- Pay

Pay type payroll items are used for hourly or salary amounts to be added to a paycheck. Some examples include: Regular, Overtime, Sick, Vacation, PTO, and Salary. DO NOT use for amounts that are not directly related to the number of hours the employee is being paid for or the base salary per pay period. The Qty entered for Pay type items is used to calculate the number of Full Time and Full Time Equivalent employees. Use an Other Income type item for flat amounts such as commission or tips.

Lookup—Enter a brief identifier for the payroll item. It can be any desired alphanumeric combination. Each Lookup must be unique. It should not be more than seven characters.

Description—Enter a meaningful description in this field. 

Pay Type—Make the desired selection from the drop-down list.

• Hourly—The amount entered in the Rate field on the Employee tab for the contact will be multiplied by the Qty entered in the grid on the Quick Check and by the Pay Factor. The result will be in the Amount field. 
• Salary—The amount entered in the Rate field on the Employee tab for the contact will be multiplied by the Pay Factor. The result will be in the Amount field.
  
  

Pay Class—Make the desired selection from the drop-down list.

• Regular—Hours entered for Regular pay items will be included in deductions, employer accruals, or other income based on Hours or Hours worked.
• Sick—Hours entered for Sick pay items will be included in deductions, employer accruals, or other income based on Hours only. They will be excluded from calculations based on Hours worked.
• Vacation—Hours entered for Vacation pay items will be included in deductions, employer accruals, or other income based on Hours only. They will be excluded from calculations based on Hours worked.
  
  

Pay Factor—Enter the desired factor (Straight time- 1.0, Overtime- 1.5, Double time- 2.0). The amount entered in the Rate field on the Employee tab for the contact will be multiplied by the Qty entered in the grid on the Quick Check and by the Pay Factor. The result will be in the Amount field.

Expense Account—Select the appropriate default general ledger account that should be debited for this income item. If Use Employee Department is selected, amounts posted to this item will be posted to the account selected in the applicable Payroll Department.

W2 Tracking—Make the desired selection from the drop-down list.

• None—This is default selection. Use this for all items that do not have specific reporting requirements.
• Qualified Family Leave—Amount entered for a pay item with this selection will be exempt from Social Security Company and will be reported on line 5a(ii) as required on the 941.
• Qualified Sick Leave—Amount entered for a pay item with this selection will be exempt from Social Security Company and will be reported on line 5a(i) as required on the 941.
  
  

W2 Code—Enter the correct W-2 code for Box 12 or description for Box 14 if applicable.

Rate—Enter a rate in this field if most employees have the same rate of pay. This is used for prevailing wages or union payrolls. If all journeyman pipefitters earn 31.79 per hour enter that rate here instead of on the employee tab. Change the rate once a year when the contract is renegotiated.

Use Rate—Make the desired selection from the drop-down list.

• Always—This program will always use this rate when this item is selected.
• As Default—The program will used this rate unless it is overridden on the Payroll Template.
• When Higher—The program will use this rate only if it is higher than the rate on the Employee Tab or Payroll Template.
  
  

Exempt From—Some pay may be exempt from state unemployment or state disability taxes. Select the appropriate box(es) for exempt pay items. This is only used if an employee has some wages which are taxable and some which are exempt for the same entity.