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  • Increasing an employee's pay rate part way through a pay period

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ANSWER ID:22755

To increase an employee's pay rate part way through a pay period, complete the following:

 

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title1. Enter the employee's NEW pay rate
  1. Go to the Maintenance command centre and click Maintain Employees.
  2. Select the employee whose rate has changed.
  3. Click the Employment Details tab.
  4. Enter the employee's new rate in the Normal rate field.
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title2. Set up a new pay code for the employee's OLD pay rate
  1. Go to the Maintenance command centre and click Maintain Pay Codes.
  2. Click New.
  3. As the Pay Code Type, select Gross Earnings.
  4. Enter a Pay Code, for example OLD RATE, and enter a Pay Code Description, for example Old Rate.
  5. Click OK. The new pay code will now appear in the list of pay codes.
  6. Click the new pay code then click the General tab.
  7. Select the option Allow the rate to be modified when entering pay details.
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title3. Process the employee's pay
  1. Go to the Prepare Pays command centre and click Enter Pays.
  2. Double-click the employee whose rate has changed.
  3. Click Add Default.
  4. Select the pay code created above, for example OLD RATE, then click OK.
  5. At the Set new Pay Default details window, leave both fields as zero and click OK.
  6. Enter the amount of hours that the employee needs to be paid (in the old rate) in the Quantity column for the OLD RATE pay code.
  7. Enter the old rate per hour the employee needs to be paid in the Rate column for the OLD RATE pay code.
  8. Enter the amount of hours that the employee needs to be paid (for the new rate) in the Quantity column for the ORD (Ordinary Time) pay code.
  9. Enter any other payments/deductions that are required.
  10. Continuing processing the pay as normal.
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You'll be able to use the OLD RATE pay code in the future if you need to pay out a transitional pay again.

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titleRelated topics
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Payroll user guide

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Reducing Changing an employee's Normal Hours per week