The rule in plain words
Total remuneration (EUR) cannot be less than variable remuneration (EUR).
EBA checks it for eight columns: MB supervisory function, MB management function, investment banking, retail banking, asset management, corporate functions, independent control functions and all other staff. That makes eight checks. A failure names the one that failed.
How the Line4 Check report words itShowHide
The first of its checks, word for word as the report shows it when it fails. The others read the same, with their own column, row or sheet.
MB Supervisory function: Total remuneration (EUR) >= Of which: variable remuneration (EUR)
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Compare the values in your file. If the first is smaller than it may be, one of them is wrong: check both before you change either.
- 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 04It runs only when your filing indicators mark R 01.00 as reported.
- 05This is a warning. It does not stop the filing on its own, but your authority may ask you to explain it.
The cells it reads
General information and information on remuneration of all staff (R 01.00)
Rows
- 0040Total remuneration (EUR)
- 0050Of which: variable remuneration (EUR)
Columns
- 0010MB Supervisory function
- 0020MB Management function
- 0030Investment banking
- 0040Retail banking
- 0050Asset management
- 0060Corporate functions
- 0070Independent control functions
- 0080All other staff
A worked example
The first of its checks, with simple numbers.
Variable remuneration (EUR) can then be at most 1,200.
A file that reports 1,200 passes. One that reports 1,300 fails, by 100.
The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.
Show the rule as writtenShowHide
EBA's formula, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.
{R_01.00,r0040,c0010,} >= {R_01.00,r0050,c0010,}The next five:
{R_01.00,r0040,c0030,} >= {R_01.00,r0050,c0030,}{R_01.00,r0040,c0070,} >= {R_01.00,r0050,c0070,}{R_01.00,r0040,c0020,} >= {R_01.00,r0050,c0020,}{R_01.00,r0040,c0060,} >= {R_01.00,r0050,c0060,}{R_01.00,r0040,c0040,} >= {R_01.00,r0050,c0040,}And 2 more, the same formula for the other cells it covers.
Other rules on R 01.00
- None of the eight values it checks in general information and information on remuneration of all staff can be negative (v09226_s)Warning
- Total dividends (or similar distributions) paid for year N, total cannot be negative (v09228_s)Warning
- Total net profit in year N, total must be reported (v09273_m)Warning
- If total remuneration is reported, total number of staff in FTE must be reported (v09298_m)Warning
- If total number of staff in FTE is reported, total remuneration must be reported (v09299_m)Warning
- None of the 28 values it checks in general information and information on remuneration of all staff can be negative (v12138_s)Warning
- Number of members (headcount), MB supervisory function must be reported (v12442_e)Warning
- Number of members (headcount), MB management function must be reported (v12443_e)Warning
Every REM benchmarking rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.