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TheCompensation Spreadsheet reportprovides a detailed view of:

Worker’stotal base pay.

Assignedcompensation package.

Compa-ratio(position in range).

Can be scoped by organizations and includes subordinates if required.

Why not the others?

A. Total Rewards→ Worker-facing summary report, not detailed comp admin view.

B. Employee Compensation Details by Job Profile→ Focused on jobs, not individual worker comp breakdown.

D. Employee Compensation Audit→ Audit mismatches, not full comp detail.

Gross Up= Adjusting a payment so that after tax deductions, the employee takes home the intended net amount.

Example: If you want an employee tonet $1,000, and taxes are 20%, Workday will calculate and issue ~$1,250 gross so the employee keeps $1,000 after taxes.

Why not the others?

A. Show taxes to user→ Not what Gross Up does.

B. Manual update required→ Gross up is automated, not manual.

C. Apply taxes normally→ Workday already applies taxes; gross up goes further by adjusting amounts.

When an employee undergoes aChange Job(e.g., transferring between supervisory orgs), Workday triggers thePropose Compensation Changebusiness process if compensation is impacted.

This allows HR/Comp to adjust salary, allowances, or other plans based on the new job/org details.

Why not the others?

A. Propose Compensation Offer→ Used duringhire/recruiting offers, not job changes.

B. Request Compensation Change→ Typically a standalone process, not triggered automatically by Change Job.

C. Propose Compensation Hire→ Used athire events, not transfers.

By default, if compensation defaults from the requisition, Workday mayskip eligibility re-checks.

To ensure eligibility rules arealways executedduring the Offer process (especially if location, job family, or country changes), enable:

Run Eligibility Rules when there is Requisition CompensationinEdit Tenant Setup – HCM.

Why not the others?

B. Enable Defaulting Based on Guidelines→ Controls guideline defaults, not eligibility evaluation.

C. Edit Offer business process security→ Security won’t trigger eligibility rules.

D. Enable Eligibility Rule Performance Enhancement→ Improves performance but doesn’t force rule execution.

The requirement is aflat $500 monthly allowancefor Sales employees.

Amount-based allowance planis the correct choice since it supports fixed, recurring payments in a defined currency and frequency.

Adding aneligibility ruleensures only employees in theSales job familyare assigned this allowance.

Why not the others?

A. Unit-based allowance plan→ Used when pay is based on number of units (e.g., kilometers, credits), not flat amounts.

B. Percent-based allowance plan→ Tied to % of base pay, not a fixed dollar figure.

D. Reimbursable allowance plan→ Used for expense reimbursements, not recurring flat compensation.

TheCompensation Rule Assignment reportlistsall compensation components (plans, packages, elements, etc.) that are using eligibility rules.

This helps administrators verify where and how eligibility rules are applied across the system.

Why not the others?

B. Employee Compensation Audit→ Focuses on mismatches between eligibility and assignments, not all rules in use.

C. Compensation Spreadsheet→ Shows comp details, not eligibility rules.

D. Compensation Changes→ Tracks transaction history, not rule assignments.

TheEmployee Compensation Audit reportidentifies mismatches, such as employees:

Assigned to comp plans for which they are not eligible.

Missing comp plans they should have.

It is the standard audit tool for verifying eligibility alignment with assigned compensation.

Why not the others?

B. Rollout Process report→ Tracks rollout actions, not eligibility mismatches.

C. Employees Assigned Multiple Bonus Plans→ Only checks duplicate plan assignments.

D. Compensation Spreadsheet→ Used for review/updates, not eligibility audits.

TheEmployee Compensation Audit Reporthighlights mismatches betweeneligibility rulesand actual assignments.

SinceSales Analystis part of Sales job family but eligibility rules may not yet reflect thisnew job profile, the allowance plan appears underUnassigned Eligible Compensation Components→ meaning the employee is eligible but has not yet been assigned the component.

Why not the others?

A. Won’t appear→ It will appear, because Sales job family has a profile.

B. Assigned Eligible Compensation Components→ Only if already assigned.

D. Assigned Ineligible Compensation Components→ Not correct, because Sales Analyst job profile makes them eligible.

Default compensation for requisition compensationensures thatall hires from a requisition default to the same plan amounts/rates, supporting consistency in offers.

This prevents discrepancies between candidates applying for the same role and requisition.

Why not the others?

A. Guidelines on a position→ Position compensation is separate from requisition compensation.

C. Every employee in position receives same compensation→ Controlled by position defaults, not requisition.

D. Eligible plans view→ That’s determined bycompensation package setup, not requisition defaults.

InWorkday Compensation, step progression is controlled through a combination ofduration(time-based eligibility) andprogression rules(additional conditions, like hours worked or performance).

Here’s how the scenario breaks down:

Requirement 1 – 12 months of employment

Workday supports step duration, where you can specify that an employee must remain at a step for a defined period before being eligible for the next step.

Setting a duration of12 monthsensures that the employee only becomes eligible for a step increase after completing a year in the role.

Requirement 2 – 400 hours worked

Workday allows you to configurestep progression rulesthat evaluate conditions beyond time, such ashours worked, performance ratings, or other calculated fields tied to the worker.

Aprogression rule counting the number of hours workedensures that the pay increase is not triggered until the employee meets the required 400 hours.

Why not the other options?

A. Assign first step during compensation proposal + 12 months rule– This would only apply the first step, but it doesn’t enforce the “400 hours worked” requirement.

B. Hours worked only– This ignores the requirement of12 months of employment.

C. Duration of 12 months only– This ignores the requirement of400 hours worked.

Thus, onlyD(duration + step progression rule) satisfiesboth conditions simultaneously.

References (from Workday Pro Compensation knowledge & learning resources):

Workday Compensation – Step Progression Configuration:Duration enforces time-in-step, while progression rules allow conditions such as hours worked or performance-based eligibility.

Workday Pro Training Materials (Compensation module):Step increase rules require combiningdurationwitheligibility/progression conditionsfor multi-criteria automation.

Workday Community – Compensation Step Progression Guide:Confirms that when multiple criteria must be met (e.g., tenure and hours worked), they must be configured inboth the duration setting and the progression rule logic.