Absence request payouts for salaried employees

Some organizations choose to report on pay stubs absence hours or earnings that salaried employees take separately from regular earnings. To accommodate instances where a salaried employee exceeds their allocated entitlements for the year and takes an absence that is paid at a reduced rate or is unpaid, Sparkrock 365 includes a Salary Hourly Rate field and related compensation journal functionality.

Salary Hourly Rate field

To help with payouts of absences or banked balances for salaried employees, on the HR Employee Assignment Card page, Sparkrock 365 includes a Salary Hourly Rate field.

Sparkrock 365 automatically calculates the value of the Salary Hourly Rate field.

To determine the value of the Salary Hourly Rate field, Sparkrock 365 uses the following calculation:

Salary Hourly Rate = (Annual Salary on Amount field x Active FTE x Pay Grid Pay Period Adj. Factor x Pay Period Frequency) / Hours per Year

Example

Consider the following scenario:

  • A part-time employee records an absence of 7.5 hours.
  • The employee has a FTE of 1.0.
  • The employee has a salary of $55,000.
  • The number of pay periods is 26.
  • The pay period adjustment factor is 1 / 26 = 0.0384615385.
  • The number of hours per week are 37.5.
  • The hours per year are 1950.

To determine the payout for the absence, Sparkrock 365 performs the following calculations:

  • Salary Hourly Rate:

    ($55,000 x 1.0 x 0.0384615385 x 26) / 1950 = $28.205128233

  • Absence payout:

    $28.205128233 x 7.5 = $211.54

Compensation journal for absence request payouts for salaried employees

Absence requests for salaried employees appear in the compensation journal.

The values for Amount and Days Worked in Pay Period are adjusted accordingly for the absence requests.

Example

Consider the following scenario:

  • An employee earns a salary Amount of $55,000.
  • The Active FTE for the employee is 1.00.
  • The employee has an HR Pay Cycle Code of BIWEEKLY.
  • The Pay Period Amount is $2,115.38.
  • The Salary Hourly Rate is $28.205128233.
  • The employee works 7.5 hours a day and 37.5 hours per week.
  • The following HR pay codes are setup:
    CodeDescriptionHR Pay Code Multiplier
    EARN SALARYEarn Salary1.00
    UNPAIDUnpaid Sick Leave-1.00
    EARN SICK 90-SALSick Leave Paid at 90% of Salary0.90
    EARN SICK PAY-SALSick Leave Paid at 100% of Salary1.00

If this employee had 3 absences in the pay period, one for each of the HR pay codes, the lines in the compensation journal would appear as described in the following table.

HR Pay Code Hours / Days Absence Quantity Multiplier Paid FTE Amount Per Pay Assignment Amount HR Pay Cycle No. of Days in Pay Period Days Worked in Pay Period
EARN SALARY 60 0 1.00 1.00 1,692.30 2,115.38 BIWEEKLY 10 7
UNPAID -7.5 7.5 -1.00 0.00 -211.54 0.00 BIWEEKLY 0 0
EARN SICK 90-SAL 7.5 7.5 0.90 0.00 190.38 0.00 BIWEEKLY 0 0
EARN SICK PAY-SAL 7.5 7.5 1.00 0.00 211.54 0.00 BIWEEKLY 0 0

Payroll administration
Absence payouts

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