You can create payroll supplements to make adjustments to employee’s hourly rates or monthly salaries based on set criteria.
First, go to Settings > Payroll supplement.
Select Create under Payroll supplement. Several options will be available from the drop-down menu:
Supplement Type: 3 options. Normal Supplements, Week Based Supplements and Day Based Supplements.
Title: Name of the supplement.
Description: Include a description of the supplement.
Hourly Wage: 3 options. % will mean the supplement will be based on a percentage of the hourly wage of the individual. £ (monetary) will add a set monetary amount to supplemented hours. % (overtime) is used to create time supplements, that will add worked time to an overtime account, as well as extra hours based on overtime.
Start Type: 2 options. Hour will mean from a set start and end time. Relative to Shift will allow you to start the supplement a certain number of minutes into the shift.
Payment period: Relative to the supplement, full descriptions found below, and examples found in this article about basic supplements.
Weekdays: Choose what days the supplement is applicable on.
Days from Bank Holiday Calendar: Choose specific days from the Bank Holiday calendar in the system.
Valid from/to: When does the supplement come into effect or end.
Employee Groups: What Employee groups are eligible for the supplement.
Employee Types: What employee types are eligible for the supplement.
Affects Salaried Employees: If ticked, the supplement will also affect those with a monthly salary rather than an hourly rate. This may not work with percentage-based supplements.
Affected by breaks: If there is a break in the shift, should the break affect the shift time and therefore the total amount of time being affected by the supplement.
Forced Payment: Should this supplement be prioritised compared to other payments/supplements.
Allow over Midnight: If a shift goes over midnight, potentially into a day not selected as being covered by a supplement, will the supplement continue.
Normal supplements are used when Employee pay rates should be adjusted at a certain time of the day, or after a specified amount of hours into a shift. You can set the increase or decrease in pay rate based on a percentage of a wage, or as a set monetary value.
Shown below is an example of a Normal supplement for an employee group named Chefs. After 8.5 hours Chefs should be paid an additional 50% of their normal wage, but only up to a maximum of 3 hours. This supplement is valid for every day of the week. It will be valid from the first of January and as it should be an ongoing supplement it has no defined end date. The supplement should not be paid to salaried employees. Should two supplements be applied to an employee at the same time only the higher of the two should be applied, so Forced payment is unchecked. The supplement shouldn’t be paid during break periods, and shifts that require an employee to work past midnight are allowed. According to these criteria the setup will look as follows:
Please note: if you create a supplement that has a fixed start and it should cover shifts that cross over midnight, you should be aware that it might be added early in the day as well. For example, if you create a supplement rule to be applied from 00:00 to 06:00 and your working days are set from Monday to Friday, you should be aware that the supplement will be applied early Monday (between 00:00-06:00).
Day-based supplements are used when Employees work more than one shift per day. The day-based supplement will account for all hours worked during a day.
Shown below is an example of a Day-based supplement to be applied to days in which the employee works more than 9 hours between 6am and 9pm. A limit of 24 hours applies to this supplement.
Week-based supplements are used to apply a supplement after a set number of hours worked in a week.
Shown below is an example of a week-based supplement that will apply an additional 50% of an employee’s normal wage after 40 hours have been worked in a single week. This supplement should count hours worked between 6am and 9pm, and have a cap of 58 hours, allowing for a total of 18 hours in which this supplement can be active in a single week.