Employee record – Pay Rates

The Pay Rates section specifies the pay rates that apply to the employee, the basis on which pay is calculated (per hour, year or item) and the default pay rate and hours. Any pay rates entered here will automatically appear in the employee's pay each pay period. For each employee, you must as a minimum enter the employee’s "normal hour" pay rate details.

If you selected an award and a classification on the Company Details window, the pay details will be transferred from the award.

1 Use Award Pay Rates – If you select þ this box, Elite Payroll will use the award rates when calculating the employee's pays. Everything other than the Hrs/Qty amount from the first Pay Rate line will be ignored, and the Award Rates will be used.

If you clear ¨ this box, Elite Payroll will use the rates that you set up in the Pay Rates section when calculating the employee's pays.

2 Pay Rate – On the first line select the pay rate Normal Hours , or another rate designated as a "normal pay". After you have entered a Normal Hours rate, you can enter as many additional pay rate types as required.

The term Normal Hours pay rate has special meaning in Elite Payroll. The Normal Hours rate for an employee is the base rate of pay that other rates (such as double time) are based on. It is also used in awards and in calculating leave accruals.

3 Pay Rate Type – Select Hourly Rate for employees who are paid by the hour. Select Salary for employees who are paid a fixed dollar amount for each pay period they work. Select Annual Salary for employees who are paid a fixed dollar amount for the year.

Note that Annual Salary cannot be selected in the pay screen. It can only be selected in the award or employee record. When a pay is prepared for the employee, Elite Payroll calculates the pay for the current pay period based on the annual salary, and inserts "Annual Salary" into the pay type column.

4 Hrs/Qty – Enter the standard number of hours worked per pay period. The hours entered here will automatically appear in the employee's pay each pay period.

$image\dash.gif$ For employees paid a salary, including annual salary, you must enter the standard number of hours worked per pay period if leave is calculated based on the number of hour worked.

$image\dash.gif$ For employees paid under the Timesheet or Spreadsheet methods, you don’t need to enter the hours, because you will be entering the hours when you prepare and process the pays. Likewise, if the employee is paid by the Item and the number varies each pay period, you don’t need to enter the hours here.

$image\dash.gif$ If you set up overtime rates, rates such as Time & ½ and Double time, make sure that you don’t enter any hours in the Hours column, otherwise, the employee will be paid that number of hours overtime each pay period.

5 Amount – Enter the amount—depending on the pay rate type, this figure will be an hourly, per pay period, per item, or annual value.

6 Super – Select Yes if the pay rate is to be included in superannuation calculations. Select No if the pay rate is to be excluded from superannuation calculations.

Under the Superannuation Guarantee Contribution rules, an employer’s superannuation liability is based on the employee’s notional earnings base. Where there is no acceptable earnings base, OTE is used as a default earnings base. Ordinary Time Earnings (OTE) is defined at the earnings an employee receives on a regular basis.

7 Customer:Job – Wages paid under this pay rate can be assigned to a customer and job. If no customer:jobs have been set up yet, enter a customer:job name. When you are prompted to add the customer:job to your lists, click Yes.

8 Class – Wages paid under this pay rate can be assigned to a specific class, enter the class, or select the class from the drop-down list. You can use Elite Payroll classes to classify your payroll by department, business office or location, separate properties you own, or any other meaningful breakdown of your business.

9 To add additional lines, TAB to the next line, or click Insert.