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Workday-Pro-Compensation Exam - Topic 2 Question 18 Discussion

A company needs a $500 monthly car allowance for its sales team, paid as a flat amount. The allowance should only be for employees in the Sales job family.How should you configure this allowance plan?
C) Create an amount-based allowance plan, specifying $500 as the amount, monthly frequency. Create an eligibility rule for the Sales job family and assign it to the plan.
A) Create a unit-based allowance plan, specifying the number of units and per-unit amount to total $500 monthly. Create an eligibility rule for the Sales job family and assign it to the plan.
B) Create a percent-based allowance plan, specifying the percentage of base pay to equal $500 monthly. Create an eligibility rule for the Sales job family and assign it to the plan.
D) Create a reimbursable allowance plan, specifying $500 as the reimbursement amount. Create an eligibility rule for the Sales job family and assign it to the plan.

Workday-Pro-Compensation Exam - Topic 2 Question 18 Discussion

Actual exam question for Workday's Workday-Pro-Compensation exam
Question #: 18
Topic #: 2
[All Workday-Pro-Compensation Questions]

A company needs a $500 monthly car allowance for its sales team, paid as a flat amount. The allowance should only be for employees in the Sales job family.

How should you configure this allowance plan?

Show Suggested Answer Hide Answer
Suggested Answer: C

The requirement is a flat $500 monthly allowance for Sales employees.

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

Adding an eligibility rule ensures only employees in the Sales job family are 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.


Workday Pro Compensation Training -- Allowance Plan Types: Amount-based plans = recurring fixed amounts.

Workday Community -- Allowance Plan Configurations.

Contribute your Thoughts:

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Nakisha
1 day ago
I thought allowances were usually based on percentages, not flat amounts.
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Leatha
6 days ago
Wait, why not a reimbursable plan? Sounds weird to just hand out cash.
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Brett
11 days ago
But wouldn’t a unit-based plan be more flexible?
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Lamar
17 days ago
I agree, C is straightforward and clear.
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Luisa
22 days ago
Option C seems the simplest, just a flat $500.
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Denna
27 days ago
I feel like option D is not right because it mentions reimbursement, which doesn't fit the flat allowance requirement.
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Hyun
1 month ago
I remember a practice question where we had to set eligibility rules for different job families. It seems like option A could work too, but I’m not confident.
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Tammara
1 month ago
I'm a bit unsure about the difference between unit-based and amount-based plans. Did we cover that in class?
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Graham
1 month ago
I think option C makes the most sense since it directly specifies the $500 amount as a flat allowance.
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