Understanding of Wages

• Every Month: Select this option if employees will receive compensation money on a monthly basis. 
• Based on Hire Month: Select this option if employees will receive compensation based on the month they are hired. For example, this can be used when employees are not eligible for certain benefits until they've been employed for 6 months. 
• Based on Position Start Month: Select this option when employees will receive compensation based on the month they started working. This is particularly useful when certain benefits become available only after a specific period on the job, such as 6 months, and accommodates delayed start dates. 
• Month: Select any of the months within the list as the payment month.

This option is used for one-time compensation payments. The following are different options available:

• Based on Hire Month: Select this if employees will receive compensation based on the month they are hired. For example, a one-time sign-on bonus.
• Based on Position Start Month:  Select this if employees will receive a one-time compensation based on the month they start on the job.
• Based on Position End Month: Select this if employees will receive a one-time compensation based on the month they end the job. For example, perhaps there is a paid time off accrual that is paid out on the ending month for that position.

• Select any of the following options for Value Criteria:
  • Fixed & Equal for All Employees: Enter the percentage to calculate the compensation item.
  • Fixed & Different for Each Employee: Select an attribute as the source value.
  • Varies Annually & Equal for All Employees: Enter the percentage to calculate for each effective period. For Value % you can link to a global field by selecting the checkbox.
  • Varies Annually & Different for Each Employee: The percentage varies annually and is different for each employee.
    
    
• Percentage Value: You can define how the percentage is calculated for the compensation item.
  
  

Link the percentage value to a global field. For example a benefit rate or sign-on bonus.

Select the compensation items from the Compensation Items drop-down list to include that item in the total wages calculation, which adds up to gross pay.