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Salary Structure Assignment variable

Can someone explain what the variable field is used in “Salary Structure Assignment”

I am also wondering the same. Can it be used in a formula the same way base is used?

Thanks, this helped. I also had to use Additional Salary component

@Reema_Mehta can help us out on this

The variable field works the same way the base field. There could be case where any component may be based on the variable field.
For eg. a company gives a certain component based on the below formula:

  • Variable (x amount)* 0.4

Say the company has 50 employees, but, the allowance is applicable to all on the above formula, irrelevant of the variable amount for each employee. When I assign a salary structure to a particular employee, all I need to do is add a X amount in the variable field and salary will be calculated on the basis of that.

I hope this helps.