager's Merit Increase - Default component allocations exceed the updated budget allowances (new budget plus 10% overage allowance). The administrator clicks the button within the pop-up. The compensation manager's compensation plan allocations are reset and the new budgets are reflected in the compensation plan.
- Merit Increase - Default = $5,000
- Merit Increase - Texas = $9,500
Employee 1 is moved to a new team and is no longer included in the compensation plan. Because the budgets are determined by percentage of base salary, the original Default budget is decreased by the employee's default budget allocation (10% of $60,000), which makes the original Default budget $4,000 ($10,000 - $6,000). The previous budget reduction of $5,000 still applies to the Default budget. The following new budgets are automatically implemented for the compensation plan:
- Merit Increase - Default:
- Original Budget = $4,000.00
- Difference = -$5,000.00 (red)
- Current Budget = $0.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
A new employee, Employee 5, is moved to the team and is included in the Default budget for the compensation plan. Employee 5's salary is $80,000. Because the budgets are determined by percentage of base salary, the Default budget is increased by the employee's default budget allocation (10% of $80,000), which makes the original Default budget $12,000 ($4,000 + $8,000). The following new budgets are automatically implemented for the compensation plan:
- Merit Increase - Default:
- Original Budget = $12,000.00
- Difference = -$5,000.00 (red)
- Current Budget = $7,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
The Modification History section within the Adjust Budgets pop-up displays the details of the two budget modifications.
Use Case 3
A compensation task is configured with the following compensation plan budgets:
- Percentage of Base Budget = 10%
- Overage Allowance = 10%
- Employee 1 Salary (Default) = $60,000
- Employee 2 Salary (Texas) = $50,000
- Employee 3 Salary (Texas) = $50,000
- Employee 4 Salary (Default) = $40,000
- Merit Increase - Default Budget = $10,000
- Merit Increase - Texas Budget = $10,000
The following allocation totals are made within the compensation task:
- Merit Increase - Default = $11,000
- Merit Increase - Texas = $10,000
The administrator adjusts budgets for the compensation task and sees the following information:
- Merit Increase - Default:
- Original Budget = $10,000.00
- Difference = $0.00
- Current Budget = $10,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = $0.00
- Current Budget = $10,000.00
The administrator adjusts the budget to the following:
- Merit Increase - Default:
- Original Budget = $10,000.00
- Difference = -$5,000.00 (red)
- Current Budget = $5,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
The administrator saves the adjustments, and a warning pop-up is displayed to indicate that the compensation manager's Merit Increase - Default component allocations exceed the updated budget allowances (new budget plus 10% overage allowance). The administrator clicks the button within the pop-up. The compensation manager's compensation plan allocations are reset and the new budgets are reflected in the compensation plan.
- Merit Increase - Default = $5,000
- Merit Increase - Texas = $9,500
Employee 1 is moved to a new team and is no longer included in the compensation plan. Because the budgets are determined by percentage of base salary, the original Default budget is decreased by the employee's default budget allocation (10% of $60,000), which makes the original Default budget $4,000 ($10,000 - $6,000). The previous budget reduction of $5,000 still applies to the Default budget. The following new budgets are automatically implemented for the compensation plan:
- Merit Increase - Default:
- Original Budget = $4,000.00
- Difference = -$5,000.00 (red)
- Current Budget = $0.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
The administrator adjusts the Merit Increase - Default budget.
- Merit Increase - Default:
- Original Budget = $4,000.00
- Difference = -$2,000.00 (red)
- Current Budget = $2,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
A new employee, Employee 5, is moved to the team and is included in the Default budget for the compensation plan. Employee 5's salary is $80,000. Because the budgets are determined by percentage of base salary, the Default budget is increased by the employee's default budget allocation (10% of $80,000), which makes the original Default budget $12,000 ($4,000 + $8,000). The following new budgets are automatically implemented for the compensation plan:
- Merit Increase - Default:
- Original Budget = $12,000.00
- Difference = -$2,000.00 (red)
- Current Budget = $10,000.00
- Merit Increase - Texas:
- Original Budget = $10,000.00
- Difference = -$500.00 (red)
- Current Budget = $9,500.00
The Modification History section within the Adjust Budgets pop-up displays the details of the three budget modifications.