Weighted average pay code setup

Use pay codes with a calculation type of Weighted Average to support paid sick leave regulations that include rate of pay requirements. These sick plans are often mandated by the government. Link weighted average pay codes with sick pay codes.

The time record calculation of a sick pay code with a linked weighted average pay code determines an average rate of pay. The average rate is based on wages and hours in the date range for the current pay period or on a look back date range. The average rate is compared to the state and federal minimum wage, the work assignment rate, and the time record rate. If the time record rate is not the highest of these rates, then a linked time record is created. This time record wage amount is calculated as the difference between the highest rate of pay and the time record rate multiplied by the number of hours.

This calculation occurs automatically upon time entry or maintenance. The recalculation of sick pay codes with linked time records does not occur if the time records are in a Locked status or have been closed by HR Payroll.