How to change my employee’s compensation?

In Zoho Payroll, an employee’s compensation is a combination of multiple components that determine their total earnings. These include:

• Regular pay: The employee’s base salary or hourly wage
• Additional earnings: Extra pay for any additional job roles or responsibilities
• Benefits: Contributions toward insurance, retirement plans, etc.
• Deductions: Pre-tax or post-tax deductions such as health premiums or garnishments
• Sick and vacation leave policies: Time-off entitlements that may affect compensation

You may need to update these details when an employee gets a raise, takes on a new role, becomes eligible for a benefit, or when company policies change.

To update an employee’s regular pay:

1. Go to the Employees module.
2. Click the employee’s name.
3. Navigate to the Compensation tab.
4. Click Edit next to Regular Pay.

5. Enter the updated Amount.
6. Click Save.

Once saved, the updated regular pay will reflect in the upcoming payrolls.

To learn how to manage additional components like earnings, benefits, deductions, and time-off policies, refer to our detailed guide: Manage Employee Compensation in Zoho Payroll