When someone is paid mostly by commission, a slow week can leave them earning less than minimum wage for the hours they worked. Set your minimum wage once, and Owneli works out the shortfall for each week, called the true-up, so you can pay it.
Before you start
- Who can do it: admins and owners.
- Hours come from timesheets. The check uses the paid hours on each person's timesheets, so keep them up to date. See Shifts, timesheets, and time off.
- It covers employees. Contractors and booth renters aren't included.
- Check the figure with your accountant. Owneli uses the number you enter; it doesn't look up the law for you.
Set your minimum wage
Open payroll settings
Go to Settings → Team & access → Payroll.
Enter the minimum wage
Under Overtime on pay runs, enter the hourly Minimum wage in force where you are, for example 15.65.
Save
Select Save changes in the bar at the bottom.
See who's short
Open the commission statement
Go to Reports and open Commission statement.
Open Compliance
Choose the period, then select Compliance.
Read the true-up
Min-wage true-up at the top is the total shortfall. Each person's weeks show Hours, Commission, their Reg. rate (pay per hour worked) and the True-up owed that week.
Commission and service charges count towards minimum wage. Tips never do.
Draws
If someone has a recoverable draw, getting the advance back never takes their pay for a period below minimum wage for the hours they worked.
Add the true-up to pay runs
By default, the true-up is only worked out for you to see. To have each pay run pay it:
Open payroll settings
Go to Settings → Team & access → Payroll.
Turn on the top-up
Under Overtime on pay runs, below Minimum wage, turn on Add the minimum-wage top-up to pay runs.
Save
Select Save changes in the bar at the bottom.
Pay runs you create from then on add a Minimum-wage top-up line for each employee whose week, commission included, came to less than the minimum wage for the hours clocked. The Payroll & commission report shows it in a True-up column. A pay run created before you turned it on doesn't change.
With the switch off, the shortfall only shows in Reports → Commission statement → Compliance. Add it to the person's pay run yourself, as an adjustment. See Prepare payroll for your accountant.
Check it worked
Compliance on the commission statement shows Min-wage true-up figures instead of the message No minimum wage configured.
If something goes wrong
"No minimum wage configured"
The Minimum wage under Settings → Team & access → Payroll is empty. Enter it and save.
"No hours in this period"
The check needs clocked hours and commission. Make sure timesheets exist for the period.
"Compliance figures are placeholders"
Owneli shows this until the figures have been confirmed. Check them with your accountant or adviser before relying on the worksheet.