What is Weekly Pay Cycle?
A weekly pay cycle is a method of paying employees where they receive their salary or wages on a weekly basis. This means that the employer pays the employee every week, typically on a specific day of the week, such as every Friday or Sunday. Weekly pay cycles can provide employees with a more frequent and predictable income stream, but may also require more administrative effort on the part of the employer to manage the payroll process.
Why it is required and who can use it?
Weekly cycle typically used for hourly workers in the construction industry and other skilled trade businesses. Weekly pay periods are ideal for employees whose work schedules fluctuate from week to week and for any organization who wish to pay salary on weekly basis.
How do we enable and configure Weekly Pay Cycle in Timelabs Payroll?
Timelabs provides a very user friendly interface for Weekly Pay cycle. Once Weekly Pay Cycle is enabled, It is processed in three steps:
1.Create Pay Cycle
2. Assign Pay Cycle
3. Pay Registers
1. Create Pay Cycle
First of all, user needs to create a pay cycle. Once Weekly Pay Cycle is enabled on your interface, Go to pay cycles Menu and click on Pay Cycles. On next page click on ‘Add new’ button to set cycle settings.
A new window will open. Update all mandatory details on weekly cycle as per company policy and at last click on the 'Save' button.
Field descriptions Pay Cycle window given below:
PayCycle: Provide a Pay Cycle name.
Pay Frequency: By default frequency is available Weekly only.
Apply From: From which date Pay Cycle is going to be applied.
Cycle Ends on: Select the day when Weekly Cycle ends (Last day of Weekly cycle).
Payment day: Select payment day for Weekly Cycle. Payment will be made on selected day only.
Cycle type: Currently Cycle applicable 'Within Month' only.
2. Assign Pay Cycle
After creating a Pay Cycle, user needs to assign that Pay Cycle to the employees. To do the same go to Pay Cycle Menu -> Assign Pay Cycle. Here select the Pay Cycle from the drop down and select employees from 'Assign Employee' tab. At last click on 'Assign Employee' button.
Here please note, Pay Cycle can be assigned to employees who do not have any Leave Policy. Pay Cycle will consider Absent, Present and Week Offs only in a week.
Once Employees are assigned to a Pay Cycle, they will start appearing under 'Already Assigned' tab on same page. User can remove or unassigned employees from 'Already Assigned' tab.
3. Pay Registers
This is the final step of Weekly Pay Cycle. At the end of the week user needs to process weekly payment. Go to Pay Cycle Menu -> Click on Pay Register. This will take you to the below page:
Here filter employee on 'Pending' status and select Pay Register of the Week. We can view the detailed salary bifurcation and attendance calculations by selecting the view mode as 'Detailed' here.
Select the employee now and click on 'Approve Selected' button. Once Weekly Salary is approved here, Employee's Timesheet for that week will be shown in 'Locked' status, and thus there won't be any further changes in Employee's Timesheet for that period.
Note: Employee assigned to a weekly Pay Cycle won't appear in Finalize Timesheet page. Their Timesheet is locked automatically whenever we process Weekly Salary as explained in step 3.