Pay codes
A pay code indicates the type of pay that an employee receives. Pay codes are specified on time records. They determine how employees' pay is calculated and, optionally, where employees' pay is expensed to the general ledger. A pay code's eligibility group determines what employees and managers have access to it.
Pay codes are also used by the Benefits, Absence Management, and Compensation applications. For information about pay code setup that is relevant to those applications, see the Infor HR Talent Setup and Administration Guide, the Absence Management User Guide, and the Benefits Management User Guide.
| Calculation Type | Description |
|---|---|
| Do Not Calculate | The amount to be paid is not calculated using any hours specified or an employee’s normal rate or hourly rate. Instead, the user enters an amount for the employee to be paid. |
| Normal Rate | The rate on the time record is used to calculate earnings.
|
| Hours Only | No amount can be specified on the time record. Pay codes with a calculation type of Hours Only can be used to track hours for benefits or absence events without an amount. |
| Percent Rate | A percentage is specified in the Percent
or Overtime Premium
fields on the pay code.
|
| Percent Of Current Earnings | A percentage of current wages, defined in the Percent field on the pay code, is used to calculate earnings. Current wages are wage amounts associated with time records in current cycle status, which means a status of current, processed, or error. The calculation considers the Pay Class Calculation field on the pay code. It also considers the Wages field on the pay summary group relation that is associated with the pay class. |
| Additional Flat Rate | An additional flat rate is specified on the pay code, the employee record, or the time record to be paid to the employee. Any hours that are specified on the time record are not taken into account. |
| Rate Times Units | The rate on the employee time record is multiplied by the units specified on the employee time record. If you specify a rate on the pay code, that rate is also used on the time record. Hours-based processing actions, like Overtime, consider pay codes with Rate Times Units calculation types if the Allow Hours with Units check box is selected. |
| Rate Shift Differential | The shift on the employee record is used. The shift can be
overridden on the time record. The appropriate shift table or pay
code shift table is used to calculate the shift differential.
|
| Percent Shift Differential | The shift on the employee record is used. The shift can be
overridden on the time record. The shifts or shift table on the pay
code are used to calculate the shift differential.
|
| Percent With Rate Shift Differential | Combines the percent rate and rate shift differential calculation
types. The shift on the employee record is used. The shift can be
overridden on the time record. The shifts or shift table on the pay
code are used to calculate the shift differential.
|
| Percent With Percent Shift Differential | Combines the percent rate and percent shift differential
calculation types. HR Payroll uses the shift on the employee record and the shifts or shift
table on the pay code to calculate the shift differential. The shift
on the employee record can be overridden on the time record.
|
| Non Cash Income | Payment-in-kind, such as excess group term life. The amount of non-cash pay code is added to gross wages and taxable wages, and is subtracted out before HR Payroll calculates net pay. |
| Weighted Average | This calculation type is used for pay codes linked to sick pay codes to support paid sick leave regulations. |
| Custom Calculation | You can establish a unique calculation logic to associate with this calculation type. |
You must assign each pay code to a pay summary group. Pay summary groups are defined by country. If your organization operates in multiple countries, then you must define separate pay codes for each country.