Contents of this article are applicable to the following users
Tier: N/A
Product: Payroll
Platform: Web
Access Level: Owner
This guide will cover the following:
Default Pay Item
There are 6 default pay items that our system provides. Each staff will be entitled to these pay items depending on their wage type. Here is the breakdown of each pay item:
Note: You can edit these pay items to fit your current workflow.
To ensure setup is done properly for these default pay items please refer to the following
For Overtime Pay - Overtime Settings
For Event/PH Pay (Hourly) - Settings - Special Dates (Event)
For Weekend Pay - Settings - Special Dates (Weekend)
For Basic Pay (Salaried) - Proration setting for each individual
For Cash Incentive - Pushing Cash Incentive from EngageAny to Payroll
You can exclude the staff from the pay item while Editing the payroll, learn more here.
How to Add New Pay Item
Note: This step can be skipped if you feel the default pay item that is reflected on the wage card on my team's page is already sufficient with the employee salary detail. The custom pay item also applied for all staff cross-entity.
The following steps to create a new Additional Pay Item:
Click on the Pay Item sidebar menu, and you will see the default Pay Item that already exists on the wage card on my team page.
To create a custom pay item, click the Create New Pay Item button.
Fill in the Pay Item Name, e.g. Meal Allowance.
Select the Category of pay item.
Gross Addition: Additional taxable salary (e.g. Meal allowance)
Gross Deduction: Taxable pay item that deduct staff’s salary (e.g. Lateness Penalty, Non Paid Leave)
Net Addition: Additional non-taxable salary (e.g. Claims, Reimbursement)
Net Deduction: Non-taxable pay item that deduct staff’s salary (e.g. Lost Goods, Broken Plate)
Select the IR8A Code option
Select Amount Type, and you will have 2 options for pay item:
Fixed Amount: Fill in the Default Amount for it and select “Yes” if you Allow Proration.
Note: The default amount can be set at an individual level when assigning the pay item to the staff.
If you choose Attendance-Based:
Timesheet column: Choose the unit, shift tag, or a custom timesheet column that you already set up before for the scheduled shift and which rate you will use.
Note: If some staff have different rates, you can override the pay item’s amount in the staff’s profile on the My Team page.
Basic Rate
Overtime Rate
Event Rate
Weekend Rate
Custom Rate
Daily Rate (for Salaried staff)
Incomplete Month Pay Daily Rate: Suitable for Unpaid Leave pay item and follow MoM recommendation.
If you choose another rate (i.e. Basic rate, Overtime rate, etc), you can fill the Multiplier. The calculation formula for the pay item will show up at the bottom with this format “Pay Item = [Timesheet Column] x [Rate] x [Multiplier]”.
Choose the Rate:
Formulated: you can formulate your pay item in this custom pay item. Click on Create Formula to enter the formulation. Inside you can find templates and variables from timesheets and wages. To learn more about how to make a formula, click here.
Click on Save to create the pay item and you will be directed back to the Pay Item page.
How to setup additional pay items (with examples)
Here are the guide on some custom pay items you can add:
Note: Pay item name can be customized based on your preferences
What are Ordinary Wages (OW) and Additional Wages (AW)?
For wages to be classified as Ordinary Wages (OW) for the month, it must satisfy both conditions below:
The wages are due or granted wholly or exclusively in respect of an employee’s employment during that month; and
The wages for that month are payable* by 14th of the following month.
Wages which are not classified as OW will be Additional Wages (AW) for the month.
Example of OW: monthly salary
Example of AW: annual performance bonus
*Please note that the payable date refers to the date where company is contractually obligated to pay employee the wages. Do note that the Employment Act (EA) also imposes certain requirements on the timing for salary payment if employee is covered under EA. If there are circumstances that resulted in administrative delays in payment e.g. new employee joins after payroll cut-off date, you should use the payable date to determine the classification of wages.
How to Edit Additional Pay Item
On the Pay Item page, find the pay item you want to edit and click on the Edit button on the far right. If you cannot see the button, scroll to the right.
You will be directed to the Edit Pay Item page and make the changes needed. Then click on the Save button to apply the changes.
How to Archive Pay Items
If a pay item is no longer in use, you can archive it to prevent it from appearing in newly created pay runs. Archived pay items will also be unavailable for tagging to staff in My Team. Note that archiving will not impact any past payroll data
Not all pay items can be archived on the Pay Item page, here are some exceptions:
You cannot archive default pay items, only user created pay items can be archived.
You cannot archive a pay item created from Claims module directly on the page. To archive such pay items, follow the steps here.
On the Pay Item page, find the pay item that you want to archive and select the Archive button
Note: If you are not able to see this button, please zoom out on your browser.
The archived pay item will move to the Archived tab.
To unarchive a claim type, simply select “Unarchive”
Frequently Asked Questions about Pay Items
Q: I cannot find the shift tag in the Attendance Unit options, what should I do?
A: You need to create a new shift tag first. Then the shift tag and its name will appear at the bottom of the Timesheet Column options.
Q: Is there a way to count salary based on scheduled hours instead of clocked hours?
A: Yes you can, you need to:
Create new pay item and select “Scheduled Hours” under timesheet column.
Set "Basic Pay Rate" as 0$
Basic pay will automatically not show up when running payroll
Learn more about other articles related to Payroll Setup:
Other pay item related articles: