Question 1
How do you configure a salary plan to prorate an employee's scheduled hours?
- AOption A:
Apply FTE%
- BOption B:
Compensation Element
- COption C:
Eligibility Rules
- DOption D:
Exclude from Merit
Show answer and explanation
Correct answer: A
When configuring a salary plan, you can choose whether the plan amount should automatically
adjust for part-time employees based on FTE% (Full-Time Equivalent percentage).
Apply FTE% ensuresthat the salary plan prorates according to scheduled hours vs. full-time hours.
Example: If an employee works 50% FTE, a $60,000 annual salary plan will automatically adjust to
$30,000.
Why not the others?
B . Compensation Element – Elements link plans to payroll but do not control proration.
C . Eligibility Rules – Define who is eligible, not how amounts are prorated.
D . Exclude from Merit – Used in merit review processes, unrelated to proration.
Reference:
Workday Pro Compensation Training: Salary plans have a checkbox “Apply FTE%” to prorate salaries
based on work schedule.
Workday Community – Salary Plan Configuration: Confirms FTE% is the method for automatic
proration.
Apply FTE% ensuresthat the salary plan prorates according to scheduled hours vs. full-time hours.
Example: If an employee works 50% FTE, a $60,000 annual salary plan will automatically adjust to
$30,000.
Why not the others?
B . Compensation Element – Elements link plans to payroll but do not control proration.
C . Eligibility Rules – Define who is eligible, not how amounts are prorated.
D . Exclude from Merit – Used in merit review processes, unrelated to proration.
Reference:
Workday Pro Compensation Training: Salary plans have a checkbox “Apply FTE%” to prorate salaries
based on work schedule.
Workday Community – Salary Plan Configuration: Confirms FTE% is the method for automatic
proration.