To process payroll automatically, we have to consider the following information in the employee record.
1. An employee with compensation Type = Salary, requires Earning Item Type as Salary
2. An employee with compensation Type = Wage, requires Earning Item Type as Wage
There are instances an employee is eligible to receive both Salary and Wage earnings without editing each paycheck. Below is suggested solution process the payroll automatically
1. Set the employee compensation type to Wage
- Navigate to Lists > Employees > Employees > Edit the Record
- Click Payroll tab and set the Compensation Type to Wage
- Click Earnings sub tab > Assign Earning item with Earning Wage Type
- Set the Rate
- Click Save
2. Setup Earning Item with the type of Earning Addition.
- Navigate Lists > Employees > Payroll Item > New
- Set the Item Type as Earning Addition
- Set the Item Name as Salary
- Set the Expense Account
- Set the Pay Code to Regular
- Allow Entry to from Create Payroll = T
- Click Save and Edit
- Apply the Item to Eligible employee
- Set the Rate base on regular salary according to pay frequency of the employee
- Mark the Default box = T
- Click Save
3. Update the Payroll Information
- Click Agree and Commit the Updates
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