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How to Pay a Base Salary Plus Hourly Rate
How to Pay a Base Salary Plus Hourly Rate

Learn how to compensate your employees using a combination of base salary plus hourly pay.

Jeffrey Mo avatar
Written by Jeffrey Mo
Updated over a week ago

Important: Before implementing a base salary plus hourly pay structure, it is important to consult with a qualified HR professional or employment attorney to ensure compliance with all applicable laws and regulations.

Many companies compensate their employees with a guaranteed base salary plus an hourly rate for any additional hours worked. For example, a full-time employee may receive a weekly salary of $1000 plus an hourly rate of $20 for every hour worked beyond the standard 40-hour workweek.

Some companies, on the other hand, offer a base rate plus an hourly rate for all hours worked, including the standard 40-hour workweek. For instance, an employee might receive a weekly base rate of $800 plus an additional $10 per hour for all hours worked, resulting in a weekly paycheck that reflects their total hours worked.

These examples are commonly used in industries such as retail, hospitality, and healthcare.

For more information about hourly and salary: Differences Between Hourly and Salary Employees in Fingercheck.

Pay Salaried Employees Hourly with a Base Salary Plus Hourly Rate

  1. Log in to Fingercheck as an Administrator.

  2. Click the EMPLOYEES tab, and click the employee's name or number to open their profile.

  3. Set up a scheduled earning.

    1. Go to Payroll > Earnings.

    2. Click Add.

      The Add Employee Earning pop-up window appears.

    3. From the Earning Type drop-down list, select SA - Salary.

    4. Enter the Amount to be paid for each paycheck.

    5. Select the Rate Code.

    6. Click Save.

  4. Make the employee an hourly employee.

    1. Go to Personal > Position & Rates.

    2. Click the Edit icon (pencil) in the Pay Information section to enable editing.

    3. From the Pay Type drop-down list, select Hourly if it's not already selected.

    4. To ensure that the employee is paid their salary amount even if they do not punch in that week, enter a minuscule number (such as.0001) in the Automatic Paid Hours field.

      This ensures that the scheduled earnings (step 3 above) are still paid. It's small enough not to trigger the hourly wage but will trigger the scheduled earnings.

    5. Click Save.

  5. Add the hourly rate for the employee to be paid in addition to the base salary rate.

    1. Go to Personal > Position & Rates.

    2. scroll down to the Rates section > click ADD

    3. Select the effective date, and rate code, and enter the hourly rate

    4. Click Save

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