Adding or changing employee pay rates

As part of setting up an employee for the first time, you enter employee pay rates.

To add or change a pay rate for an employee

  1. From the > Setup menu, click Employees.
  2. Click the employee that you want to change, and click Edit.
  3. Click the Pay Information tab.
  4. Use the Pay Rates table to enter and track the employee's pay rate changes. Each row represents a pay rate with an effective (start) date. In this way, you have a pay history for the employee, and you can enter a future pay change while still using the current rate.

When an employee’s pay changes, always enter the new pay rate on the next available row. In this way, you can see a pay history for the employee. It also ensures that Ajera uses the correct cost rates if the employee enters time that applies to an earlier pay rate.

For

Do this

Start Date

On the next available row, enter the date the pay change becomes effective.

You cannot change the date on the first row because Ajera uses that row to establish a starting (default) pay rate.

Pay Period

Select the pay period for the employee.

Hourly

Select this check box if the employee is paid hourly.

Salary

If you did not select the Hourly check box, enter the salary that this employee is paid for the pay period.

If more than one pay rate applies to a pay period, when you run payroll, Ajera calculates the salary amount based on the pay rate with the start date closest to the period ending date.

Pay Rate

If you selected the Hourly check box, enter the hourly rate of pay for this employee.

Otherwise, Ajera enters the employee's standard hourly rate and you cannot change it.

Premium pay 1, 2, 3

These fields correspond to the three premium pays that Ajera automatically sets up (Overtime, Double time, and Other time) in > Setup > Company > Payroll > Pays, where the names can be changed.

The fields contain the percentage for marking up the employee's pay rate for the type of hours. For example, if you pay an employee $10 an hour and time and a half for overtime (an extra $5 an hour), enter 50% in the Overtime field, which results in a pay of $15 an hour.

Include in Salary

These fields apply only to salary employees (you did not select the Hourly check box).

In the Include in salary check box to the right of the first premium pay field (Overtime), do the following, as needed:

  • If you do not want to pay salary employees for overtime, leave this check box selected.  
  • To pay employees overtime in addition to regular salary, clear this check box. To pay overtime at the regular pay rate, leave the markup percent as zero. To pay overtime by marking it up, enter the percent you want to mark up the regular rate.

Use the other Include in Salary check boxes, which appear to the right of the other two premium pays fields (Double Time Markup and Other Time Markup), in the same way.
  1. Click Save.
  2. Click Close.
  3. When you change an employee's pay rate, Ajera applies the new rate to time entered with a date on or after the start date of the new pay rate. It does not apply the new rate to billed time or paid time, regardless of the effective date.

Recalculate time if you want to apply the new employee pay rates to:

  • Time an employee entered but was not yet paid for
  • Time that is not yet billed to the client