Retroactive Pay allows you to compensate employees for earnings that should have been paid in a prior payroll period. Before processing retroactive payments, Retroactive Pay must be enabled at the company level, and the appropriate retroactive earning rates must be added for each employee.

Required Setup

Retroactive Pay Enabled

1. Expand Setup and click Rate Codes.
   
2. Click New Rate Code.
   
3. Create the "Retro Regular" and "Retro Overtime" rate codes (or your required retro earning types).
   

Add Retroactive Earning Code to the Employee

1. Click People.
   
2. Click the name of the employee to set up with an earning code.
3. Click Compensation.
   
4. Click Add Compensation.
   
5. Add the "Retro Regular" and/or "Retro Overtime" rate codes to the employee with the applicable rates.
   

Start an Off-Cycle Payroll

1. Create a new Off-Cycle Payroll.
2. Add the employee to the run.
3. Confirm that the retro earning codes appear with the correct pay rates and locations
4. Add or adjust earnings as needed to reflect the hours being paid retroactively

Verify Employee Assignment

• Confirm the employee is listed in the off-cycle payroll
• Ensure retro earning codes are assigned to the correct work locations
• Add or remove earning lines if corrections or adjustments are needed

Review of the Off-Cycle Payroll

Double-check all details for accuracy:

• Hours entered
• Earning codes
• Pay rates
• Locations

Submit the Payroll

Once all entries are correct, approve and submit the off-cycle payroll to process the retroactive pay.

Need Help?

If you need assistance reviewing retro rates, locations, or payroll entries, please contact our Support Team. We’re happy to help!