How to Pay Piece Rates

If you need to pay fixed piece rates for employees as opposed to an hourly rate, this can be set up easily within the system. There are a couple of steps required to set this up but it allows you to set up as many different piece rates as you need. 

Here are the steps to follow:

1. Set up pay categories for each different type of piece rate and make the pay category a 'fixed' pay category type.
   
   
   
   You cannot assign a 'fixed' pay category to an employee on their pay run defaults page, however, if you want the fixed pay category to show in each pay run, go to the 'Employee file > Pay rates' page and tick the 'Show in pay run' box.
   
   
2. If you need rates to fluctuate according to seasons or other factors, set up a pay rate template which has the rate per kilo (e.g) for each piece rate. Apply this to each relevant employee by going to their 'Employee file > Pay rates' page and selecting the template from the drop down box:
   
   
   
   When the prices change, change the pay rate template and the changes will flow through to each employee.
   
   
3. If employees are using timesheets, Set up a work type for each pay category created above. Make the work type available for all employees. 
   
   
   
   
4. When they complete the timesheet, they can select the work type and enter the number of units (e.g. kilos) rather than a start/finish time because the work type is linked to a fixed pay category.
   
   
   
   

If you have any questions or feedback please let us know via support@nzpayroll.co.nz