Let's update the new pay rate and then process the backpay, accounts207.
We can go to the Pay Run Defaults page on the Employee Details settings. Update the pay rate so the new rate will be applied to any earning or from the effective date at the bottom of the page.
If the the employee has already been paid using the old rate, here's how to pay an employee for the period he's already been paid:
- Create a separate pay category to track back payments.
- Run the Pay Categories Report to find out how much you need to pay.
- Filter the report period from the effective date to the last pay period. This report tells us the total number of hours paid during the period and the number of pay periods.
- Run the next pay run and click on the employee's name to view more details.
- Click on the Actions button and select Add Lump Sum Payment.
- Once the new earnings line is in the pay run click on the down arrow and select the Back Pay pay category
- In the pay rate field enter the difference between the old and new rate.
- Enter the total number of hours into the units field and the number of pay periods in the weekly pay period field.
You can always reach out to me if you need more help. I'll keep an eye on your reply.
Have you completed Step 1 which details how to create the pay category for Backpay? It's not automatically included and needs to be created in order to continue with this process. Here's how:
- Select Employees from the left hand menu, then select the Payroll Settings tab.
- Select Pay Categories (located under Pay Run Settings), then select Add (top right).
- Enter the Pay Category Name 'Backpay', then select Add.
- Complete any other fields relevant to you, then select Save.
Once you have done so, you will see the category available to you in the dropdown section on the payrun. If you have further questions please don't hesitate to reply as we are here to help!