Why hours are shown for salaried employees too

We translate your employee's salary into an hourly rate to automatically:

• Calculate wages payable for vacation or sick leave
• Adjust an employee's salary for unpaid time off — for example, if the employee starts a job in the middle of a week or takes unpaid leave
• Pay overtime to salaried employees at an hourly rate

If you pay a salaried employee monthly or semi-monthly, actual standard hours worked vary from pay period to pay period even though wages do not. We display the average hours worked per pay period based on the standard work week you indicate in the employee's setup.

For example, the hours worked per month, based on a standard work week of 40 hours, are 173.33. While this may look strange, it enables us to calculate a consistent salary per period while still accounting for hour-based pay types such as sick and vacation.

See also

• Reduce a salaried employee's pay for one paycheck
• Payroll topics

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