Available for the following plans: Employment Plus, Employment Unlimited
Available for the following Payroll plans: Standard, Premium
Your organisation may have many different employee payment rates. Automating the relevant rate calculations is important to reduce the time spent on otherwise labour-intensive administration.
This article shows you how to use the Pay Categories feature. This allows you to create a new pay category and define the unit of accrual, rate loading, and payment classification. You can also edit any pay categories you have created previously and delete any that are no longer required.
Important
Any changes made to your pay categories will need to be synced to your HR platform. To learn how to do this, refer to this article.
Getting started
- Log into your Employment Hero Payroll classic platform.
- Click the Business Settings menu.
- Click the Payroll Settings submenu.
- Click the Pay Categories button.
- Click the Add button.
- Enter the pay category name.
- Tick the Is Fixed checkbox if this is a fixed pay category.
Warning
Fixed pay categories cannot be changed to hourly/annually/daily/monthly after it has been created. If that is required, you will need to create a new pay category.
- Click the Save button.
- Complete the following fields:
- Name.
- Units.
- Penalty-loading.
Important
We will add the penalty loading amount on top of the base rate and the rate loading.
- 52-week average.
- PAYE-Exempt.
- Except form National Insurance.
- Employee pensionable.
- Accrues leave.
- Hide units on pay slip.
- Employer pensionable.
- Net Payment.
- External ID.
- Rate precision.
- NMW/NLW calculation.
Helpful Hint
You can click the Add Linked Category button to link pay categories together. When linking a pay category to a base pay category, you only need to specify the base rate for the employee and it will automatically calculate the rate for the linked pay categories.
Note that you cannot add linked pay categories to ‘Fixed’ pay categories.
- Click the Save button.
Editing data
Warning
Renaming and reusing a pay category for a different purpose than initially required may cause corruption of historical records. If you require a new pay category similar to an existing pay category, we recommend creating a brand new pay category for this purpose.
- Log into your Employment Hero Payroll classic platform.
- Click the Business Settings menu.
- Click the Payroll Settings submenu.
- Click the Pay Rate Template button.
- Click the pay category that needs editing.
- Make the required changes and click the Save button.
Data management
- Log into your Employment Hero Payroll classic platform.
- Click the Business Settings menu.
- Click the Payroll Settings submenu.
- Click Restore Deleted Items.
- Select Pay category from the drop-down menu.
- Select Restore for the correct pay category.
- Confirm the restoration of the pay category.
Deleting data
Warning
You should not delete a pay category used in a pay run, as this will affect your reporting; instead you should rename the category with the pre-fix DNU (do not use).
- Log into your Employment Hero Payroll classic platform.
- Click the Business Settings menu.
- Click the Payroll Settings submenu.
- Click the Pay Rate Template button.
- Click the Delete button.
- Click the Delete button.
Further information
The EH payroll classic platform comes with pre-populated pay categories. The platform has marked these categories with a tag called platform. They allow you to differentiate between the pay categories you have created, and the ones generated by the EH payroll classic platform. You cannot rename, delete, or link these categories to another pay category. The pre-populated pay categories are:
- Flexible Drawdown Payment
- Flexible Drawdown payment Non-taxable
- Keeping in Touch Day
- Pension death benefit - non-taxable
- Pension death benefit - taxable
- Statutory adoption pay
- Statutory maternity pay
- Statutory parental bereavement pay
- Statutory shared parental pay
- Statutory sick pay
- Termination payment
Explore related content
- Manage Pay Schedules This feature allows you to create a new pay schedule, specify the pay frequency, and set up the components that need automating and what components still require manual intervention
- Manage leave adjustments within a pay run This feature within the Pay Run module allows you to change employees' accrued leave values, with the ability to specify details such as the leave category, leave value, and any required supporting notes.
Comments
Article is closed for comments.