Application of Rates

Modified on Thu, 4 May, 2023 at 5:17 PM

A Rate Table is a monetary rate assigned to an individual or a group, based on specified criteria.

Depending on the nature of the workforce and the planning and budgeting requirements of an organization, Rate Tables can be used to track the amount of money an employee earns each pay period and each year.

How are Rates Tables used?

Rate tables are used to:

Multiply hours or pieces based on a specific dollar amount
Forecast labor dollars
Calculate gross dollars per payroll period
Bill a third party or customer

Types of Rate Tables

There are two types of Rate Tables that can be set up in the system. You can use a combination of these settings to meet the company’s needs.

Shared Rate Table
Personal Rate Table

Study the information below for the differences between a Shared and Personal Rate Table.

Shared Rate Table - A Shared Rate Table is one that can be shared between multiple employees. For example, any employee working in the sales department is paid $15.00 per hour.

Personal Rate Table - A Personal Rate Table is specific to an employee. For example, Joe Smith makes $10.00 per hour.

Account Rate Tables

The Account Rate Tables widget controls how Rate Tables are created when new employees are hired. Example: A company that pays a different hourly rate based on which cost center the employee works in might create a rate table named Cost Center Rates. Rate settings and labels defined here are displayed on the employee's profile.

Navigation: Admin > Global Setup > Company Setup > Company Config tab

Enable Rate – Check box used to enable Rate 1-5
Simple –Will allow the rate to be entered right on the employee’s information profile without using rate tables.
Tie To Base Compensation – Allows the tying of the Base Compensation Amount information entered on the employee’s information profile to populate within the employee’s rate table.
Use Cost Center Lists Auto Assignment – Limit Lists can be automatically created and maintained by rate tables.
Labels – Fields to enter the name of the rate table to be added to the user account.
Account Default – Specific whether the Rate Table is personal to the employee or can be shared.

	Rate Table Use Case Examples: Personal Rate Table Use Case A small downtown restaurant has various employee positions paid at hourly rates. They would like the system to pay them at their hired hourly rate and reflect this in the employee timesheets, reports, and payroll export file.
	Step 1: Enable Rate Table Tied to Base Compensation First, the System Administrator enables a Rate Table. The Rate Table is Tied to Base Compensation and then assigned the Assign As Personal Default Type.
	Step 2: Enter Employee Base Compensation Next, the company administrator can import the employee base compensation data. Here is an example of an hourly employee with a $10/hour compensation amount.
	Summary Employee's Personal Rates are applied throughout the system, such as in this example of the Calculated Time Report.

	Shared Rate Table Use Case A catering company hires employees to work in various positions based on the event's needs. They want to set up compensation based on the position they are working in and not on a flat hourly rate since they can work in different roles in a day or week.
	. Step 1: Configure Share Rate Table First, the System Administrator creates a Catering Services Rate Table. This Rate Table outlines the various positions a catering employee could work in with the appropriate rate of pay.
	Step 2: Enable Shared Rate Table Next, the System Administrator enables a Rate Table. The Default Type is set to Assign As Shared and the Catering Services Rate Table is selected.
	Step 3: Assign Shared Rate Table The Shared Rate Table displays under Rate 1 within each employee's Base Compensation widget.
	Summary The appropriate rates are applied and displayed throughout the system, such as in the Calc. Details tab within an employee timesheet.

	Combining Personal and Shared Rate Tables Use Case A janitorial service hires staff at a set hourly rate but also pays them at special hourly rates when they work in any of the sanitation positions that require additional skills. They would like Ready to track combined personal hourly rates and any Sanitation position rates.
	Step 1: Enable Personal Rate Table First, the System Administrator enables a Rate Table. The Rate Table is Tied to Base Compensation and then assigned the Assign As Personal Default Type.
	Step 2: Configure Share Rate Table The System Administrator creates a Special Sanitation Rate Table. This Rate Table outlines the various positions a Sanitation employee could work in with the appropriate rate of pay.
	Step 3: Enable Shared Rate Table Next, the System Administrator enables a second-Rate Table. The Rate Table is assigned the Assign As Shared Default Type and Special Sanitation Rate Table is selected.
	Step 4: Assign Shared Rate Table The company can then add new employees with their hourly rate in the Base Compensation Widget with the Shared Rate Table for Special Sanitation.
	Summary The company can now easily see the employee rate breakdowns in reports, timesheets, and payroll exports based on their hourly rate or Special Sanitation rates.

Rate Extensions

Another option to assign additional Rate Table amounts to a Personal Rate Table is the use of a Rate Extension. This eliminates the need to add Rates to a Personal Table that already exists in a Global Rate Table. Users can simply add a Rate Table extension, which can have Rates that live there instead of needing to continually add Rates to every Personal Table.