DetailsEarnings are any form of compensation to employees. Earnings often include salary, regular hourly pay, overtime, tips, commissions, bonuses, reimbursements, severance pay, deferred compensation, payment for piece work, non-cash earnings, etc. Earnings codes enable entry of time and pay information for payrolls.
Earnings codes are used to define every type of earning that can be paid or recorded for employees of the organization. Earning codes also link payroll to benefit-hours, imputed income, and attendance tracking. Earnings codes define processing parameters, taxability, and how earnings are reported on tax forms and printed on standard payment forms.
Sample earnings codes are included in the system and should be verified with company rules and policies. During the implementation process, add, edit, de-activate, or delete as needed.
Users cannot delete an earning record or change the code value and several processing parameters (i.e. tax rules) if the earning code is assigned to employees or has been assigned to employees of posted payrolls.
Earnings codes enable time and pay entry for paid time and earnings. For instance, on the Employee Auto Pays, an earning code is selected to direct payment of a specific earning — either a specific amount or number of hours — when automatic payments are generated. In addition, earnings codes are selected during detailed payroll entry when employee time or compensation amounts are entered.
Time imports require that the default pay codes be mapped to system earnings codes on Map Pay Codes to Earning Codes. Employee weekly timesheets require similar mapping on Time Clock Transaction Codes.
Paid earnings update the Employee Earnings Detail.
How an employee's earnings process is defined partially by earnings codes.