Create salary template

A salary template is a logical group of pay components/pay heads that appear in salary slips/CTC reports. You can create separate salary templates for different groups of employees if their pay structures vary. After you create the salary template, it is assigned to the respective employees.

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Follow these steps to create a salary template:

1. Navigate to Payroll → Salary Template. A list of templates appears.

2. Click +Add New to add a new template. A new page opens showing the fields to fill in.

3. Enter a unique Template name, Description and Salary Period.

4. Enable the Has Daily Wages option to enter an employee's daily wage. The employee is then paid based on the number of days present. This is ideal for paying daily contractors.

5. Enable the Has Hourly Wages option to enter an employee's hourly wage. The employee is then paid based on the number of hours present.

6. Enable the Show Advance Settings option to update the round-off setting at component level.

7. Click Next to go to Pay components.

8. In the earning components section, define the Name of the component.

9. Enter the Value/ Percentage of the component.

10. Select the Pay frequency of the component.

11. Select the checkbox to enable Prompt and make the component variable (different for different employees). The admin can then update/edit it while processing the payroll for a particular employee.

12. Select the Visibility (Always shows/ Shows if greater than zero).

13. Select the Calculation mode:

    • Flat: The complete amount, irrespective of the company's working days

    • Working days: The working days defined in the month

    • Net paid days: The days for which the employee is present (Net paid days = Working days - LOP)

14. You can also delete an entry using the icon in the Actions column.

15. Add the pay component and update the Name, Value, Pay frequency, Prompt, Visibility and Calculation Mode for Deduction Components. (Note: Don't use special characters in component names.)

16. Select the Statutory Components (employee's statutory components, e.g., PF) from the drop-down, and update the Value, Pay Frequency, Visibility. (Note: Don't use special characters in component names.)

17. Click Next to go to CTC components.

18. Add the pay component and update the Name, Value, Pay frequency, Prompt, Visibility and Calculation Mode for CTC Components.

19. Select the Statutory Components (employer's statutory components, e.g., EPF) from the drop-down, and update the Value, Pay Frequency, Visibility.

20. Click Next to Add Taxes (Income Tax, Professional tax, Federal tax, etc.). You can add or delete a tax entry.

21. Click Next to configure the category of the pay components in the Map components section, and select the categories against the pay components.

22. Click Next to go to Update Employee Pay Components:

    • If you choose the first option Update pay components value (salary value) with default values for employees under salary template, the system updates the component values for all employees who have been assigned this salary structure (e.g., if you add a component food coupon and assign a value of 300, all the employees get food coupons worth Rs. 300).

    • If you choose the second option Update pay components head for employees under this salary template, the system updates only the component in the salary structure, and you can add the actual value for the component specifically in each employee's salary (e.g., if you add a component food coupon to the salary, what each employee gets under this component is defined in the salary breakup, as it varies from employee to employee).

23. Click Next → Finish to add the salary template.

All changes take effect instantly.