Pay Items - Default Pay Settings Tab

This screen is used to define the basic settings for an employee's pay, including pay frequency, default hourly rate, payment method and so on. Most of these settings can be overridden in the payrun as required.

Viewing or Amending an Employee's Default Pay Settings

  1. Once the employee file is open, select Pay Items on the left.
  2. Select the Default Pay Settings tab on the right.

Pay Defaults:

This area is used to define the defaults for the employee's pay, for example the standard pay period, payment method and payslip delivery method. Complete the information below as required:

Field Explanation Wizard
Pay Point Select a pay point from the drop-down list, or click <<Add New>> to create a new one. A pay point is normally a physical location. Payslips print in order of pay point for ease of distribution. Step 6 of the Employee Creation Wizard - "Pay and Conditions"

Pay Defaults section
Payment Method Select the standard method used to pay this employee. There are four standard options: Cash, Cheque, Bank transfer and Electronic Funds Transfer (EFT) If you select EFT or bank transfer, you must also enter bank account details.
Pay Periods The pay period is used to determine the standard frequency of payment for this employee. Use one of the five standard frequencies, or select <<Add New>> to create a new one. This is populated by information entered at Step 0 (or at Step 6) of the Employee Creation Wizard.
Pay Period Cycle If you are using Pay Period Cycle Sets you may link to the appropriate cycle here. This is optional, however it will not be possible to auto-split the employee's leave requests if they are not attached to a Pay Period Cycle Set.
Standard Hours Enter the standard hours this employee will work in the selected pay period. This is populated by information entered at Step 0 (or at Step 6) of the Employee Creation Wizard.
Salary This displays the salary, which is calculated from the Standard Hours and the Rate. Alternatively, you may specify a salary and this will change the Rate:
  1. Click the calculator button to the right of Salary.
  2. Enter the employee's salary and standard hours.
  3. The rate will be calculated for you.
Rate Enter the hourly rate this employee will be paid. If you do not know the hourly rate, enter the Salary and the Rate will be calculated automatically.
Note that if you change the rate at any time you will be prompted to enter a 'Reason for Rate Change'. This reason (and any notes you enter) will be printed out on the Rate History Enquiries and Rate History reports.
Std Earnings This displays the ordinary gross pay based on the pay period (e.g. weekly), the standard hours for that pay period and the rate.
Issue warning In a payrun a warning will be displayed for this employee if the earnings for the pay period are less than the minimum amount specified, or more than the maximum amount specified. Step 6 of the Employee Creation Wizard - "Pay and Conditions"

Employment Condition section
Auto Pay Auto-pay can be used as a filter when adding employees to the payrun. For example, select this setting for salaried employees whose pay never varies, and leave it blank for employees whose pay varies constantly. Then in the payrun you can add auto-pay employees in one group, then add non auto-pay employees and make any required adjustments. Step 6 of the Employee Creation Wizard - "Pay and Conditions"

Pay Defaults section
Email Payslip If you wish to email payslips to this employee, select this box. Leave blank if the employee will receive a printed payslip.
Email Payment Summary If you wish to email ATO Payment Summaries to this employee, select this box. Leave blank if the employee will receive a printed Payment Summary.
Salary payslip option Tick this option if you do not want to display Hours and Rates information on the employee's payslip, when payments are hours based.

Costing Allocations:

Use this area to set this employee's costing level. The options which are available to you depend on the product level you have purchased. The following levels are available:

Level 1: (payroll  and HR3pay Lite) In the employee file, costings can only be allocated to the employee's home department. However, you can apply unlimited costing splits in the payrun.

Level 2: (payroll only) Select this option then apply a permanent costing split on the Standard Pay Items tab. Level 2 allows you to apply a common costing split to all pay items, for example all pay items are split 50/50 between two departments.

Level 3: (payroll only) Select this option then apply a permanent costing split on the Standard Pay Items tab. Level 3 allows you to apply a different costing split to each pay item, for example ordinary time is split 50/50 but overtime is split 75/25.

All splits must total 100%.

Note: It is also possible to allocate people to a default job code and include the job code in the costing split details. This is an advanced payrun feature - please speak to your HR3pay Consultant for further information.

Pay Advice Note:

Use this field to enter an employee specific pay advice note. Any text entered here will appear on every payslip for this employee until it is deleted.