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Paying Shift Differential

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What is Shift Differential?

Shift differential pay refers to additional compensation for employees who work a less desirable shift, such as evening or midnight shifts. Users can configure Avionté to pay employees Shift Differential for assignments. For employees being paid shift differential, you will pay them the Reg rate and use an additional line item or transaction type for Shift Differential to pay them the difference. For example, if a job pays $15 an hour, but employees working the night shift work $18 per hour, the Shift Differential Pay Rate would be $3. 

 

Add New Transaction Type

The first step to set up Avionté for shift differential pay is to create a new transaction type to indicate the employee is being paid shift differential in addition to the normal hourly rate. To create the new transaction type: 

 

  1. Navigate to Admin Tools > Transaction Type

  2. Click Add New

  3. Enter a Name and Description for the transaction type. (Example: "Shift Differential") The Name and Description can be identical, or you may make the Description more specific.

  4. Select Paycode from the Transaction Type drop-down list. 

  5. In the Vertex CMP Code drop-down list, select Cash. This will ensure the employee is taxed appropriately. 

  6. In the Shared By section, select which branches should have access to this new transaction type. Be sure to select any branches in which you will have employees paid shift differential. 

  7. Click Save

 

Shift_Diff_Transaction_Type.png

 

Configure the Transaction Type

After the transaction type has been added to your system, there are some additional settings you will want to change to get this transaction type to function properly. To configure the properties for this transaction type: 

 

  1. Navigate to Admin Tools > Transaction Type > Property tab

  2. In the Branch drop-down field, select a branch to which you saved the shift differential transaction type.

  3. Check the Apply changes to all Branches checkbox. This will ensure that any changes made to properties will apply to all branches.

  4. Filter the Name column to the name of your shift differential transaction type. You may also use the drop-down to select the transaction type name from the list. 

  5. Scroll to the right and locate the column labeled ExcludeInMinimumWageCalculation. Set this property to True by typing "True" in the column. Then, Tab off the field to save.

    ExcludeinMinimumWage.png

  6. A prompt will appear, confirming you want to save this change for all branches. Click Yes to change for all branches. Now, 

 

Using the Shift Differential Transaction Type

Once the transaction type for shift differential is added and configured, you may add this transaction type to orders and assignments. If an employee will be paid shift differential, you can add the transaction type to the Order and/or Assignment. Then, the proper transaction type will be pulled into Time Entry when you create transactions for the order and corresponding assignments. 

 

Adding Shift Differential Transaction Type to Assignments

To add the shift differential transaction type to an Assignment:

 

  1. Navigate to the Assignment > Detail screen

  2. In the Rate section, select your Shift Differential transaction type from the drop-down list

    Shift_Diff_Assignment.png

  3. Enter the rate the employee will be paid per hour in the PayRate column. This rate should be the difference that the employee will be paid on top of the Reg rate. For example, if a job pays $15 an hour, but employees working the night shift work $18 per hour, the Shift Differential Pay Rate would be $3. 

    Shift_Diff_Rate.png

  4. Enter the rate the customer will be billed per hour for the Shift Differential in the BillRate column.

  5. Tab off the line to save.

 

 

Shift Differential in Time Entry

Once the shift differential transaction type is added to the Assignment, the employee's transaction will be created in Time Entry with the proper Shift Differential line item. Enter the total hours the employee worked in the Reg Pay Rate column. Add the number of hours for which the employee should be paid Shift Differential in the Pay Unit column for the Shift Differential line item. The Bill Unit column will automatically update with the same number. Tab off the line item to save, and the employee's Total Pay and Total Bill will calculate. 

 

Shift_Diff_Time_Entry.png


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