Overview

Backpay normally occurs when an employee gets a pay increase in a previous period that has already been paid.
Depending on the numbers of employees who got back paid normally this processing is quite time consuming as consultant will need to check one by one if the system has done the calculations correctly.

Client Responsibilities

• Client to supply in the Name and Employee Code of the person/people who have the increases with effective date an amount of the pay increase.
• Client to check Pay Rate option for the employee/s who are getting pay increases. Eg: FTE or Annual Salary as some companies recorded their employee pay rate using FTE rate, therefore make sure the pay rate given is the FTE rate not Annual Salary rate.
• If the effective date of the increases occurred part way through a pay period (middle of the pay run) then a split hour may need to be advised for consultant to work out which hours should be paid at the old rate and which hours should be paid at the new rate. Please note this includes other hours such as overtime.

EasiPay responsibilities

• Update the employee/s pay rate with the effective date as per what was supplied.
• Apply back pay to employee/s and ensure correct start date is used when back pay is applied.
• Execute the back pay and check if the system calculates back pay correctly
• Consultant to check if there are any split hours and if its calculating correctly. The consultant may need additional information to ensure the correct pay rates are paid.

Things to note:

• Back pay process is chargeable at $150/hour
• Make sure back pay and increases are to be communicated in effectively time manner with consultant as the process could be time consuming.
• Alternatively, a separate (manual) run could be scheduled to process the back pay after or before main payroll process.