Employee Type

On the Employees form, select the employee type. The employee type is used for the calculation of payroll transactions and for calculating wages and taxes. These are the valid types:

  • Hourly
  • Salaried
  • Non-Employee

An Hourly employee type indicates that the employee is paid at an hourly rate. The system utilizes the hourly pay rate when determining the employee's payroll.

A Salaried employee type indicates that the employee is paid a salary and is not paid by the hour. The system utilizes Salary to calculate Regular Pay, but still uses overtime and double time rates for OT and DT pay.

A Non-Employee type indicates that transactions should not be distributed to the Payroll Distribution Journal for this person.

On other forms, the employee type is displayed.