SAP HCM and SCC: what changes from January 2027?

From January 2027, Portugal’s Simplification of the Contribution Cycle (SCC) will become mandatory for all employers, introducing a new approach to reporting and calculating Social Security contributions.

Under the new model, Social Security will automatically calculate remuneration, contributions and applicable reductions based on the information available in its systems. The current process, centred on the preparation and monthly submission of the Remuneration Declaration, will be replaced by a more automated model in which employers will be responsible for validating the calculated amounts, making corrections where necessary and providing additional information.

While the SCC is designed to simplify contribution-related processes, it also requires organisations to ensure that their systems, data and internal processes are ready for the transition.

The role of the Interoperability Services Platform

The Interoperability Services Platform (PSI) provides the technological infrastructure for direct and secure communication between companies’ systems and Social Security.

Through this integration, information relevant to the contribution process can be exchanged directly between systems, reducing manual intervention and enabling greater process automation.

Data quality will also become increasingly important. Employment records, recurring remuneration and other relevant information must be accurate and up to date, as this data will directly support the calculations performed by Social Security.

What does this mean for organisations using SAP HCM?

For organisations running payroll on SAP HCM, preparing for the SCC involves more than implementing a technical change.

Companies need to assess their system requirements, prepare the connection with the PSI and ensure that the end-to-end process is working correctly before go-live. Key considerations include system version and technical prerequisites, authentication and connectivity, payroll wage type mapping, data quality and testing across different payroll scenarios.

Testing should cover the entire information flow – from payroll processing in SAP HCM through data transmission and response handling to potential corrections and reconciliation – helping organisations identify and resolve inconsistencies before the new model becomes mandatory.

Preparing for January 2027 starts now

With the SCC becoming mandatory in January 2027, early preparation gives organisations the time to assess their current SAP HCM landscape, identify any required updates or configuration changes, address data issues and perform the necessary testing ahead of the transition.

At MAINGOAL, we support organisations using SAP HCM throughout their preparation for the Simplification of the Contribution Cycle — from requirements assessment and system readiness to integration configuration and testing — helping ensure a structured and secure transition.

Don’t leave your preparation until the last minute.

Contact us at geral@maingoal.pt to learn how MAINGOAL can help prepare your SAP HCM system for the SCC.