When you select Generate autopay by business date in Payroll Setup > Payroll Policies and the Mid-period proration drop-down value is set to the Working Days - 5 days a week option, Dayforce uses a method called applyAutoPayReductionsWhenSplitByBusinessDate. This method handles reductions separately for WFM and Quick Entry, starting with WFM, and then for quick entries.
If the reduction surpasses the employee's autopay hours for the day, another method, updateSystemEarningsWithRemainderSplits, is activated. This method divides the remaining units and amounts evenly across the remaining workdays with positive units and amounts after the initial reductions.
Note: Due to updated rounding methods, a difference in the hourly rates listed when autopay reductions are processed can occur when payroll is calculated.
Example
In this example, a full-time weekly employee, with daily hours set at 7.6, is applying for 7.6 hours of time away from work (TAFW). A WFM reduction of 7.6 is considered first, deducting from the base salary – WFM – quick entry autopay reductions. The leftover amounts are then distributed to the remaining days, each with different rates to ensure accurate payment.
Calculation breakdown:
Dayforce takes the remaining amounts and splits them evenly over the remaining workdays.
$1,846.15 / 4 remaining days = $461.54 (rounded amount)
$461.54 / 7.6 = $60.7290 hourly rate
Hours greater than the employee's standard day
The calculation follows the same as the previous calculation:
$1700.40/ 4 remaining days = $425.10 (rounded amount)
The remaining hours are also split by the remaining days.
28 hrs / 4 remaining days = 7 hours per day
$425.10 / 7 hours = $60.7286 hourly rate
Autopay Reductions by Quick Entry
As mentioned, the order of the calculation is WFM reductions, then quick entry. Leave has now been entered using a quick entry for the employee, with no Business date listed:
Dayforce will assign the leave to the last day of the pay cycle for GL reporting. The hours will be counted as part period but not included as part of the business remaining day. 17.6 hours will be reduced from the 38 base hours.
38 hrs – 17.6 hrs = 20.4 hrs remaining
20.4 hrs / 4 business days = 5.1 hrs per day
If a retro autopay reduction is processed the same methodology will be applied.
GL Report Example:
It will also be the same for retro legal entity changes: