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Payroll: Add Rate Rules to Payroll Schemes

Rate rules allow you to configure the dollar amount that should be added to each crew member’s paycheck, based on conditions about the work period. They tell the payroll scheme which conditions it should look for in a work period and define the pay that should be triggered for that work period when it meets the conditions. Every payroll scheme must include a Rates section.

Important A work period must trigger a rate rule in the payroll scheme in order to generate pay.

Rate rules are read "top-down," which means that the first rule matching the conditions of a given work period will generate its pay rate, even if there are rules lower in the Rates section that also match. For this reason, it's best to structure your Rates section with the most complex rules first.

Before you configure your rate rules, you must first configure your earning codes and payroll classes:

  • Each payroll class must have dollar amounts applied to each earning code configured for the payroll class.
  • Each crew member must have a payroll class on their profile.

To add a rate rule

  1. On the Setup > Payroll > Payroll Schemes tab, select the payroll scheme you want to modify, then click Edit.
  2. Click Add Rate.
  3. (Optional) Under Effective, enter a start or end date, or both.
  4. To add the first condition, click Add Condition then click Select a field to display a list of options. Configure the condition as needed.
  5. (Optional) To add another condition, repeat Step 4.
  6. On the right side of the rule, configure the output by completing the following fields:
    • Earning Code: Select an earning code that will apply to any pay triggered by this rule.
    • Rate: Enter the rate that should be triggered by this rule.
    • Quantity: Select one of these options:
      • Flat: Any work period that triggers this rule will receive the rate indicated above.
      • Hourly: The rate will be multiplied by the number of hours in the work period.
      • Amount: The rate will be multiplied by the work period amount.
    • Pay Out Factor: Enter the pay out factor.
    • Description: This will appear on the Payroll Details tab and in any reports or exported payroll data.
  7. Click Save Changes.

Example 1

Let's look at a rate rule that searches your schedules to find work periods with the Regular Pay earning code. You want to pay your crew members according to the rate, quantity, and pay out factor configured in their payroll scheme for the Regular Pay earning code.

Here's how you would create this rule:

  1. The rule should be triggered by Work Period, not by Date or Payroll Period.
  2. The rule should have a condition that is only triggered by Work Periods where the earning code is Regular Pay.
  3. The rule should trigger pay according to the Regular Pay earning code.
  4. The rule should trigger pay according to the Rate configured for the selected earning code on the Payroll Class.
  5. The rule should trigger a Quantity based on what was configured on the earning code.
  6. The rule should trigger a Pay Out Factor based on what was configured for the selected earning code on the Payroll Class.

Example 2

Now let's look at a rule that belongs to the same group as the rule from Example 1, but is in a different sub-group. In this case, any conditions we set at the group level for the first rule will also apply to the second rule, however, any conditions set at the sub-group level for the first rule will not apply to the second rule.

Here's how you would create this rule:

  1. Click the Add Sub-Group icon to place the second rule in the same group as the first rule, but in a different sub-group.
  2. The rule should be triggered by Work Period, not by Date or Payroll Period.
  3. The rule should have a condition that is only triggered by Work Periods where the earning code is Trip Pay.
  4. The rule should trigger pay according to the Trip Pay earning code.
  5. The rule should trigger pay according to the Rate configured for the selected earning code on the Payroll Class.
  6. The rule should trigger a Quantity based on what was configured on the earning code.
  7. The rule should trigger a Pay Out Factor based on what was configured for the selected earning code on the Payroll Class.

 

 

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