The rule in plain words
Approved higher ratio (i.e. ratio of variable to fixed remuneration which is above 100%) must be at least 1.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Approved higher ratio (i.e. ratio of variable to fixed remuneration which is above 100%) >= 1
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Look for a value outside the limit in these cells.
- 03If the value is a percentage, EBA expects it as a decimal: 12% is reported as 0.12.
- 04EBA compares the values exactly here: there is no rounding tolerance.
- 05It runs only when your filing indicators mark R 07.00 as reported.
- 06This 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
Approved higher ratios between variable and fixed remuneration – institutions (R 07.00)
Row
- 0040Approved higher ratio (i.e. ratio of variable to fixed remuneration which is above 100%)
Column
- 0010Value
A worked example
The first of its checks, with simple numbers.
Approved higher ratio (i.e. ratio of variable to fixed remuneration which is above 100%) must then be at least 1.
A file that reports 1 passes. One that reports 0.9 fails, by 0.1.
The numbers are illustrative.
Show the rule as writtenShowHide
EBA's formula. Cells are written as {template, row, column, sheet}.
{R_07.00,r0040,c0010,} >= 1Other rules on R 07.00
- Total number of identified staff (outcome of the yearly identification process) cannot be more than total number of staff (end of the financial year) (v12540_m)Warning
- Value must be reported (v12543_e)Warning
- An upper-limit check on approved higher ratios between variable and fixed remuneration (v12544_m)Warning
- Total number of identified staff potentially benefitting from an approved ratio above 100% cannot be more than total number of identified staff (outcome of the yearly identification process) (v12678_m)Warning
- An upper-limit check on approved higher ratios between variable and fixed remuneration (v12679_m)Warning
- Value cannot be negative (v12134_s)Warning
Every REM higher ratios rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.