SAP ABAP IMG Activity HR_ECM_00_LT_008 (Define Vesting Schedules)
Hierarchy
☛ EA-HRGXX (Software Component) Sub component EA-HRGXX of EA-HR
   ⤷ PA-EC-LT (Application Component) Long-Term Incentives
     ⤷ PAOC_ECM_LTI_BL (Package) Long Term Incentive Plans - Business Logic
IMG Activity
ID HR_ECM_00_LT_008 Define Vesting Schedules  
Transaction Code S_ALN_01001526   (empty) 
Created on 20030220    
Customizing Attributes HR_ECM_00_LT_1_2   LTI - Mandatory - Not Critical 
Customizing Activity HR_ECM_00_LT_008   View V_T71LTI08 
Document
Document Class SIMG   Hypertext: Object Class - Class to which a document belongs.
Document Name HR_ECM_00_LT_008    

In this step, you determine when employees can exercise their options and to what extent.

Example

  • Graduated vesting
    Graduated vesting is a form of vesting that implies that employees are allowed to buy their stocks gradually on a year-to-year basis, for example, 20% in year 1, 40% in year 2, and the final 40% in year 3.
  • Cliff vesting
    Cliff vesting implies that for example 0% of the awards vest on the grant date and 100 % after two years of service.

Requirements

You must have performed the activity Define Vesting Rules.

Standard settings

The SAP System is shipped with a set of predefined vesting schedules that you can change to meet your company-specific requirements.

Recommendation

Determine the vesting schedules that are required in your organization.

Activities

  1. Select the relevant vesting rule.
  2. Click New entries.
  3. Enter a period expressed in months. The period is incremental and is processed as of the grant date.
  4. Enter a percentage. The percentage is incremental and you must make sure that the sum of all percentages does not exceed 100 %.
  5. Repeat the steps 3 and 4 for each period.
  6. Save your entries.

Further notes

Business Attributes
ASAP Roadmap ID 203   Establish Master Data 
Mandatory / Optional 1   Mandatory activity 
Critical / Non-Critical 2   Non-critical 
Country-Dependency A   Valid for all countries 
Maintenance Objects
Maintenance object type C   Customizing Object 
Assigned objects
Customizing Object Object Type Transaction Code Sub-object Do not Summarize Skip Subset Dialog Box Description for multiple selections
V_T71LTI08 V - View SM30  
History
Last changed by/on SAP  20030220 
SAP Release Created in 200