Overview

Backpay normally occurs when an employee gets a pay increase in a previous period that has already been paid. Depending on the number of employees who need to be back paid, this process can be time consuming as the Consultant will need to verify each change to ensure the system has completed the calculations correctly.

Client Responsibilities

• Client to supply the Name and Employee Code of the employee/s who will have the increases applied, the effective date. and the amount of the pay increase.
• Client to check Pay Rate option for the employee/s receiving pay increases e.g. some companies record their employee pay rate using an FTE rate, the Client needs to ensure the pay rate given is the FTE rate not the 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 provided in order for the 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.

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.