🎯 For advanced admins. Read the Overview of Payroll supplements to get acquainted with the Payroll supplements in Planday.
Payroll supplements are an automatic way to add extra payments to shifts or parts of shifts. This can be useful for setting overtime, weekend, or night rates.
In this article, you’ll see some examples of commonly used Payroll supplements and how to set them up. Since they are only examples for each type of supplement, you might need to tweak them to fit your needs.
You can create payroll supplements by navigating Settings > Payroll > Payroll supplement.
Remember that as soon as you add a Payroll supplement, it might be applied to all the hours in your schedule unless you specify a time range. Make sure to take this into account before you do a pay run.
Please note that payroll supplements will be applied backdated (from the beginning of the payroll period). We recommend that you set them up when a new payroll period starts or very soon after.
Normal supplement
Normal supplements are best used when rates are affected by specific times of the day.
Weekend supplement
Weekend supplement
In this example, you will be looking at using a Normal supplement to add a weekend monetary rate to the system. Specifically, for all the hours worked on a Saturday or a Sunday, an extra £10 per hour worked needs to be added.
Supplement type: Choose Normal supplement
Title and Description: Give this supplement a name and a description, so it will be easy to identify in the future.
Hourly wage: As you want to add an extra £10 per hour, you need to change the Hourly Wage to ‘£ monetary’ (currency value depending on your Planday setup).
Start type: It should be left as ‘Hour’ if you want the supplement to be controlled from a start and end time.
If you choose the option “Relative to shift” in Start type, it will allow you to start the supplement after a certain number of minutes into the shift. For example, by choosing the value ‘240’, the supplement starts after the employee’s shift has lasted 240 mins (4 hours). Duration refers to how long the supplement should last in minutes.
Payment period: Enter ’00:00’ in Start and End time as you are looking at applying this supplement to any hour worked on the weekend. If you have a specific time period in mind, you could enter this here.
Salary code: The salary code can be set to ‘Weekend supplement’, so it can be easy to identify on the payroll export.
Payroll: Add 10 into the payroll box to give a £10 supplement.
Days of the week: The days should be Saturday and Sunday
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
Night supplement
Night supplement
In this example, you will be looking at using a Normal supplement to add a percentage-controlled supplement to the hours the employees work at night on weekdays.
Supplement type: Choose Normal supplement
Title and Description: Give this supplement a name and a description, so it will be easy to identify in the future.
Hourly wage: Choose % as the supplement will be based on a percentage of the hourly wage of the individual.
Start type: It should be left as ‘Hour’ as you want the supplement to be controlled from a start and end time.
Payment period: Enter ’20:00’ in Start and ’06:00’ in End as you are looking at applying this supplement to the hours between 8 pm and 6 am. Don’t forget to tick the option “Allow over midnight” further down.
Salary code: Set a salary code to easily identify the supplement on the payroll export.
Payroll: Add 30 into the payroll box to give a 30% increase for each hour the employees work between 8 pm. and 6 am.
Days of the week: Choose the days of the week here
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
Bank holiday supplement
Bank holiday supplement
This example shows a Bank holiday supplement that applies a 50% additional pay for each hour worked on a public holiday.
Supplement type: Choose Normal supplement
Title and Description: Give this supplement a name and a description, so it will be easy to identify in the future.
Hourly wage: Choose % as the supplement will be based on a percentage of the hourly wage of the individual.
Start type: It should be left as ‘Hour’ as you want the supplement to be controlled from a start and end time.
Payment period: Enter ’00:00’ in Start and End time as you are looking at applying this supplement to any hour worked on a Bank holiday.
Salary code: Set a salary code to easily identify the supplement on the payroll export.
Payroll: Add 50 into the payroll box to give a 50% increase for each hour of the Bank holiday day the employees work.
Days of the week: Select none here as the supplement should be applied only on Bank holiday days.
Days from the Bank Holiday calendar: Select the relevant Bank holiday calendar that includes the days when the supplement should apply.
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
Weekdays (specific time range)
Weekdays (specific time range)
This example shows a supplement that applies a 25% additional pay for each hour worked between 7 pm. and 11 pm. on weekdays.
Supplement type: Choose Normal supplement
Title and Description: Give this supplement a name and a description, so it will be easily identifiable in the future.
Hourly wage: Choose % as the supplement will be based on a percentage of the hourly wage of the individual.
Start type: It should be left as ‘Hour’ as you want the supplement to be controlled from a start and end time.
Payment period: Enter ’19:00’ in Start and ’23:00’ in End as you are looking at applying this supplement to the hours between 7 pm. and 11 pm.
Salary code: Set a salary code to easily identify the supplement on the payroll export.
Payroll: Add 25 into the payroll box to give a 25% increase for each hour between 7 pm. and 11 pm the employees work.
Days of the week: Select the weekdays here.
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
Week-based supplement
Week-based supplements are helpful when you want to create a supplement based on the number of hours someone has worked in a week (e.g. overtime rates).
In this example, employees will be supplemented in a ‘Time and a Half’ manner, so 150% of their rate, when they work over 40 hours a week.
Supplement type: Choose Week-based supplement
Title and Description: Give this supplement a name and a description, so it will be easy to identify in the future.
Hourly wage: Choose % as the supplement will be based on a percentage of the hourly wage of the individual.
