"Daily Salary based on" Explanation

There is an option Daily Salary based on under Payroll Module Setup, Payroll Tab, Prorated Salary / No Pay Rate Basis or Employee Class, Payroll tab

Daily Salary based on also known as Paid Days Definition.

The options for Daily Salary based on for both Global Working Hours Employees and Roster Employees are

  • Calendar Days (Default) - everyday is paid
  • 30 Days Average - every month is 30 days and the daily rate is prorata
  • 30 Days Maximum - every month is always 30 days and the daily rate is always 30 days but the days between are maximum 30 days
  • Calendar Days No Saturday - Saturdays are not paid (except Statutory Holiday falls on Saturday)
  • Calendar Days No Sunday- Sundays are not paid (except Statutory Holiday falls on Sunday)

The options for Daily Salary based on for Global Working Hours Employees are

  • Weekdays - Monday to Friday (optionally Saturdays*) are paid, Sunday are not paid
  • Weekdays+SH - Monday to Friday (optionally Saturdays*) and Statutory Holiday are paid
  • Weekdays+PH - Monday to Friday (optionally Saturdays*) and Public Holiday (may be on Saturdays) are paid
  • Weekdays+SH-PH - Monday to Friday (optionally Saturdays*) and Statutory Holiday are paid but exclude the Public Holidays (that is not Statutory Holiday)

* optionally Saturdays - Number of paid days (1, 0.5, 0) for Saturday depending on the option Saturday as Paid Day in Global Working Hours

The options for Daily Salary based on for Roster Employees are

  • Roster Normal Days - Roster table with Shift Codes are normal day are paid days
  • Roster Normal+Rest Day - Roster table with Shift Codes are normal day or Rest day are paid days
  • Roster Normal+SH - Roster table with Shift Codes are normal day or Statutory Holiday are paid days

Assume the Roster Table is defined as 25 Normal Days, 5 Rest Days and 1 SH

* Normal Days can be 1 paid day, 0.5 paid day or 0 paid day depending on the setting Paid Day treated as in Shift Code.

For Monthly Rate Employee. The purposes for this option are

  1. Calculate Number of Paid Days of the month and hence calculate the Daily Rate of the month
  2. Calculate Daily Rate for No Pay Leave (if No Pay Leave Rate Formula is not defined in Employee Class)
  3. Calculate Daily Wage for 12-month Average Wage to comply with EAO 2007
  4. Calculate the First Salary and Final Salary if the join period and termination period is not at a complete month

For Daily Rate Employee (with “Pay Regular Days for Daily Rate Employee” in Payroll Module Setup is turned on). The purposes for this option are

  1. Calculate Number of Days for Salary
  2. Calculate Number of Statutory Holiday for Holiday Pay

Examples of the effect of difference option

Assumptions:

  • Payroll Period March 2014
  • Monthly Basic Salary $10,000
  • When Weekdays, assumed Saturday is not off
  • When Roster Normal Days, assumed 15 days Normal days in March
  • When Roster Normal+Rest Days, assumed 15 days Normal days and 2 Rest days in March