Processing a Pay Run

To create a new pay run in PayHero go to the Payroll tab.

Review

On the Review tab use the drop-down list in the top left to select the Pay Cycle you wish to run a pay for. The Review screen will show an overview of the totals and employees that will be included in the pay run.

The summary at the top of the screen shows:

Pay Period - The dates the pay run will span, based on the pay cycle. If you're needing to run a pay for a different pay period for this pay cycle you'll need to go to the Draft tab to run a One Off Pay.

Leave - The total days of approved leave that will be included in the pay run.

Expenses - The total value of expense reimbursements that will be included in the pay run.

Timesheet Hours - The total hours of recorded time that will be included in the pay run.

Salary Hours - The total hours of salary pay that will be included in the pay run.

Total Earnings - The total gross earnings that will be included in the pay run.

The Employees list shows a list of all employees included in the pay cycle, and the days, hours and gross earnings that will be included in their pays. Clicking on a subtotal will filter the employee list below to only employees who meet those criteria. For example, if you click on Salary Hours you'll see only those employees with salaries included in this pay.

If you'd like to exclude any employees with zero earnings for that week you can do so under the options menu in the top right of the employee list.

You can click the down arrow beside an employee with Timesheet Hours to view a summary of their timesheet hours for the pay period.

Throughout the Review screen any hours and totals that have increased or decreased since the previous pay cycle will be indicated with the difference in value shown in green for increases, or in red for decreases, as seen in the screenshot above beside John Smith's Days, Timesheet Hours and Earnings.

Draft

When you're happy with the details you've reviewed, click Create Draft Pay. A confirmation window will confirm the pay has been created; click View Draft Pay to go to the new draft.

The draft pay will show a summary of the details for the pay, and the earnings, deductions, superannuation contribution, taxes, and take home pay for each employee. You're able to edit the Pay Date on the pay if required - this should reflect the date you will be processing payment from your bank account.

If you wish to remove an employee from the pay, click the X on the right hand side. You can add them again using the  button at the bottom left of the pay run.

The  button in the top right also offers a number of options for the pay:

Mark as Sent - Marking a pay as sent moves it to the Sent folder without emailing payslips or sending details to Xero or IRD.

Download Pay Report - Download a PDF pay report with a breakdown of the Pay Period.

Download Payslips - Download PDF copies of your employee payslips.

Email Payslips - Email your employees their payslips (Note: Payslips are automatically emailed when the pay is sent, this option is for if you wish to email payslips before sending the pay).

Remove Zero Pays - Removes all employees from the pay who have a total of zero.

Delete Pay - Deletes the draft pay. You can then recreate the draft pay as needed.

Review the pay details for your employees and make any amendments if necessary. If there are any warnings for the pay these will be visible as yellow warning icons. Hover your mouse cursor over the warning for details of the issue - it's best to resolve errors before processing a pay run.

You can click on an employee's name to edit their pay. 

Use the  buttons to add pay items as required, or you can edit the details of existing Pay Items. Any default pay items with standardised settings won't be able to be edited. If you adjust the hours in the pay it's important that you amend the Work Days accordingly, if the number of hours the employee is being paid for has changed.

The options menu provides a number of additional actions you can perform:

Download Payslip - Downloads a PDF copy of the payslip.

Email Payslip - Emails a copy of the payslip to the employee.

Add Payslip Note - Adds a note to the payslip, which will be visible to the employee.

Set as Final Pay - Use this option if this is the Final Pay for the employee. This will automatically pay out the employee's leave entitlements.

Hide Unused Pay Types - This will hide any sections that don't contain pay details. For example, in the screenshot above the Reimbursements section would be hidden.

Remove from Pay - Remove the employee from the pay. You can add them back into the pay from the main Draft pay screen.

Sent

When you're happy with the details in the Draft pay you're ready to send your pay. Click the green Send Pay button at the bottom right corner of the pay run. You'll be presented with an overview of which actions will be taken and you'll need to confirm that you wish to send the pay.

Sent pays appear in the Sent tab, grouped by month based on the Pay Date of the pay.

Paying Employees

Once the pay has been Sent the matter of processing payment to your employees is still required as PayHero won’t automatically pay your employees for you. You have a couple of approaches here:

Bank Batch Files

One option is to use our quick and easy Bank Batch Files feature. This enables you to pay your employees at the same time you pay the PAYE for the pay period directly to the IRD, all with one file. To learn more about this feature view our support article here: Making Payments With Bank Batch Files.

Manual Payment

You can also process the pay manually as you would normally. Using the amounts and totals shown in PayHero you can use whatever approach you'd prefer to pay your employees. If you're paying the IRD manually as well, you can easily track PAYE amounts owing through PayHero's Tax tab. Our support article here: Unpaid Tax covers how you can set this up.

Final Pay

For information on processing a final pay, view our Final Pay support article.