PENTA Hourly Pay Rate Selection Hierarchy

Issue/Symptom/Question

What is the PENTA Pay Rate Selection Hierarchy?

Applies To

Payroll 

Payroll > Employees > Employee Information

Payroll > Setup > Pay Groups, Payroll Classes and Workers Compensation > Payroll Class

Project Management > Jobs > Job Information > Payroll tab

Project Management > Job Standard Charge Schedules

Resolution/Fix/Answer

  1. Rates Overridden during time entry
  2. Rates at the Job/Employee/Cost Type/Costcode level (Job/CT/CC Pay Rate/Charge Schedule)
  3. Rates at the Job/Employee level (Job Employee Pay Rate/Charge Schedule)
  4. Rates at the Job/Payroll Class and Pay Rate level (Job Pay Rate/Standard Charge Schedule)
  5. Rates at the Job Type/Payroll Class and Pay Rates level (Job Type Pay Rate/Standard Charge Schedule)
  6. Rates from the Pay Rate standard charge schedule assigned to the job
  7. Union Reciprocity
    1. By payroll class
    2. By union
  8. Rates overridden at the Employee level
  9. Rates entered at the Payroll Class and Pay Rate level

Note:

  • If a job is not flagged as a Prevailing Wage job, PENTA steps through the hierarchy until it finds an applicable pay rate
  • If a Job is flagged as a Prevailing Wage job, and there are no time entry override rates, PENTA compares the pay rate associated with the job, from hierarchy steps 2-6, to the Employee's pay rate and pays the greater of the two rates.
  • If a Job has a Union associated with it and the Employee belongs to a Union Payroll Class, the Union Reciprocity rules apply.  PENTA finds the union reciprocity rule for the Employee's Union and the Job's Union and selects the hourly rate based on the rule (Home Union, Work Union, Prevailing) is paid.
  • System Option 185 - Special Pay Rate vs Prevailing Wage:
    • N(No) - Special Pay Rate is only used if > Prevailing Wage Rate
    • Y(Yes) - Special Pay Rate overrides Prevailing Wage
  • PENTA applies Minimum Pay Rates by comparing the rate determined by the selection hierarchy to rates established in the Employee Payroll Information window Pay Rate tab Minimum Pay Rates pop-up window, and pays the Employee the higher of those two rates.