Employee Payroll Setup Tab

The Payroll Setup tab of the Employee record enables you to define the employee's payroll. A unique payroll configuration can be defined for each role The duties the employee performs on any given job. Depending on which role the employee is assigned to when working on a job, the employee may have different payroll settings. for which the employee is eligible.

To define an employee's Payroll Setup:

Open the Payroll Setup tab for the employee for whom you want to define payroll.
Select the option button corresponding to how the employee will be paid:
- Pay Hourly, Flat Fee, or Commission only. The employee will not be paid a salary; instead, they will be paid based on their role's Payment Type and Pay Rate.
- Pay Salary. In addition, type the employee's yearly salary into the field.
  Salary is a simple calculation. When paychecks are created, ServiceCEO divides the employee's annual salary (as defined here) by the number of pay periods per year (as defined in the Payroll Setup Wizard).
  Note that if you are paying an employee a salary, any information you define for an employee's roles will only be used for informational and job costing purposes.

Caution!

Caution:
If a salaried employee has a mid-cycle change (hiring, firing, raise, etc.), you will need to make an adjustment to that employee's payroll to account for the repercussions of that change. For example, if you fire an employee on the second Tuesday of that employee's pay period, you will need to create an adjustment to remove the payment for Wednesday-Friday from the paycheck.
In addition, if you do not create a paycheck for a salaried employee before the end of the next pay period, a payment will not be created for that employee's "skipped" pay period.

If you selected the Pay Hourly, Flat Fee, or Commission only check box, you can elect to select one or both of the following check boxes:
- Pay Based on Work Hours. Select this check box to automatically change all of the employee's work hours using the "Available (Unpaid)" time code to the "On Clock (Paid)" time code. Since all employee work hours marked with a "Paid" time code will generate employee pay, the employee will be paid based on these work hours UNLESS they are working on a job or task, in which case the job or task's pay rate will apply. For example, if an employee has work hours from 8:00 AM to 5:00 PM and is scheduled to work a job from 1:30 PM to 5:00 PM, the employee will be paid two rates: the employee's default role for the time 8:00 AM - 1:30 PM (the work hour rate) and the rate for the role on which they are working on the job from 1:30 - 5:00 PM.
- Guarantee Minimum Pay. Enter the employee's minimum pay into the field and select a qualifier from the drop-down list. You can define a minimum pay for an hourly rate or for a pay period. Regardless, during paycheck generation, if the employee's pay falls short of this amount, an adjustment will automatically be added to their paycheck to bring the employee's pay in line with the minimum amount entered here.

Note!

Note:
The Pay Based on Work Hours check box will already be selected if you selected the I pay my employees for a full shift, regardless of how many jobs they work on during that shift check box in the Payroll Setup Wizard. See the Using the Payroll Setup Wizard section for details.

Select the Edit Time Cards in Office Duties check box if you want to use time cards for each pay period in the Time Cards tab of the Office Duties section. Typically, a supervisor will review and submit an employee's time cards each pay period before the paycheck is generated. Note that even if this check box is not selected, you can always review the employee's time card by clicking the Time Card button in the employee's record. For more, see the Editing/Reviewing Time Cards section.

Note!

Note:
The Edit Time Cards in Office Duties check box will already be selected if you selected the I want to review employee's work hours, jobs, and tasks and enter those hours on time cards check box in the Payroll Setup Wizard. See the Using the Payroll Setup Wizard section for details.

Select the Exempt check box if you do not want this employee to accumulate overtime pay. For more on overtime, see the Defining Overtime Rules section.
If you are integrated with a General Ledger account, click the Payroll Expense Account to indicate the account to which you want to export this employee's payroll.
Select the Default check box for the employee's default role. The role you select will be the role the employee assumes on every job, unless specifically assigned to another role. By default, all employees are assigned a role of either General or Sales Rep.
Note that the default role is also listed on the General tab of the employee record. Changing the employee's default role on one tab will automatically be reflected in the other tab.

Note!

Note:
You can define an employee as being a sales representative An employee who sells the jobs and/or schedules that you service. Starting with version 5.5, all Sales Reps are full employees in ServiceCEO. by selecting the Default or Eligible check box for the Sales Rep role.

Select the Eligible check box for all roles for which the employee can perform. Note that the Eligible check box is automatically selected for the employee's Default role, as selected on the employee's General tab.
The employee will automatically be assigned as using the default role on all jobs. However, you can always change the role that an employee performs on a specific job (changing the employee's pay type and rate) via the Dispatch Board or the employee's Time Card.

Note!

Note:
You cannot edit the values in the Role column here; instead, they are defined in the Employee Roles dialog box. For details, see the Defining Employee Roles section.

For every role for which the employee is eligible, select a default payment method from its Payment Type column. Your options are:
- Not Paid. The employee is not paid for work performed as this role.
- Flat Fee. The employee earns the same amount—the amount defined here—regardless of the job being performed.
- Hourly. The employee earns an hourly rate.
- Commissions. The employee earns only a commission for each job. See the Defining Employee Commissions section for details on defining commission rates.
- Flat Fee Plus Commissions. The employee earns a standard amount plus any applicable commissions.
- Hourly Plus Commissions. The employee earns an hourly rate plus any applicable commissions.
Note that if you are paying an employee for their work hours, the employee's default role must have a payment type of Hourly. If the payment type is Flat Fee or Commissions, the employee will not be paid for their work hours.

Note!

Note:
A commission is a rate of pay provided to employees for services rendered. A commission’s rate is defined by the product or service being sold or preformed. The Completion Wizard automatically processes commissions during job completion, calculating employee’s pay and, if necessary, automatically dividing up the commission amongst multiple employees. The method of splitting commissionable charges, along with the rest of the payment types, can be changed in the Payroll Options dialog box; for details, see the Defining Payroll Options section.

Type the specific amount the employee will receive for the role in the Pay Rate field. This field will not be active if you selected Commissions form the Payment Type column.

Tip!

Tip:
No matter what the employee’s default payroll type and/or rate, you can always change it for an individual job on the Payroll page of the Completion Wizard.

If you selected a payment type that includes commissions, click the Commissions field and then . The Per-Employee Commissions dialog box appears, where you can define the commissions for the role. See the Defining Employee Commissions topic for details.
When complete, click Save and Close.