The Piecework Pay option within the EBMS Payroll Module allows the user to pay an employee by the piece instead of salary or by the hour.
In this article
Piecework Description | Enable Piecework Payroll | Module Features | Sample Reports
Getting Started
Piecework Pay is an optional module in the Labor section of EBMS. Review the Optional EBMS Modules section of the main documentation for more details on how to identify or add optional modules.
The piecework pay option within the EBMS payroll system allows the user to pay an employee by the piece instead of by salary or by the hour. Work codes within the system can contain piecework pay rates and are entered into the timecard in a similar manner as standard pay. The number of pieces or units are entered into the timecard instead of the number of hours. The unit pay is derived from the Work Code record rather than the worker's hourly or salary pay entered within the worker record.
The system will calculate makeup pay if the employee’s pay does not meet minimum wage requirements. Review the Minimum Wage and Makeup Pay section for more details on makeup pay. The amount of time spent doing piecework is calculated using the daily hours feature of the payroll system. Recording the daily hours for an employee is important if the employee is paid with piecework rates. Review the Daily Hours section for more details on recording daily hours for an employee.
The EBMS piecework option includes the tools to calculate overtime pay for piecework and makeup pay. Review the Calculating Overtime section for overtime pay calculation details.
Enable Piecework Payroll
Complete the following steps to enable the piecework option:
- Go to from the main EBMS menu to enable piecework options:
- Enable the Calculate overtime on piecework option to increase piecework pay during overtime hours. Review the Calculating Overtime Piecework Pay section for more details on this option.
- Enable the Allow entry of piecework rates for individual employee option if piecework rates vary based on the worker. Review the Variable Piecework Pay by Employee section for details.
- A piecework Pay Type must be created if the type does not already exist. Go to Labor > Labor Options and click on the Pay Types tab to view the existing pay types.
- Click on the New button to add a piecework Pay Type if the type does not already exist.
- Enter a common Description for the piecework pay type such as Piecework.
Note: The description field does not need to match the Type, but it is best practice to keep the pay type descriptions as clear and concise as possible, so it is fine if the Description and Type fields match. - Set the Type option to Piecework.
Note that the Base option is disabled since all piecework is based on units rather than dollars or hourly. No other options are applicable for a piecework pay type, so they will grayed out.
The piecework pay type must be added to the list of pay type options for an employee or group of employees. Review the Pay Tab section of Changing Worker Information to set up pay types within a worker record. To set pay types for all workers or a group of workers, review the Setting Worker Defaults section.
Piecework Pay Rates
Work Codes within the system can contain piecework pay rates that are entered into the timecard in a similar method to standard pay. The number of pieces or units are entered into the timecard instead of the number of hours. The unit pay is derived from the work code record rather than the employee's hourly or salary pay entered within the employee record.
Makeup Pay
The system will calculate makeup pay if the employee’s pay does not meet minimum wage requirements. The amount of time spent doing piecework is calculated using the Daily Hours feature of the payroll system. Recording the daily hours time of an employee is important if the employee is paid with piecework rates.
Horticulture Module Integration
The piecework system within EBMS can be combined with the Horticulture module designed for an orchard or produce grower. This combination allows the user to pay the harvest employee by the piece and track the labor costs and yields per acre or block by using piecework and bin codes.
Features
- Pay employees by the piece instead of salary or by hour.
- Work Codes can contain piecework pay rates.
- Calculate makeup pay if the employee’s pay does not meet minimum wage requirements.
- Calculate the amount of time spent doing piecework using the daily hours feature of the payroll system.
- Integrates with the Horticulture Module designed for an orchard or produce grower to pay a harvest employee by the piece and track the labor costs and yields per acre or block.
- Set different Piecework Pay per employee.
- Verifies minimum wage based on daily hour information.
- Includes Piecework Pay Reports.