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Wage Changes

Did your employee get a raise? Has the minimum wage increased? Are they changing from time-based to salary?

If this coincides with a pay run *NOT IN THE MIDDLE OF A CYCLE,* then go to:

A. EMPLOYEES

B. PROFILE

C. PAYROLL

D. Choose PAYMENT STRUCTURE

E. Change the RATE

If there is a change between pay cycles, follow these steps:

Time-Based Employees

Let's assume the employee is still set to their old wage

F. Select your pay cycle as normal

For time-based employees, put in the number of hours they worked at their old rate and approve the line

G. Then, click the + BUTTON to add an additional earning

H. Set to "Regular Hours"

I. Enter the new rate for the employee 

J. Enter the number of hours worked at the new rate

K. Click ADD AND SUBMIT 

 

You will now see the employee listed twice, once for the hours worked at the old rate and again for the hours worked at the new rate

Salaried Employees

Salaried employees can be edited in the same way as the time-based employees, but you will need to calculate the new rate

Here's how: the system calculates an "hourly rate" based on the yearly rate divided by the number of pays per year, and then further divided by average hours worked

Here's an example:

Employee A makes $75,000 per year, they are paid bi-weekly at 26 pays per year

Bi-weekly payment is $75,000 / 26 = $2,884.61

Average hours per week in the system are 37.5, so for two weeks it is a total of 75 hours

Rate is $2,884.61 / 75 = $38.46

If Employee A gets a raise to $80,000 per year, you would follow the same calculation to input the new rate:

$80,000 / 26 = $3,076.92

3076.92 / 75 = $41.02

The new rate is $41.02, and you can now add the new earning just like you did for the time-based employees. 

Time-Based to Salary

If your employee has changed from time-based to salaried, you can switch them under

A. EMPLOYEES

B. PROFILE

C. PAYROLL

D. TYPE OF EMPLOYEE

 

L. Change them from TIME-BASED to SALARY (or vice versa)

E. Enter the new rate/rate unit under Payment Structure

*Please Note: if the rate has changed part way through a pay cycle, use one of the methods above to pay each part of the wages in one pay run.