Within your organisation, there would be different employee payment rates, depending on the pay conditions assigned to your employees. Automating the calculations of these rates will reduce the management time spent on making sure the correct application of penalty rate multipliers, whether you have applied the correct loading rate, and so on. 

The Pay Categories feature allows you to create a new pay category and define the unit of accrual, leave accruals, rate loading, and payment classification. You can also edit any pay categories you have created previously and delete any that are no longer required.

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Read step-by-step articles

We have listed below some additional articles you can read on this topic:

• Managing pay categories via payroll classic
• Building an assigned primary pay category report via payroll classic

FAQs

  I have employees who get paid a daily rate. Can I set this up?   

Yes, when creating a new pay category, you have the option of choosing between Hourly, Annually, Fixed, Daily, or Monthly units. The unit type will then flow through when managing your employee/s Pay Rates or Pay Rate Templates. 

  I have added a new Pay Category, but it does not appear to be accruing leave. How do I fix this?   

Navigate to the Payroll Settings modules Pay Categories page and open the details for the applicable pay category. You will see checkboxes that you can select, including Pay as You Go (PAYG) Exempt, payroll tax-exempt and accrues leave. You will need to make sure that you have the Accrues Leave tick box selected and then click the Save button..