The Pay Frequency Codes Table defines the frequency with which a given payroll is paid and determines payroll taxation calculations.
The Pay Frequency Codes Table includes a field for entering the number of annual payrolls that will be processed due to this Pay Frequency Code. Annual benefit costs are divided by the number of payrolls defined on the Pay Group's Pay Frequency.
Pay Frequency codes are pre-populated, but may be edited, deleted, or added.
Some companies pay certain groups of employees at different intervals. Generally, this is either Monthly, Semi-Monthly, Weekly, Bi-Weekly, or Annually, to define how often employees are paid their wages.
Frequency and Pay Groups
For example, one Pay Group might receive a paycheck every week, while another Pay Group might receive pay checks twice a month (semi-monthly).
Each Pay Group uses the Pay Frequency to specify the frequency and the number of payrolls per year. For example, a weekly Pay Frequency, would typically pay 52 times a year.
Frequency and Payroll Calendars
Each Payroll Calendar is assigned to a specific Pay Group, which associates the Payroll Calendar with a Pay Frequency.
Payroll Frequency per Employee
The Pay Group on the Compensation tab within the Employee Master, completes the employee-link to Payroll Calendars where that Pay Group is selected.