Average Daily Pay Rate

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For the BAPS leave types (Bereavement, Alternate, Public Holidays, Sick) an employee is paid their relevant daily pay. This means that if they have a roster or a standard number of hours that they would have worked on a day then this is what they are paid for the BAPS. If the employee has a standard number of Hours per Day then this will have been entered on the Employment tab for the employee. If they work to a roster then you will have a timesheet entry for the employee that you can change to be a leave timesheet entry.

For employees with less regular or pre-determined work patterns where the relevant daily pay can't be determined, the average daily pay will be used.

The average daily pay is the average amount paid per day over the last 12 months. Of course to calculate an average daily rate we need to know how many work days an employee has had.

When you edit a pay there is a place to enter the number of Work Days.

 

FlexiTime does what it can to default this correctly. If an employee has a fixed number of Days per Week (entered on the Employment tab) then this will be used. If not then the number of days with timesheet entries will be used. Note that Work Days includes days the employee is at work and days they are taking leave.

If an employee has neither a standard Days per Week, nor any timesheet entries then FlexiTime has nothing to go on and it's up to the payroll administrator to update the Work Days on the pay. 

If the Work Days are not kept up-to-date then the average daily rate will be calculated incorrectly. Sometimes this can result in the rate being considerably overstated. For example, if the timesheets are used to record leave only and an employee has taken 10 days leave over the last year, then the Work Days will only have defaulted on those pays where leave was taken. If this wasn't changed by the payroll administrator then the average daily rate will be the entire earnings for the last year divided by just the 10 days for which there were timesheet entries. You can always correct this problem by editing the Work Days column on the Pay Records tab when editing an employee.

Not having an average daily rate isn't always a problem. If the employee is on a roster so you know how many hours they should get paid on a public holiday then this rate will never be used in the pays. However it may cause the Leave Summary and Leave Accrual reports to overstate the value of alternate leave.

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