Setting up Pay Period in Zoho People
What is meant by "Pay Period" in Zoho People?
In Zoho People, a pay period refers to a predefined timeframe during which employee work hours are tracked, payroll processes are automated, and reports are generated to ensure timely and accurate payment to employees.
Watch our help video on pay period configuration:
Set up Pay Period in Zoho People
Pay Period can be configured from three places in Zoho People. Navigate to Settings > Leave / Attendance / Timesheet > Pay Period (under Configuration).
Click on Add Pay Period to setup a pay period for your organization:
To edit existing pay period, you can click on the pay period and make changes.
Multiple pay periods can be added based on different locations, employment type, and role. These settings can be configured based on how your organization operates.
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Pay Period Cycle: Select between monthly, weekly, biweekly, and half-monthly. Here, you specify the cycle of your pay period.
- End day: Select the end date of the pay period. The "Start day" will be auto-filled based on the date you have selected here.
For example, if the "End day" is selected as 25th July, then 26th of the previous month will be the start day of the pay period. (So in this example, the pay period will be from 26-June-2024 00:00 AM - to 25-July-2024 11:59PM) - Payroll processing day: Loss of pay details report & Expected vs worked hours report of the period will be processed on 23rd of every month by 11:59 PM.
- Payroll report generation day: Select the day on which the payroll report should be generated for the selected payroll processing cycle. Any further modifications to leave, attendance, or timesheets will not be counted toward this pay period cycle.
Note: This report is the final report used to process payroll for the selected pay period. - Process leave encashment: Enable this option if your organization encashes the employee for their remaining paid leave balance for the selected pay period cycle.
- Auto Approve/Auto Reject pending approval requests: Choose if you want to approve/reject any pending approval requests, such as leave or timesheet requests. For example, when you select "Auto Reject," any leave requests that are yet to be approved will be rejected, and the leave balance will be reverted. This will ensure accurate payroll processing (for the number of days worked/paid leave not taken).
- Automatically convert absences to leave: Enable this option to automatically use an employee’s available leave balance to convert existing absence records into approved leave. Leave balances are applied in the order configured here.Note:
- No approval workflow will be triggered for this process. A system indicator will be displayed for leaves added automatically.
- If Attendance Regularization, Hourly Permission, or On Duty is requested for days on which auto leave has been applied, the system will not revert the leave since payroll has already been processed for the pay period.Notify when absences are automatically converted to leave: Enable this option and select whom to notify. A feed notification will be sent to the employee and/or reporting manager when absences are automatically converted to leave. - Lock: Enable to prevent changes to attendance records after the payroll processing day (in the above example, no changes will be allowed post 27-July-2024).
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Applicable to: You can configure pay period based on employee role, work location, and employment type.
If an employee is eligible for pay period settings based on employment type, location, and role, the system will apply a single pay period using the following order of priority:
- Employment type
- Location
- Role
NOTE
In Zoho People 5.0, pay period settings define the cycle (e.g., monthly, bi-weekly) for which employee work hours, attendance, and leave data are tracked. These settings directly feed into payroll processing, ensuring accurate salary calculations based on the defined timeframes.
In Zoho People 5.0, pay period settings define the cycle (e.g., monthly, bi-weekly) for which employee work hours, attendance, and leave data are tracked. These settings directly feed into payroll processing, ensuring accurate salary calculations based on the defined timeframes.
Payroll processing software uses this structured data to compute pay, taxes, and deductions. The payroll report generation acts as the final checkpoint—it consolidates all relevant inputs (attendance, pay period data, etc.) into a comprehensive summary, helping HR verify and finalize payouts before transferring data to payroll platforms like Zoho Payroll or external systems.
Click the links below to learn more about the corresponding payroll processing integrations:
Click the links below to learn more about the corresponding payroll processing integrations:
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