Some businesses prefer to pay providers in their home location even if they work in multiple locations – pay is allocated to each location based on the hourly rate and service commissions. At the same time, such businesses need details around pay allocation by location so that each location can report expenses appropriately.

Note: This feature applies only to businesses that calculate payroll based on the payout model and 7i overtime calculation. Reach out to Zenoti Support to enable this feature.

After the feature is enabled, in the organization-level payroll report, you can see an additional column called Payroll Allocation.

For allocation, Zenoti uses the number of hours worked in each center if the pay is based on hourly pay and uses service earning if the payout type is based on commission.

Example:

At Center-1, hourly pay for Work task-1 is $20 and Work task-2 is $10.

At Center-2, hourly pay for Work task-1 is $25 and Work task-2 is $20.

An employee worked at Center-1 for 20 hrs on Work task-1 and 15 hrs on Work task-2.

At Center-2, the employee worked for 10 hrs on Work task-1 and 5 hrs on Work task-2.

OT Hours = 10 hrs and OT multiplier = 1.5.

Sales commission = 45%

The employee makes $500 in service sales in Center-1 and $400 in service sales in Center-2. So, total commission pay = $900.

Zenoti will allocate payroll between Center-1 and Center-2 based on the payout type as shown below:

Payout Type

How pay is allocated

Hourly pay (with overtime) + Other hours

Hourly pay at Center-1 = (20*20)+(15*10) = $550

Hourly pay at Center-2 = (10*25)+(5*20) = $350

Actual hourly pay = 900/50 = 18

OT pay = 10*0.5*18 = $90

OT pay for Center-1 = (35/50)*90 = 63

OT pay for Center-2 = (15/50)*90 = 27

Total pay at Center-1 = Hourly pay at Center-1+ OT pay for Center-1 = 550 + 63 = $613

Total pay at Center-2 = Hourly pay at Center-2+ OT pay for Center-2 = 350 + 27 = $377

Commission (with overtime) + Other hours

At 45% commission, total commission = $405

Total pay at Center-1 = 405*500/900 = $225

Total pay at Center-2 = 405*400/900 = $180

Hourly pay + Commission (with Overtime) + Other hours

Total pay at Center-1 = 550 + 63 + 225 = $838

Total pay at Center-2 = 350 + 27 + 180 = $557

Hourly pay (No Overtime) + Other hours

Total pay at Center-1 = $550

Total pay at Center-2 = $350

Commission (No Overtime) + Other hours

Total pay at Center-1 = $225

Total pay at Center-2 = $180

Hourly pay + Commission (No Overtime) + Other hours

Total pay at Center-1 = 550 + 225 = $775

Total pay at Center-2 = 350 + 180 = $530

See Also


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