Pay Class Settings

Pay classes in HR Admin > Pay Class have the following settings:

Pay class settings
Setting	Description
Name	The name of the pay class.
Description	(Optional) A description of the pay class.
Default Weekly Hours	(Optional) The weekly hours. When an employee is hired, Dayforce assigns this value to the Normal Weekly Hours field in their records, by default. You can adjust this number in individual employee records. This value is used by other areas of the application, such as pay rules, to perform calculations.
Reference Code	The reference code value of the pay class. Reference codes are used to export data to other applications. These codes must be unique and must not contain special characters.
Sort Order	(Optional) A sort order number to define the rank of the pay class in lists and reports. Pay classes without a sort order are placed below those with a sort order.
Pay Class Group	(Optional) A way to classify similar pay classes. This drop-down list is used to determine which formula is used to calculate compa-ratio for salaried employees, as follows: When you leave it cleared, or you select Full-Time, Dayforce uses the default formula to calculate compa-ratio for salaried employees by dividing their annual salary by the control salary of their pay grade. This is the appropriate calculation for salaried full-time employees. When you select Part-Time, Dayforce calculates compa-ratio for salaried employees by dividing their base rate by the control rate of their pay grade, which is more accurate for part-time salaried employees. The selection in the Pay Class Group drop-down list doesn’t impact how compa-ratio is calculated for employees with hourly pay types. This continues to be calculated by dividing their base rate by the control rate. See Compa-Ratio Calculation. In addition, when Part-time is selected in the Pay Class Group drop-down list for a part-time pay class, and an employee has a salaried pay type, Dayforce adjusts pay grade values for part-time salaried employees to more accurately reflect their pay. This is done by multiplying each pay grade value by the value in the Full-Time Equivalent field of their work assignment in the Work > Work Assignment screen of People. If the Full-Time Equivalent field is cleared for their work assignment, the application performs a default calculation to determine the full-time equivalent value. See Adjusted Pay Grades for Salaried Part-Time Employees.
Ledger Code	(Optional) The ledger code for the pay class. This functionality can be used only if Dayforce is configured to use the Payroll module. Dayforce can associate the pay amounts for each pay class with the appropriate general ledger account. This information can be exported with the Payroll GL Export background job.