Payroll platform: Split employee earnings by location

Overview

As a payroll Admin, you may have employees who earn income from two different locations and will need this setup recorded correctly, so they received the correct payment for their work. The Payroll platform provides you with a simple way to handle these specific employee requirements, reducing your time spent on payroll administration.

The Split Earnings by Location feature allows you to separate earnings by region for your organisation's auto paid salaried employees. Within the pay run, the platform will create separate earning lines in order to calculate the earnings split per location. This will then flow through to your journals and payroll reports.

Availability

Payroll Plan:   Standard   Premium

Getting started

  You will need to undertake the below steps via your Employment Hero Payroll platform.

Enable split earnings by location
  1. Log into your Employment Hero Payroll platform.
  2. Click the   Employee menu.
  3. Click the List submenu.
  4. Click on the employee who needs split earnings enabled.
  5. Click the Pay Run Defaults button.
  6. Click the Split Earnings by Location button.
    Earning_1.jpg
  7. Complete the following fields:
    • Location.
    • Split earnings percent.
  8. Click the Add button.
    Earning_2.jpg
  9. Click the Save button.
    Earning_3.jpg

Maintain

  You will need to undertake the below steps via your Employment Hero Payroll platform.

Edit a split earnings by location record
  1. Log into your Employment Hero Payroll platform.
  2. Click the  Employee menu.
  3. Click the List submenu.
  4. Click on the employee who needs split earnings edited.
  5. Click the Pay Run Defaults button.
  6. Click the Split Earnings by Location button.
    Earning_5.jpg
  7. Make the required changes and click the Save button.
    Earning_6.jpg
Delete a split earnings by location record
  1. Log into your Employment Hero Payroll platform.
  2. Click the   Employee menu.
  3. Click the List submenu.
  4. Click on the employee who needs split earnings enabled.
  5. Click the Pay Run Defaults button.
  6. Click the Split Earnings by Location button.
    Earning_5.jpg
  7. Click the Delete button.
  8. Click the Save button.
    Earning_7.jpg
Disable split earnings by location
  1. Log into your Employment Hero Payroll platform.
  2. Click the   Employee menu.
  3. Click the List submenu.
  4. Click on the employee who needs split earnings enabled.
  5. Click the Pay Run Defaults button.
  6. Click the Split Earnings by Location button.
    Earning_5.jpg
  7. Click the Delete button.
    Earning_8.jpg
  8. Click the Delete button.
    Earning_9.jpg

Further information

What earnings can I split by location?

You can only split earnings for auto paid salaried employees. Auto paid means that they have the Pay these Earnings by Default in a Pay Run tick box selected on their Employee file Pay run defaults page.

You also must have the employee's primary pay category configured as an hourly, daily, monthly, or annual unit type and you cannot split earnings for timesheet employees or those on advanced standard hours.

What happens if the employees' primary location changes?

When the employee’s primary location changes, the platform will replace the old primary location with the new primary location. If you delete the employee's primary location, the platform will ask you to confirm this action via a pop up which warns you that there are employees with split earnings against the location in question.

Author recommended

So you have now configured your employee earnings and you are now wondering what next can I do. There are two recommendations I would make on this front and they are:

  • Payroll Platform: Employee Pay Rates This feature allows you to add an additional earnings line to an employee's payroll employee file and specify details such as the pay category, the earnings per run, and the super rate.
  • Payroll Locations This feature allows you to add a new location with the ability to specify its name, state and general ledger code. The locations you add, and then assign to an employee, will enable you to report on the labour costs of each location.
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