Grade Rates with Hourly Amounts
You can use this recommended setup for grade rates and salary for workers who are paid at an hourly rate, including those on zero-hours contracts for accurate reporting of notional and actual salary in the Salary History file.
Create a Grade
- Use the Grades task to create a new grade. Include grade steps, grade ladder and additional MyCSP information.
- Create hourly grade rates to meet your requirements. (You can also do this using the Grade Rates task).
- Enter the details as shown:
Grade Rate Information
Field Description Rate Type Salary Frequency Hourly Annualization Factor See below Currency GBP The annualization factor converts base pay to an annual amount (52 x standard working hours).
For example:
52 * 40 hours per week = 2080
52 * 37 hours per week = 1924
Create Salary Basis
To create an hourly salary basis:
- Use the Salary Basis task.
- Enter the details as shown:
Create Salary Basis: Hourly Worker
Field Description Salary Basis Type Salary amount is determined by user. Frequency Hourly Annualization Factor As specified on the grade rate, e.g., 2080. - Select the Element Mapping tab to select the salary basis element
details:
Field Description Payroll Element Salary payroll element Input Value Pay Value - Select the Salary Ranges tab to associate the salary basis with the previously created grade rate: