Earning Type Codes

Form ID: (PR102000)

By using this form, you can do the following:

Define earning type codes, which are used to record hours and earnings information for employees
Specify the reporting type for the W2 report
Specify default projects and tasks for each earning type code (for compatibility with the project accounting functionality)
Specify whether an earning type is subject to various taxes
Specify whether an earning type is subject to workers' compensation
Specify whether an earning type accrues time off

Form Toolbar

The form toolbar includes only standard buttons. For the list of standard buttons, see Form Toolbar and More Menu.

Summary Area


Element	Description
Code	The unique identifier of the earning type. The list of earning types may be modified by the user as needed. If an earning type has been defined on the Earning Types (EP102000) form, such types are available for selection. The following predefined options are available out of the box: HL: Public Holidays OT: Overtime RG Regular Hours VL: Vacations
Description	The description of the earning type code.
Earning Type Category	The category to which the earning type belongs. The following options are available: Wage: The earning type is to be processed as a normal earning. Earnings with this type will be available on the Compensation tab of the Employee Payroll Settings (PR203000) form. The regular hours on the Payroll Preferences (PR101000) form will display only earnings with this type. Overtime: The earning type is to be processed as an overtime. With this option selected, the Regular Time tab appears on the form and the Multiplier box becomes available for editing. The option is selected by default if the predefined Overtime code is selected in the Code box. Piecework: The earning type is to be processed as a piecework. That is, if the earning type is selected in the record of the table on the Earning tab of the Paychecks and Adjustments (PR302000) form the Unit and Unit Type columns become available for the record and the system calculates earned amount by multiplying the rate by the number of units instead of hours. If an employee has been assigned a piecework earning type on the Employee Payroll Settings (PR203000) (PR203000 form) and you add such an employee to a payroll batch on the Payroll Batches (PR301000) form, you can specify the number of units and their type in the table of the Employee Earning Details dialog box. This type of earnings is not included in overtime calculation. The check box is available only if the Enable Piecework as an Earning Type check box is selected on the Payroll Preferences (PR101000) form. Amount-Based: The earning type is based on amount rather than on hourly rate. That is, if the earning type is selected for a record on the Earning tab of the Paychecks and Adjustments (PR302000) form, you will not be able to specify values in the Hours and Rate columns for this record. Time Off: The earning type is to be processed as time off. Only earnings with this type are available on the PTO Banks (PR204000) form for disbursing earnings. The Holiday Earning Type for Quick Pay setting on the Payroll Preferences (PR101000) form will only display codes with this type. With this option selected, the Regular Time Type Code box appears below it.
Multiplier	A numeric value that is multiplied by the employee's standard pay rate in order to determine the final pay rate. The standard pay rate By default, this value is set to 1. The box becomes available for editing if the Overtime option is selected in the Earning Type Category box.
Regular Time Type Code	The earning type of the Wage category that is to be used as the source of the pay rate for paid time off. The box is displayed only if the Time Off option is selected in the Earning Type Category box.
Active	A check box that indicates (if selected) that this code is available for use.
Contributes to WCC Calculation	A check box that indicates (if selected) that the system uses a WC code from employee's time activities or payroll settings when inserts an earning line in a paycheck or in a payroll batch.
Accrue Time Off	A check box that indicates (if selected) that the hours linked with the code will be considered for PTO calculation.
Public Holiday	A check box that indicates (if selected) that earnings of this type are included in records of employment generated on the Record of Employment (PR303000) form for employees whose employment has been terminated. This check box appears only if the Canadian Payroll feature is enabled on the Enable/Disable Features (CS100000) form and is available only for the earnings of the Time Off earning type category.

Regular Time Tab

This tab appears only if the Overtime option is selected in the Earning Type Category box in the Summary area of the form. By using the table on this tab, you can associate multiple earning type codes of the Wage, Time Off, and Piecework categories with one earning type of the Overtime category. The system will use the code with the highest rate when calculating overtime pay for employees.

If multiple regular earnings are specified in the table and if those earnings are used in one paycheck, the system uses a regular rate with a weighted average when calculating the overtime rate. Earnings of the Piecework type are included in the calculation of an average regular rate as well if the number of hours worked is specified for those earnings in the paycheck so that the system can calculate an hourly rate; otherwise, only regular hours are used.

Table 1. Table Columns
The table toolbar includes only standard buttons. For the list of standard buttons, see Table Toolbar.
Column	Description
Code	The earning type to be used for the calculation of the overtime amount.
Description	The description of the earning type code.
Earning Type Category	The category of the earning type, which can be one of the following: Wage, Time Off, or Piecework.

US Tax and Reporting Tab

This tab appears only if the US Payroll feature is enabled on the Enable/Disable Features (CS100000) form.

Table 2. Summary Area
Element	Description
Wage Type	The unique identifier of the wage type. The tax engine uses this value to determine the rate to apply to the earning code. The following predefined options are available: Coronavirussick: This type is recommended for any pay that you or your tax adviser deem eligible because of the Families First Coronavirus Response Act (FFCRA). Overtime: This type is recommended for overtime pay. Regular: This type is recommended for normal salary. Supplemental: This type is recommended for bonuses or any pay that you or your tax adviser states need to pull in at a higher taxing bracket. Tips: This type is recommended for tip earnings. Tip: If the box is empty or displays a number, you need to open the Tax Maintenance (PR208000) form and click Update Taxes on the form toolbar to update tax definitions.
Reporting Type	A code that determines whether this earning type will appear in Box 12 of the W- 2 report and which code it will use. See the IRS instructions for Form W-2 for more information.
Subject to Taxes	The method to be used to determine the list of applicable taxes. The following options are available: Per Tax Engine: The code is subject to taxes retrieved from the tax engine. All: The code is subject to taxes retrieved from the Taxes tab of the Employee Payroll Settings (PR203000) form. None: The code is not subject to any taxes. All but Listed Below: The code is subject to taxes retrieved from the Taxes tab of the Employee Payroll Settings (PR203000) form with the exception of taxes specified in the table on the Subject to Taxes tab of the form. None but Listed Below: The code is subject to taxes specified in the table on the Subject to Taxes tab of the form.

Table 3. Table Columns
This table is used to create the list of taxes that this earning type is subject to.

The table toolbar includes only standard buttons. For the list of standard buttons, see Table Toolbar.
Column	Description
Tax Code	The specific tax code to include.
Name	The name of the selected tax code.

CAN Tax and Reporting Tab

This tab appears only if the Canadian Payroll feature is enabled on the Enable/Disable Features (CS100000) form

Table 4. Summary Area
Element	Description
Wage Type	The unique identifier of the wage type. The tax engine uses this value to determine the rate to apply to the earning code. Tip: If the box is empty or displays a number, you need to open the Tax Maintenance (PR208000) form and click Update Taxes on the form toolbar to update tax definitions.
Federal Reporting Type	A code that determines whether this earning type will appear in the T4 report and which code it will use.
Quebec Reporting Type	The reporting type specific to the province of Quebec.
Supplemental Income	A check box that indicates (if selected) that earnings of this type are considered as supplemental income.

Table 5. Table Columns
Column	Description
Tax Code	The specific tax code applicable to earnings of this type.
Name	The name of the tax code.
Taxability	The applicability of the tax code to earnings of the type.

Projects Tab

The settings on this tab designate the default project and project task to use for project management purposes when this earning type is selected.

This tab is available only if the Projects feature is enabled on the Enable/Disable Features (CS100000) form.


Element	Description
Default Project	The project to be used by default for activities with the selected earning type.
Default Project Task	The project task to be used by default for activities with the selected earning type and project. If in the box above you select a project that has a default project task, this task is automatically populated in this box.
Billable	A check box that indicates (if selected) that this is a billable earning type for project billing purposes.

GL Accounts Tab

The settings on this tab determine GL accounts to be used to record code related transactions.


Element	Description
Earnings Account	The expense account to be used by default to record the earnings.
Earnings Sub.	The corresponding subaccount to be used with the earning account. The box is displayed if the Subaccounts feature is enabled on the Enable/Disable Features (CS100000) form.
Benefit Expense Account	The expense account to be used by default to record the benefit expense linked with the earning.
Benefit Expense Sub	The corresponding subaccount to be used with the benefit expense account. The box is displayed if the Subaccounts feature is enabled on the Enable/Disable Features (CS100000) form.
Tax Expense Account	The expense account to be used by default to record the tax expenses linked with the earning.
Tax Expense Sub	The corresponding subaccount to be used with the tax expense account. The box is displayed if the Subaccounts feature is enabled on the Enable/Disable Features (CS100000) form.
PTO Expense Account	A general ledger account used to record expenses associated with paid time off. This box is displayed only if the Canadian Payroll feature is enabled on the Enable/Disable Features (CS100000) form.
PTO Expense Sub.	The corresponding subaccount used with the PTO expense account. The box is displayed only if the Subaccounts and Canadian Payroll features are enabled on the Enable/Disable Features (CS100000) form.