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Each and every Employee on the Payroll has an Employee Status, and this status must be classified in the Payroll.


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We do this at "Employee Types".


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The Employee Status is available on the lookup, but during our 1st Setup, we need to define the types we will have. We can of course add more types at any stage.


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In this example, we have a status for Borongan, which is a type of Employee that will be paid on Work Result only, and may possibly not even be a Company Employee.


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For any Employee Status, we will select the Primary Earning and Deduction Codes. That means that the codes we select here will be used for any Employee with this Status on his or her Pay record. When we make a change here, the Pay processing for all Employees with this status will automatically change accordingly.


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The available Primary Pay Codes are listed on the lookup, and we can select all the Pay Codes that will be applicable for this Employee Status.


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In the case of our Borongan Status, probably the Status will attract only the "Pay as you work" pay code, and possibly the Tax Refund pay code, but that is optional.


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At the Primary Deductions, we will likewise select which pay codes are applicable for this Employee Status.


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So let us look at another example.


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Here we have a status for "Monthly, Permanent" Employees.


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In this case, we have a more extensive list of Pay codes, both for earnings and for deductions.


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It is necessary to visit the tutorials for Pay Rule Codes to understand what each of them are for, and when to include them for an Employee Status.