Balances in HCM are amounts or hours that are aggregated based on Month, Quarter or Year. Balance Group and Balance Group Usages for the specific Balances based on our requirement can be created from the Payroll Calculation work area in the Oracle Fusion HCM environment.
Oracle HCM Fusion provides us the option of using either Pre-defined balance groups or User-defined custom balance groups for our reports.
Pre-defined Balance groups in HCM contain information about all the earnings and deductions but if we would like to see only the amounts or hours of a particular list of earnings, User-defined custom balance group can be created with the list of earnings that we require and use it in our custom extract to view only the values for those earnings. The custom Balance Group Usage that has been created can be included in our Custom HCM Extract for fetching the Run, Month, Quarter, Year to Date values for the included Balances such as Net Pay, Earnings or deductions. Since we are pulling only the required earnings, the performance of the extract is also better than using the predefined balance groups that pulls the entire list of earnings and deductions.
HCM allows us to create custom reports that can be either a Detail report to generate the specified Balances for all the Employees based on any particular Payroll or Tax Reporting Unit for any specified date range or a Summary report the display the consolidated values for any Payroll or Tax Reporting Unit which can be used for various Payroll audit and reconciliation purposes.