Why configure Pay Type for Average Daily Wages calculation?
You would like to use ADW in your payroll calculation and therefore are required to configure pay type correctly.
Steps to create configure Pay Type
- Go to Payroll-->Job Order Template
- Locate the Job Order Template you use
- For each Pay Type, define and update the following settings
- Is Disregarded Wages?
- Is Disregarded Days?
How to define if the pay type "Is Disregarded Wages" or "Is Disregarded Days"?
Average Daily Wages is calculated as:
(12-Month Gross Salary - Disregarded Wages) / (Number of Days in the 12-month Period- Disregarded Days)
Gross Salary and Days in Period are already calculated by Backstage. So you will need to specify what are the disregarded wages and disregarded days.
Details you can see the following page: Average Wage (713)
Can I check the calculation from the system?
For the details of the calculation, you can check it by going to
- Staff payroll-->More-->Print Average Daily Schedule to check individually, or
- Analytic->Payroll-->Print Average Daily Schedule to check all the staff in once or you can filter the staff you want