Here is where your company will create your “Company Earnings”. This area is frequently referred to as “Company Level Earnings”. The reason is because all company earnings have to be created here FIRST for two, important reasons.
- Earnings created at the company level will appear on the time entry grid where payroll is entered as long as the option “Frequently Used” is selected during the earning setup process.
- Earnings created at the company level will be able to be chosen at the employee level when an employee receives a fixed earning with every payroll.
- For example, if an employee receives a $200.00 expense reimbursement with every payroll, that earning can be chosen to be paid out with every pay period for that specific employee.
When you click on “Company Earnings” you will arrive at this screen. Simply click, “Add Earning” to begin creating your earnings.
Please note, “Regular Wage” is a default earning that can’t be deleted. In the image below, the “Display Order” is listed as “1” for the “Regular Wage” earning. That means this earning will appear in the time entry grid in the first position.
As you are creating earnings, you will be asked to choose the “Display Order” to determine the order in which you want the earnings to be displayed on the time entry grid. You can’t use the same number twice, so if you lose track of which display order numbers are taken, simply click back to the list and you will clearly see which numbers have already been used.
Adding a New Earning
First you will click on “Add Earning”, then click the drop down box under “Earning Type” and select the earning you want to add. If you cannot find the exact name of an earning you’re looking for, you can simply choose an earning that’s the same type of earning but called something else for your company. For example, for “Parking Ticket Reimbursement”, you would choose “Expense Reimbursement”, then in the Earning Name field, you would type “Parking Ticket Reimbursement.” Then, for “Frequently Used” choose “Yes” if you need this earning to appear in the time entry grid every time you process payroll. “Yes” is most common. The other settings are set by default and are rarely changed. When you are done creating your earning, click “Save & Add More” or “Save & Exit”.
Creating a Custom Earning
- If you have a truly unique earning that is not similar to the list of UZIO earnings in the “Earning Type” drop down list, choose “Other” at the bottom of the list.
- Type the earning name you wish, enter the display order in which you want it displayed in the time entry grid.
- Choose if it’s a paid earning or not.
- Check “Yes” for “Frequently Used” if it should be displayed in the time entry grid.
- Choose if it’s hourly based or not. If it’s hourly based, you will either enter the multiples of the regular wage or enter a fixed hourly rate.
- Choose Yes or No for “Disposable Income”. Most of the time this is “Yes” unless it is a non-taxable reimbursement of sorts which is not considered “Disposable Income”. Disposable Income is the amount of money remaining after all mandatory deductions have been withheld from the taxable wage. Here is a helpful article on Disposable Income.
Why is This Important?
Ensuring your company earnings are created accurately is critical to ensuring payroll issues don’t occur. Broadly, creating earnings is an extremely simple process however, if you have a complex earning you’re unsure of, we advise you to speak with your accountant to determine the best way to set up that earning.