Compensation Plans: Merit, Bonus & Stock

An organization uses a compensation matrix but wants managers to propose awards based on the guidelines without automated target or pool calculations. Which configuration option should they select?

A company wants to give managers the ability to manually adjust the target percentage for each employee during compensation reviews. Which configuration option should be enabled?

An organization needs to ensure that merit increases are adjusted based on how long an employee has worked during the year. Which configuration option is most suitable for this requirement?

A company has a policy where employees must work for a certain period before they are eligible for a bonus. Which configuration option facilitates this policy?

An organization wants to include employees who become eligible for a merit plan during the compensation review process. How should they configure the merit plan?

A company wants to give managers discretion to award pay increases to employees who are in a waiting period, even if their targets default to zero. How should the merit plan be configured?

What are the two main types of bonus plans?

Which of the following options best describes the purpose of plan profiles within bonus plans?

An organization wants to grant stock options based on a fixed monetary value that then translates into shares. Which type of stock plan best suits this requirement?

A company wants to allocate stock options such that each employee receives options equivalent to a certain percentage of their annual salary. Which stock plan type is most appropriate?

Which stock plan type allows direct specification of the number of shares an employee should receive, enabling individual adjustments using an override feature?

For which stock plan types is the 'Rounding Rule' configuration option available?

What is the purpose of the 'Use as Reference Only' option in stock plan configuration when using a compensation matrix?

When is the 'Use Target Currency for Grant' option available, and what does selecting this option achieve?

A company is using waiting periods for benefits eligibility but wants to include active employees in their stock plan process, even if they are still in their waiting period. What consideration should be kept in mind?

What does the 'Target Amount/Percent/Shares Frequency' field define in the context of stock plan configuration?

What is the primary function of the 'Update Stock Grants' task in Workday?

Which of the following is NOT a capability of the compensation review process within Workday?

How does Workday handle stock grants that are pending board approval?

An employee in the Dallas business site, who is in a non-management role, is assigned a bonus plan of 8000 USD. If their manager manually removes the bonus plan, are they participating in the compensation review?

What is the purpose of the 'Initiate Compensation Review Process' in Workday?

During the Compensation Review Process workflow, which role is primarily responsible for proposing the amount of the award?

What is the primary difference between being 'eligible' for a bonus plan and 'participating' in the compensation review process?

What is the purpose of compensation review statements in Workday?

An employee is assigned a bonus plan during a process period. What does selecting 'Include Active Employees Assigned Plan during Process Period' achieve?

Which scenario best describes the impact of a 'waiting period' on an employee's bonus plan?

An organization wants to conduct a mid-year bonus review in addition to its annual compensation review. How can this be achieved using Workday?

Which of the following actions can be performed using the Enterprise Interface Builder (EIB) in relation to stock awards?

An employee meets the eligibility criteria for both the Dallas and Paris bonus plans but is only assigned the Paris plan. What is the most likely reason?

How do eligibility rules interact with staffing events regarding bonus plan assignments?

What could be the impact if the 'Include Active Employees Assigned Plan during Process Period' option isn't selected?

An employee in a management role is transferred from the JFJP to the Dallas business site. How does this transfer affect their eligibility for the 10000 USD bonus plan?

An organization wants employees to immediately view their compensation review statements after they are generated, even if the effective date is in the future. What step should the administrator take?

Which of the following is a way to make compensation review statements visible to employees?

An HR administrator notices that employees are creating their own compensation review statements, which is causing confusion. How can they prevent employees from creating their own statements?

When should an administrator use the 'Set Compensation Review Statement Visibility' task?

What is the primary output of the 'Release Compensation Review Statement' task?

Besides the Workday Community, what method can organizations use to implement alterations to compensation review statements unique to business needs?

What is the relationship between running 'Release Compensation Review Statement' and 'Set Compensation Review Statement Visibility'?

An administrator runs the 'Release Compensation Review Statement' task, but the statements are not visible to employees. The effective date of the compensation review is still a month away. What is the likely cause?

What is the purpose of the 'Vest from Date' field in a stock grant configuration?

Why is it important to specify the 'Grant Price' when configuring stock grants?

In the context of stock grant configuration, what is the function of the 'Options Pricing Factor'?

Why is recording the 'Expiration Date' crucial in a stock grant configuration?

How does specifying 'A percent or amount granted' affect the stock grant configuration?

What is the primary purpose of the 'Grant ID' field in a stock grant configuration?

What implications arise if the 'Currency' field is incorrectly configured during a stock grant setup for an international employee?

If the 'Board Approved?' field is not properly updated after approval, what potential issues may arise?

An employee's stock options have 'Grant Date' of January 1, 2023, a 'Vest from Date' of January 1, 2024, and a four-year vesting schedule. When will the employee be fully vested?

A company grants stock options with a 'Grant Price' of $10 per share. If the market price is $15 when the employee exercises the option, what is the profit per share, excluding taxes and fees?

Enterprise Interface Builder (EIB)

Board Approval Status

Update Stock Grants Task

Compensation Review Process

Compensation Administrator

Compensation Review Workflow

Compensation Review Statements

Eligibility Rules in Compensation

Use as Reference Only

Allow Target Override

Hide Target

Time Proration Rule

Rounding Rule

Waiting Period

Include Active Employees Assigned Plan During Process Period

Include Active Employees in Waiting Period

Bonus Plan Eligibility

Target Amount

Current Business Site - Paris

Non-Management Eligibility

Compensation Review

Default Bonus Plan

Active Employees in Process

Amount-Based Stock Plan

Percent-Based Stock Plan

Unit-Based Stock Plan

Use Target Currency for Grant

Target Amount/Percent/Shares Frequency

Percent or amount granted

Grant Date

Vest from Date

Grant Price

Currency

Options Pricing Factor

Expiration Date

Grant ID

Board Approved?

Stock Grant Configuration

Compensation Review Statement Formats

Custom Compensation Review Statements

Release Compensation Review Statements

Generate Statement PDF

Set Compensation Review Statement Visibility

Effective Date vs. Employee Visibility Date

Edit Tenant Setup - HCM

Hide Create New Compensation Review Statement