Mid-Period Proration of Auto Pay by Annual 312 Days

You can configure an Auto Pay Rule in Dayforce to prorate the amount of auto pay employees earn based on the average of 312 days for the year.

This functionality is supported by the Annual 312 Days option in the Mid-period proration drop-down list in the Auto Pay Rule of a selected payroll policy in Payroll Setup > Payroll Policies.

To allow a salaried employee to receive their annual salary / pay frequency when no proration is required, select the Keep per pay period salary constant checkbox. For example, for an employee receiving Rs 12,000 per year as a monthly employee, Dayforce will auto pay Rs 1,000 salary.

The calculation is based on the logic that the amount of auto pay employees are prorated based on a yearly average of 312 business days. The calculation used to prorate salary for an employee is:

<Annual Salary> / 312 * <Effective Days>.

Select this option to configure the rule to prorate the auto pay employees earn based on the yearly average of 312 business days for the year (6 days a week - 6*52=312). The calculations are as follows:

Starter (New Hire):(Annual Salary / 312 x Number of working days, Monday to Saturday, worked in the period from employee start date)

Leaver (Terminated): (Annual Salary / 312 x Number of working days, Monday to Saturday, worked in the period from period start date)

To set up mid-period proration by annual 312 business days for a payroll policy:

1. Go to Payroll Setup > Payroll Policies.
2. Expand an existing payroll policy, or create a payroll policy.
3. Click the add icon () and select Ruleset.
4. Enter a name and, optionally, a description for the ruleset.
5. Click the add icon () and select Rule.
6. Enter a name and, optionally, a description for the rule.
7. Enter a start date for the rule in the Effective From field. The application only applies active rules during their effective date range.
8. Verify that the Active checkbox is selected.
9. In the Type drop-down list, select Auto Pay Rule.
10. At a minimum, do the following:
    1. Select Annual 312 Days in the Mid-period proration drop-down list.
    2. Select the Enable mid-period proration for Retro Calculation checkbox.
    3. Select the Keep per pay period salary constant checkbox.
11. Click Save, and then click Refresh.