What We’ll Cover
- What is Salary Allocation?
- Setting up Salary Allocation
- Types of Salary Allocation
- Viewing Salary Cost in the Schedule
What is Salary Allocation?
Salary Allocation allows you to assign and distribute salary costs across your schedule in order to get accurate reporting on how you pay salaried staff. Salary costs appear within the Stats panel in the Schedule, as well as in Reports. Salary costing is not exported to payroll, and is only used for reporting purposes within Deputy. This article will demonstrate how to set up and review Salary Allocation for your salaried staff.
When is Salary Allocation Helpful?
This is particularly helpful in instances where salaried staff (i.e Healthcare Professionals, Government Employees) only work certain days of the week, with different amounts of time per day, but with similar duties, where you would like to allocate their salary to the full days they are scheduled.
Setting up Salary Allocation
To apply Salary Allocation to an employee, they will first need to have a Salary set as their pay rate. To do this, go to the People tab.
In the People tab, find the employee you wish to configure, and click Options.
Choose “Edit” to access the employee’s profile.
The employee’s profile will open to their General information, indicated beneath the employee's picture.
Click “Pay Rates & Leave.”
The Pay Rates should say "Salary" at the top of the page. If not, click the triangle.
Under Salary Period, select whether the employee’s salary can be entered as Annual or a Weekly.
After selecting your period, you can then enter the appropriate Salary Amount for your employee. If you have selected “Annual” for your Salary Period, you will be shown the weekly salary derived from that annual salary. The calculation for this is (Annual salary / 365 x 7) or (Annual salary / 366 x 7) on a leap year.
To enable Salary Allocation, click the dropdown for Salary Cost Allocation and choose your preferred allocation type (described below).
Types of Allocation
There are 4 types of Salary Cost Allocation.
- No allocation
- Days of the Week - fixed days
- Scheduled Days
- Scheduled Hours
1. No Allocation
This option will generate no costing for this employee.
2. Days of the Week - fixed days
This costing option is useful if your employee works set, predictable days in the week with no exceptions. You can select these days in the Week Days Salary Allocation section by ticking the boxes for the relevant days. The daily cost figure for that employee will be calculated by dividing the weekly salary evenly across the selected days.
Note: This costing does not require the employee to have a schedule in order to appear in reporting.
As the employee doesn’t need schedules for this costing to be created, you will need to specify which area in Deputy that you prefer the salary to cost to by selecting it in the Specify Areas to Allocate Salary field.
3. Scheduled Days
This option is best used if a salaried employee works different, non-predictable days of the week and will evenly distribute the salary across the days that they are scheduled to work.
Example: If the employee is scheduled to work on Sunday, Monday and Tuesday, it will take the weekly salary and divide it by 3, then allocate the costing to each of the days they are scheduled.
After selecting “Scheduled Days,” you will have the option to allocate the costing in two ways:
- Scheduled area - allocates cost to the Area in which this employee works their shift
- Specific area - allocates cost to a specified Area, regardless of where the employee actually works during their shift
4. Scheduled Hours
This option is similar to Schedule Days, however it will distribute the costing based on the number of hours worked on each day, instead of distributing it evenly across the days. See below example.
Example: An employee has a weekly salary of $1000. They work 20 hours in a week, and one of their shifts in that week is 8 hours long. So how much is the cost of the 8 hour shift? For this allocation, we take the weekly salary ($1000) divided by the hours worked (20) and multiply that by the shift length (8).
$1000 ÷ 20 x 8 = $400
Viewing Salary Cost in the Schedule
Salary costing figures that have been generated for an employee can be seen in the Daily and Weekly Summaries at the top of the Stats panel at the top of their schedule.
The panel will show the total number of shifts for the day, as well as the hours and cost of those shifts.
Note: If you can’t see the Stats panel you can open it by clicking the Stats button in the top right of the schedule screen.
The Employee list on the left will show cost for Hourly paid employees, but salaried employees simply show as “Salary.”
Note: If you have enabled the Apply and Report On-Costs option in your Location settings, then any Salary Costing generated in that location will have the additional On-Cost percentage applied to it.
You can run reports on the Salary Allocation costing for an employee or a location in the Reports tab.
Look for “Schedule vs Timesheet vs Sales,” and click View full report.
This report will provide you with an overview of the salary costing for each salaried employee in the Salary Cost column and where it has been allocated.
Note: If you make any changes to the salary allocation for an employee, the new costing amounts will only reflect for future dates and will not update the employee’s past salary allocation costing.
For any further assistance with Salary Allocation, please reach out to our 24/7 Live Chat team through the chat bubble in the bottom right of Deputy.