Pay Rules define what hours people should be paid for and at what rate. The Pay Rules are processed after a user has clocked out. See Timesheet Approval.
Pay Rules are configured against the Shift Type. The image shows a Pay Rule popup with two rules setup.
In this example, the pay rules are:
- You get paid the Standard rate for your first 8 hours which will be approved automatically.
- If you worked more than 0.5 hours extra and a maximum of 4 hours overtime, you will be paid at x1.5 of the Standard rate. This will need manual approval.
The Add and Types buttons in the image above lets you set up a Pay Rule Type and then Add a Pay Rule to a Shift Type. Note that you have to set up the Pay Rule Type first.
Before you can set up Pay Rules for a Shift Type you must have configured the appropriate Pay Rule Types and Pay Rates.
Pay Rate
Pay Rate defines the rate of pay that is usually defined as a multiple of standard rate. For example, standard rate and time-and-a-half. (x1.5).
Add/Edit Pay Rate
- Navigate to the Pay Rate page and click the Add button.
- Complete the Add/Edit Pay Rate input screen.
Add/Edit Pay Rate input screen
The following properties can be defined for Pay Rate:
Blue fields in the form are required and are flagged with an asterisk (*) in this document.
Name*: The name of the Pay Rate.
Description*: A description for the Pay Rate.
Pay Multiple*: Defines the rate to be used for that pay calculation. For example, if the standard wage is to be used, it will have a multiple of 1. In another scenario, where you pay twice the rate when travelling to a client, the Pay Multiple will be 2.
Delete a Pay Rate
Navigate to the Pay Rate page, select the one you want to delete, and click the Delete button in the menu items that appear. Click OK in the dialogue box to delete.
Pay Rule Type
The Pay Rule Type defines the logic for calculating pay hours. There are three standard Pay Rule Types: Daily Hours, Weekly Hours and Flat Rate. Additional, custom rules can be be configured in consultation with a MESTEC consultant.
To add a Pay Rule to a Shift Type, you need to create a Pay Rule Type first.
Add/Edit Pay Rule Type
- Navigate to the Shift Type page, click a Shift Type that the Pay Rule will apply to.
- In the menu that displays click the Pay Rules button. The popup displays the pay rules that were set up for the shift type.
- Click the Types button to display the Pay Rule Types screen.
- Click the New Custom Type button.
- Provide a Name and Description for the pay rule type.
Add a Pay Rule
- Navigate to the Shift Type page, click a Shift Type that the pay rules will apply to.
- In the menu the displays click the Pay Rules button. The popup displays the pay rules that were set up for the shift type.
- Click the Add button and complete the input screen.
Add Pay Rule input screen
The following properties can be defined for a Pay Rule:
Blue fields in the form are required and are flagged with an asterisk (*) in this document.
Type*: The type of rule to help manage flexible shifts. Values:
- Daily Hours
- Flat Rate: you just get paid a flat rate. For example, £50 per day to cover expenses.
- Weekly Hours
Pay Rate*: The rate applied. For example, values could be: Standard, x1.5.
Min Hours*: The minimum amount of time worked before the Pay Rule applies.
Max Hours*: The maximum amount of hours you can work for the Pay Rule to apply.
Auto Approve tick box: Indicates if an attendance log with pay for this rule requires manual approval or not.
Param1: This field lets you further customize a Pay Rule.
Example pay calculations
The scenarios discussed in this example refers to the Pay Rules shown in the image below.
If a user is in attendance for 2 hours, they meet the minimum threshold for Pay Rule 1. So, they will be paid for 2 hours at the Standard rate.
If they work for 8.25 hours, this exceeds the maximum hours for Pay Rule 1. So, they will be paid for 8 hours for this Pay Rule. It does not meet the minimum hours for Pay Rule 2, so no additional pay under this rule.
If they work for 9 hours, they will get paid 8 hours under Pay Rule 1, 1 hour under Pay Rule 2. This will need manual approval.
