Pay Type Management: A Guide for Custom Pay Types and Import Codes

Namely’s Pay Type Management feature is a tool that empowers you to create custom pay types and import codes, allowing for a tailored payroll experience that suits your unique business needs. In this guide, we'll walk you through the process of adding and managing pay types and import codes, as well as provide some valuable tips and tricks to ensure a seamless experience.

Adding Pay Types and Import Codes

Access Pay Type Management:

  1. To get started, navigate to the Company within Namely Payroll.

  2. Select Pay Types from the left navigation menu.

  3. You'll now notice a new button labeled Add Pay Type. Click on it to begin the process.

Customize Your Pay Types:

  1. Create custom pay types by specifying a name, an import code, and determining the payability and taxation rules. Below are examples of commonly used pay types and their respective rules:

    • Additional Pay: Payable and fully taxable at the W-4 rate.

    • Bonus: Payable and fully taxable at the Supplemental rate.

    • Expense: Payable, but not taxable.

    • Non Payable Taxable Income: Non payable but fully taxable at the W-4 rate.

    • Commission: Payable and fully taxable at the Supplemental rate.

  2. Then, click Save.

Seeking Assistance:

If you have questions about taxation or need help setting up more complex pay types, don't hesitate to reach out to our customer service team. We're here to assist you!

 

Tips and Tricks

Editing Custom Pay Type Names:

Custom pay type names can be edited, but it's important to note that the names of standard pay types provided by Namely cannot be changed.

Editing Import Codes:

Import codes for both custom pay types and Namely standard pay types are fully editable, granting you control over data organization and processing.

Pay Type Rule Limitations:

Please keep in mind that the Pay Type Rule (Payability/Taxation) of an earning cannot be edited after it has been used in a pay cycle, assigned to a YTD cycle in BOL, imported into a pay cycle, or assigned to an employee on their recurring wage profile. Careful planning is essential!

Deleting Custom Pay Types:

Custom pay types cannot be deleted. To manage them effectively, you can edit the name and consider adding a "z" to the front or appending "DNU" (Do Not Use) after the name to make it clear. For example, renaming it to "zRetention Bonus – Do Not Use" will help keep your pay types organized.

Maintaining Import Codes:

Once an import code has been added to an earning, it must always have an import code assigned to it. While import codes are editable, they cannot be removed entirely from a pay type. This ensures data consistency and accuracy.

 

With the Pay Type Management feature, you have the power to shape your payroll processes to fit your organization's unique requirements. If you ever need assistance or have questions, our dedicated support team is just a click or call away. We hope this guide has been helpful, and we look forward to seeing how you make the most of this new feature to streamline your HR operations.