Create a new Pay Type for use in Payroll

Why create a new Pay Type?

You are about to pay staff under a new payment category. You want to add this to Payroll.

How to create new Pay Type for use?

Step 1. Create the new Pay Type

• Go to Payroll -> Pay Type
• Add New to Create the new Pay Type

Step 2. Enable the new Pay Type in Job Order Template

• Go to Payroll -> Job Order Template
• Locate the Job Order Template -> Click into the Pay Type
• Enable "Is Active"
• Review other settings and assign the proper value, e.g.
  • Is Relevant Income for Hong Kong MPF calculation
  • Is Taxable and the corresponding tax category
  • Is Disregarded Days for excluding the days in ADW calculation
  • Is Disregarded Wgaes for excluding the amount in ADW calculation
• Set the Payroll formula
  • If your pay type "has unit rate", then you need to set both "unit rate formula" and "number of unit formula"
  • If your pay type "has no unit rate", then you need to set the "unit rate formula".
    • Put [PR] at "Unit Rate Formula" and Backstage will take the pay rate set in the staff Placement profile to Payroll
    • For setting the formula, you can see the payroll variable on the right-hand side or you can take a look:
      Payroll Variable for setting the formula
• Save

Step 3. Set the Pay Rate in staff Placement profile Optional

• Go to staff Placement profile -> Salary section
• Set the pay rate if needed

What's Next?

• Generate the new Payroll Batch / Recalculate existing payroll to confirm the new pay type is working