Pay schedules are the heart of OnPay. You want a pay schedule for each of the different pay periods you have. Most companies just have one, such as a bi-weekly payroll that falls on every other Friday, or a semi-monthly payroll that falls on the 1st and 15th. Some companies have more than one, such as a bi-weekly payroll on every other Friday for regular employees, and a monthly payroll on the first of each month for owners/managers.
OnPay gives you the ability to have as many pay schedules as makes sense for your company. Pay schedules should never be made for each employee unless every employee is paid on a different day or for a different period.
To create a pay schedule, simply navigate to the dashboard and choose +Add Pay Schedule.
When you choose +Add Pay Schedule you will be presented with a window to start building your schedule. The first thing you do on this page is name your schedule. The most common naming convention is to name a schedule by the frequency, so you will name a bi-weekly schedule "Bi-Weekly". You can also name it based on the people who are assigned to it, such as "Management", or "Floor Techs". The trick here is to keep it simple and to make sure that you can tell who should be in each schedule easily. Once you have named your schedule, you will need to choose the frequency. The frequency determines how often your employees will be paid.
Weekly: A weekly payroll schedule is for those that pay on the same day each week. This pay schedule will result in 52 paydays each year. For example, your check date is Friday each week. Here is an example: Your employees pay period (the time period in which they accrue hours or earn a salary) is Sunday to Saturday (will always be 7 days), and you pay them the next Friday (known as a one week hold back). We always recommend somewhere around a one week hold back for employers with hourly employees as it gives you time to collect, process, and run payroll for the hours without being rushed.
Here's how you set that schedule up in OnPay:
Bi-Weekly: A bi-weekly payroll schedule is for those that pay on the same day every other week. This pay schedule will result in 26 paydays a year. For example, your check date is on Friday every other week. Here is an example: Your employees pay period (the time period in which they accrue hours or earn a salary) is Sunday to Saturday + the next Sunday to Saturday (it will always be 14 days) with the check date being the next Friday after the last week of the pay period.
Here's how you set that schedule up in OnPay:
Semi-Monthly: A semi-monthly pay schedule is for those that want to pay on the same two days every month. This pay schedule will result in 24 paydays per year. The most common semi-monthly pay schedule results in pay days on either the 1st and 15th of a month or paydays on the 10th or 25th of a month. In either scenario, the work days in a month must be split up as evenly as possible. OnPay will handle that split for you as long as you tell us the period start and end date of the next two pay periods you will experience, and the check dates you want to be associated with those periods. Here is an example of pay days on the 1st and 15th:
As you can see the pay schedules span across months and can often time lead to check dates on weekends. These two things typically make semi-weekly pay schedules harder to account for and also more erratic for employees because their pay comes on different days of the week each month. Here is how to set up this pay schedule in OnPay:
Notice OnPay asks you to indicate the period start and end dates begin in the current month or the previous month. That is because we will try to make it the same for each period regardless of what day of the week the period start and end dates occur on. Also, not all months have the same amount of days. For those that wish to use the last day of each month as a period start, end, or check date, then we provide that option as well.
Monthly: A monthly pay schedule means you pay on the same day every month. This pay schedule will result in 12 paydays per year. For instance, you have a pay period that starts on the 1st of the month and ends on the last day of the month, with a check date of the 5th of the next month. Many companies that have mainly salary employees making larger amounts, or companies where the owner is the only employee choose to use a monthly schedule. It is simply not practical for most regular employees to be paid only once a month. Here is an example of a monthly pay schedule:
Here is how to set it up in OnPay:
Those are the 4 pay schedules you can create in OnPay. Remember, these are as customizable as you want them to be! If you are a brand new business we would highly recommend you use one of our schedule examples here as these are tried and true and work for the majority of businesses we service. Of course, we understand that these things can be complicated so please feel free to contact us if you need any help setting up your schedule!
Make a mistake? No worries! You can edit any pay schedule you have already added. Click here to learn how to edit a pay schedule. However, if you created more schedules than you need, or if you no longer need one of your pay schedules then you can request that this is removed by sending an email to email@example.com.