Salary Codes

This screen is used to maintain Salary Codes. Having a Salary Code can be handy when you have many employees eligible for the same set of Pay Rates. Updating employee's Pay Rates can then be done at the Salary Code level instead of at the individual level. Go to Salary to understand more.

Prerequisites

• Build the list of Change Reasons to use when updating your Salary Codes.

• Pay Rate Code Descriptions (Optional): Customise Pay Rate Descriptions AND/OR add more Pay Rate positions to hold Pay Rates. The configuration applies when the Salary Code is not associated with any Industrial Agreement.

• Industrial Agreement Setup (Optional): Build the list of Industrial Agreements to use when creating/ updating your Salary Codes; customise the structural information for the Industrial Agreements per Modern Award Pay Guide; define the number of pay rate positions to use and customise their descriptions for the Industrial Agreements.

Rules and Guidelines

• Program Control option A440 Position 48 can be set to print the Salary Code Description on the employee's pay slip.
• Program Control option PAYRF, Position 15 has an effect on the Salary code update process, and must be completely understood.
• For every rate paid to employees, there must be a value unless the rate value on the individual's Salary window allows for overrides.

• When a Salary Code is specified on Entry via Single Screen/ Retro Entry via Single Screen against any transaction per an employee that is deemed as an override (i.e. the Base Pay Rate of the Salary Code specified in those Data Entry screens will be used for Payrun Calculation instead of the one configured per the employee's Salary record, if any). However, if the Hours Type Code used for that transaction has the Pay Rate to Use field set to use additional rates (i.e. not Base Pay Rate), payrun calculation will use the Salary Code per the employee's Salary record.

• When the additional rates of a Salary Code used in the payrun calculation has zero rate, the Base Pay Rate will be used for calculation instead.

• When an existing Salary Code record is updated and the Hourly Rate Calculated Based On field value has been changed, a check will be performed on Save to determine if the Code is currently in use for any employee.

• General maintenance on this screen is restricted when Payroll is in Progress.
• Salary Code Maintenance

  • A Salary Code can start from any date and end at any date (i.e. no need to end infinity), but there can be no gaps or overlaps between slices within one Salary Code.
  • A Salary Code Allowance Rate must start and end on the same dates as per an existing Salary Code slice. There can be gaps between two slices of a Salary Code Allowance Rate. There can be no overlaps between any slices of a Salary Code Allowance Rate.
  • To review or maintain a Salary Code, you must select the slice first by using the Effective Dating gadget on the Toolbar. Clicking the prompt shows you all slices with the From and To dates per this Salary Code. By default, the screen displays the slice effective as at Today. In some unlikely cases when you select a Salary Code that is not effective as at Today, by default, the screen displays either the first slice if the earliest slice starts in the future, or the last slice if the last slice ended in the past.
  • To update a Salary Code slice with no intention to create a new slice (e.g. you want to archive the Salary Code), click Change and ensure the From Date is adjusted to align with the original From Date of this slice. This manual adjustment is usually needed because the From Date always defaults to Today's date when you click Change upon a slice covering today.
  • To update a Salary Code slice with the intention to create a new slice (e.g. you want to specify the updated pay rates per Modern Award Pay Guide change to become effective at a specific date), click Change and ensure the From Date is adjusted to the date you want for the new slice. By doing this, the system will auto calculate the End Date for the new slice and for existing slices so that no gaps or overlaps occurs as a result of the update.
  • Deleting a Salary Code slice is only allowed if the slice is not the first in the set for this Salary Code. The previous slice will then be extended to cover to the original End Date of the deleted slice.
  • To start the Salary Code early (i.e. you realise the From Date of your first Salary Code slice is now later than it should be), select the first slice, click Change and ensure the From Date is adjusted to the date you want. This creates a new first slice starting from the new From Date and ending one day prior to the second slice. Then you may delete the second slice so that information specified in your first slice extends to the original End Date of the second slice.
  • To end the Salary Code later (i.e. you realise the End Date of your last Salary Code slice is now earlier than it should be), select the last slice, click Change, ensure the From Date is the same as the original From Date per this slice. Then adjust the To Date to the date you want. This extends this slice to cover to the specified new To Date.
  • Note: If you try to update a Salary Code slice using a new From Date and a new End Date, it only creates a new Salary Code slice with the new From Date and a calculated End Date to ensure no gaps or overlaps (i.e. the new End Date you specified will be ignored).
  • Deleting an incorrectly created Salary Code is only allowed if it its earliest From Date is later than Today. Before deletion, please ensure this Salary Code is not used by any future hired employees. Otherwise, those employees will have no rate to use in payrun calculation so will not be paid.
  • If a Salary Code is used in any employee's Salary record and thus the employee has been paid against the Salary Code pay rates, adjusting pay rates and/or adjusting Base Pay Rate Frequency for the Salary Code will most likely affect the employee's prior pays. It is recommended to go through Retro Processing. Read Create Retro Pays, Review Retro Pay for more details.
  • To obsolete a Salary Code (i.e. the Salary Code is no longer relevant for future use), select any slice per the Salary Code and archive it - the system will automatically archive all slices per this Salary Code. Archived Salary Codes will no longer appear in any prompts where effective Salary Codes can be selected. Archiving Salary Codes will not remove the Salary Code records physically so Salary History will not be affected.

   

Field Information