SAP HCM payroll tip: Use the What If tool for quick testing of TaxFactory

SAP HCM relies on BSI TaxFactory for US payroll tax calculations, but HCM teams may be unaware that the tool is available and can help you do some quick testing when the time comes to apply TUBs, Cyclic, or upgrade to a newer version of BSI TaxFactory. For testing, we can reuse the scenarios we’ve already created by changing a few data elements instead of having to locate and create all the data in SAP.

This does not replace end user testing, but it does expedite unit testing in development environments where data is typically sparse and out of date.

First, access the BSI TaxFactory GUI and then open the Test node:

The first step is to enter the basic pay-related data of the scenario:

The second step is to enter the specific tax data scenario to be reviewed. Here we are setting up Federal:

Our pay period wages are $1,000 with a married status and 2 exemptions. We save that information and add any additional tax authorities we want to test.

The final step is to select the Calculate button to generate the calculation based on the scenario we entered.

We can now review exactly how our scenarios will calculate taxes. If you set up the exact same data in SAP you’ll get the same result.  You can now save the scenario and use it at a later time by making small tweaks, such as check date.

Once you have your scenario created, it is as simple as selecting the Calculate button and you should receive output very quickly that displays the details you need to validate.

If you want a method to quickly test BSI, using the What If Tool provides an easy option. Scenarios can be created and reused with a little data change.

The next blog post will discuss the BSI TaxFactory Batch Test Tool, which is my preferred method of testing BSI due to the easy of copying SAP information and manipulation of that information.

Read the ILN blog at Insider Learning Network | SAP HCM payroll tip: Use the What If tool for quick testing of TaxFactory