Payment period (1): It can be set to 00:00 – 00:00, to include any hours worked on any given day.
Payment period (2): The ‘From’ field related to Hours (in the Payment period) would be 40 in this case, as you want all hours over 40 to have the supplement attached. Then set the ‘To’ hours to a maximum ( in this case, 1000), so all hours of the week will be included in the calculation.
Salary code: Set a salary code to easily identify the supplement on the payroll export.
Payroll: Add 50 into the payroll box to to supplement the wage with an extra ‘half’. Do not enter 150%, as this would actually give employees 250% of their wage, for the applicable hours.
Days of the week: Select the days of the week here.
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
Day-based supplement
Day-based supplements can be used when you want to supplement any time worked over a certain number of hours, per single day of work. It could be used if the employees work more than one shift per day.
For this example, when an employee works over 9 hours in a single day, they will receive double the pay for the extra hours.
Supplement type: Choose Day-based supplement
Title and Description: Give this supplement a name and a description.
Hourly wage: Choose % as the supplement will be based on a percentage of the hourly wage of the individual.
Payment period (1): It can be set to 00:00 – 00:00 to include any hours worked on any given day.
Payment period (2): The ‘From’ hours should be set to 9 (overtime threshold) and the ‘To’ hours should be set to a maximum (in this case, 24).
Salary code: Set a salary code to easily identify the supplement on the payroll export.
Payroll: Set the Payroll percentage to 100%, as you want to supplement the pre-existing rate with 100%. Do not enter 200%, as this would give employees 300% of their wage for the applicable hours.
Days of the week: Select the days of the week here.
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
Contract rules supplement
Use Contract rules supplements if you were manually calculating and paying for overtime. For example, you can set a contract rule for employees that calculates and pays them automatically if they exceed a certain number of hours.
In the example below, a Contract rules supplement is being applied to all employees having the Intern 80 Hrs contract rule whereby their maximum monthly hours should be 80. Exceeding that 80-hour limit would give them £15 extra pay on top of their hourly rate for each hour worked above 80.
Supplement type: Choose Contract rules supplement
Contract rule: Select for which Contract rule the supplement should apply.
Title and Description: Give this supplement a name and a description.
Hourly wage: Since this will be a fixed increment, select ‘£ (monetary)’.
Payment period: For the supplement to kick in after working 80 hours, set the From to 0 hours and the To to 20 hours paying £15 extra. The To value is the maximum number of hours until which the supplement should be applied for. So any hours beyond 80, in this case the extra 20 hours, will be given a £15 supplement on top of the regular pay.
Reset frequency: You can select either per day or per contract rule interval.
The selected value of Reset frequency determines if the overtime rates should reset per day or if they should follow the interval of the contract rule.Salary code: Set a salary code to easily identify the supplement on the payroll export.
Payroll: Set the monetary increase of £15 to be paid to any hours beyond 80, on top of the hourly wage.
Then, you can specify who should receive this supplement, set a validity period and set additional settings. Click on Overview of Payroll supplements for further details.
The payroll report would show the contract rule applied when the employee exceeds their 80 scheduled hours threshold. You can see this supplement applied when you export the payroll report from Payroll > Payroll export > Prepare report.
Reset frequency - use case
Reset frequency - use case
In the example below, the employee is contracted to work 25 hours per week but is working 37h 30min from Monday to Friday. The employee then works 12h 30 min overtime.
The following Contract rules supplement is created:
The employee will be paid an additional 100% of the normal rate for overtime hours and the supplement will apply after 2 hours (1.)
Reset frequency is set to Per day (2.), therefore the supplement will trigger when the employee has worked more than 25 hours per week and will apply after 2 hours of overtime every day.
The supplement will look like this in the payroll report:
If we use the Reset frequency option Per Contract rule interval, the supplement will trigger when the employee has worked more than 25 hours per week and will apply after 2 hours of overtime, on all hours until the next weekly interval starts.
Manual supplement
These supplements are used when you manually want to add supplements to your employees, such as bonuses. It applies directly to the shift in the schedule. You can set a fixed amount per shift or per hour.
You can create a manual supplement under Settings > Payroll > Payroll supplement > Manual supplement > Create fixed manual supplement/Create manual supplement.
There are two kinds of manual supplements.
The manual supplement — calculated per hour and the amount can’t be edited when the supplement is added to the shift.
The fixed manual supplement — calculated for the entire shift and you can edit the amount when you add the supplement to the shift.
In the example below, a fixed manual supplement is created for the employees who are on call and who have to come and work extra. They would get a £30 supplement on their “Emergency shift”.
Name and Description: Give this supplement a name and a description
Block normal supplements: Choose whether or not this supplement should block other supplements
Employee groups: Select which Employee groups this supplement should be applied
Shift types: Select the Shift types where the supplement can apply
Employee types: Select which Employee types this supplement should be applied for
Bank Holiday calendar: If you don’t select any days of the week further down, choose the Bank holiday calendar the supplement should be applied to
Payroll: Set the monetary increase of £30 to be added to the shift’s pay
Salary code: Set a salary code to easily identify the supplement on the payroll export.
Days of the week: Select which days of the week the supplement can be applicable.
Valid from/Valid to: Set when the supplement comes into effect or ends.
How to apply a manual supplement to a shift in the schedule
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