Piecework Pay

Entering Piecework Pay into the Timecard

Piecework pay is entered into the timecard using the Labor > Timecard Entry dialog, similar to hourly pay types.  Complete the following steps to enter piecework pay into a timecard:

  1.  Open a timecard by clicking on the Labor > Timecard Entry:

  2. Review daily hours: It is important that the Daily Hours settings of the timecard are entered if the employee’s timecard contains piecework pay.  Review the Daily Hours and Memos section of the labor documentation for details on this entry. 

  3. Enter the pay details into the main timecard table. These detail lines may contain a mix of piecework pay and standard hourly pay.

  4. Enter the Date that the work activity occurred. (Whether the work is hourly or piecework.)

  5. Set the Pay Type setting, which will determine whether the pay is based on piecework or standard pay. The piecework option must be enabled within Labor > Labor Options > Pay Types tab. Review Piecework Pay Overview of the labor documentation for details on creating the piecework Pay Type.

  6. The Work Code setting is dependent on the Pay Type setting. Only work codes that have a wage type of Piecework can be entered if the Pay Type is set to Piecework. Go to Labor > Work Codes to view, edit, or create work codes. Setting the Pay Type field to Piecework requires a Work Code to match that type. Review the Creating Piecework Work Codes for more details on piecework work codes.  

  7. In the Hours/Units column, enter the number of hours if the employee is being paid hourly and enter the number of units if piecework pay is being entered. For example, this column can be used to record 4 for four hours worked or 32 for 32 pieces processed. (The pay type and work code will determine whether the number is processed as hours or units.)

  8. The Rate is derived from the rate set in the work code Piecework tab, if the Pay Type is set as piecework. The Pay column always reflects the employee's pay, no matter what type of pay is being entered into the timecard.

  9. The Location will default from the worker record setting. Change it if the work rendered on this line is in a different location. Review the Taxes for Multiple Locations section for more details.

Review the Entering Timecards section of the payroll documentation for details on other columns within the timecard.

Makeup Pay and Piecework Hours are summary values at the footer of the timecard that should be evaluated when processing timecards that contain piecework pay.

Makeup Pay is used to compensate the employee if the total pay does not match minimum wage requirement. The Piecework Hours value is calculated by subtracting the standard hours from total of the daily hours entered within the daily hours list. (Daily Hours Total - Standard Hours = Piecework Hours)

Go to View > Daily Hours in the timecard menu to select and display the daily hours on the top right pane of the timecard. Review the Minimum Wage and Makeup Pay section for more details on Makeup Pay and Piecework Hours.