Contract Payout Page

Use this page to calculate the pay and unused leave that is owed to employees whose service terminates before the end of their current contracts. The page, which displays when you click Payouts in the Actions group of the Employee Information page's Action bar, lists all of the contracted rates assigned to the employee selected and enables you to enter information for calculating the payout. You cannot assign additional rates in this page.

Running the payout process also creates a timecard for issuing the pay. This timecard loads in the first pay run that has a default end date later than the payout date specified in Contract Payout page.

The Contract Payout page only displays for employees who have contract rates. Otherwise, the Post Unused Leave page displays. The Post Unused Leave page enables you to determine the payout amount for any unused leave the employee may have. You also can access the page using the Contract Payout page's Post Unused Leave item.

For related information on contract payouts, refer to Clear Payout Dates and Amounts Page.

Menu Path:  Human Resources > Entry & Processing > Employee > Employee Information > search for and select an employee > click OK to display the Employee Information detail page > click Actions on the Action Bar, and then select Payouts

Action Bar Items

Requirements

Following are prerequisites and other requirements for running the Contract Payout and Post Unused Leave options.

Contract Payout

• Run this option after issuing the employee's last regular pay.
• The employee receiving the payout must have one or more contract rates.
• The payout date you assign in the Contract Payout page must be earlier than or equal to the period ending date of the pay run issuing the payout.

Post Unused Leave

• To receive a payout, the employee must have one or more leave banks with an unused payment method of F - Fixed Amount or P - Current Pay Rate. At least one of the employee's leave banks must have a leave balance.
• A pay code with an A - Timecard Amount pay type must be set up in the Pay Code table. This code must be assigned in the Post Unused Leave page, so that the system can generate the timecard entry for the payout.
• A single pay code can be used to charge payments for all types of leave, or you can use separate codes for each, as long as they all include an A-Timecard Amount pay type.
• A timecard must already be loaded for the employee in a current pay run that has not yet been calculated.

Calculating an employee's contract payout

1. Select Human Resources > Entry & Processing > Employee > Employee Information > search for and select an employee > click OK to display the Employee Information detail page.
2. Click Actions on the Action Bar, and then select Payouts.

3. In the Contract Payout page, complete the following fields:

   Payout Date	Enter the date when the contract balance is to be paid. The date should be equal to or earlier than the ending date of the pay run where you want the payout issued.
   Pays	Enter the number of pays the employee would normally receive in the remainder of the fiscal year.
   Days Worked	The system calculates the work days remaining in the fiscal year. This value is used to calculate the payout. If needed, you may enter a different number of days.
   Daily Rate	The system defaults the pay rate's docking rate. However, if this is an hourly rate, you must calculate the daily rate using the following equation: Daily Rate = Docking Rate x Hours Per Day
   Payout Amount	The system calculates the payout as follows: Payout Amount = Days Worked x Daily Rate If needed, you may change the value that displays.

4. Repeat Step 3 for each pay rate that qualifies for a payout.
5. To run the calculation, click OK or press <Tab> in the Payout Amount field.
   The system creates a timecard for the payout amount in the first pay run that has a default end date equal to or greater than the Payout Date. 

Important

Run the Timecard Activity report in Pay Run Processing to check for any duplicate entries that may have been created with this option.

Generating a timecard payout entry for unused leave

1. Select Human Resources > Entry & Processing > Employee > Employee Information > search for and select an employee > click OK to display the Employee Information detail page.
2. Click Actions on the Action Bar, and then select Payouts.
3. In the Contract Payout page, click Post Unused Leave on the Action Bar to display the Post Unused Leave page.
   This page also displays when you click the Payouts for an employee who does not have any contract rates.
4. In the Pay Run field, enter the code identifying the pay run where you want to issue the leave payout. The pay run must have a timecard loaded for the employee receiving the payout.
   The page defaults assigned leave codes that have an unused payment method of F - Fixed Amount or P - Current Pay Rate.
5. In the Pay Code field, enter a pay code with an A - Timecard Amount pay type. The field's drop-down list only shows pay codes with this pay type.
6. In the Value field, you may accept or change the payout amount calculated by the system.
7. Repeat Steps 5-6 for each leave bank that qualifies for a payout.
8. Click OK to generate the payout entry on the employee's timecard.
   To verify the payout, review the employee's timecard in Pay Run Processing. The amount of the payout is determined as follows:
   
   • With the F - Fixed Amount method, the system multiplies the leave balance by the amount in the Unused Pay field of the Leave table record.
   • With the P - Current Pay Rate method, the system multiplies the leave balance by the employee's primary docking rate.
   In addition to the payout, the system sets the leave banks' Balance fields to 0.00 and adds previously unused leave to the Leave Taken fields. You can view the results by re-displaying the Post Unused Leave page at any time.
   The results also display in the employee's Leave Bank tab, as well as in the Unused Leave report, after you process the pay run.