Employee Payroll Settings

When configuring payroll settings for individual employees, key options impact how payroll is processed within the module.

1. Payroll Enablement

• The Enable Payroll setting determines whether an employee is included in payroll runs.

• Disabling payroll removes the employee from weekly payroll calculations.

2. Base Pay Settings

• Commission Rate: Percentage split after the admin fee.

• Salary: Fixed salary for employees, often used for internal customer service teams.

• Hourly Rate: Used if employees are paid hourly, calculated based on submitted hours.

• Bonus Percentage: Percentage of total revenue allocated as a bonus. Example:

  • If total revenue is $50,000 and an employee has a 1% bonus, they receive $500.

3. Benefits and Time Off

• If using the Vacation and Time Off module, vacation days and carryover can be set per employee.

• A default vacation pay can be established globally, with individual overrides available.

• Sick Pay: Hourly sick pay settings comply with legal requirements, such as Colorado’s mandated sick pay per hour.

4. External Payroll Integration

• The External ID is used for integration with third-party payroll systems like Gusto.

• While not used within the payroll module itself, it appears in data exports for streamlined payroll processing.

5. Custom Bonuses

Custom bonuses are additional bonuses awarded based on specific company activities during a payroll period. These can be configured based on:

• Service-Based Bonuses: Bonuses assigned to employees for specific services (e.g., radon tests). Employees can receive a fixed dollar amount per service or a percentage of the service's revenue.

• Inspector Team Bonuses: Employees can earn a bonus based on their inspector team's performance.

• Business Segment Bonuses: Bonuses tied to specific segments of the business, such as rental license inspections or home inspections.

• Requested Inspector Bonuses: Employees receive a bonus when they are specifically requested for a job. This can be a fixed dollar amount per request or a percentage of the job revenue.

These flexible bonus structures allow companies to incentivize employees based on various performance metrics.

6. Saving and Applying Changes

• Once all settings are configured, be sure to save changes to apply them to payroll calculations.

• These settings ensure accurate payroll processing based on individual employee compensation structures.