Payroll Processing > Frequently Asked Questions > How does the pro-rata calculation work?

Why is there a pro-rata percentage on my payslip?

A pro-rata percentage is calculated automatically for salaried employees whenever a payslip is not for a full month. This usually occurs in one of three situations:

  • The employee started employment during the month.
  • The employee’s service ended during the month.
  • The employee worked for a full calendar month but your pay frequency ends on a day other than the last day of the month.

How is the pro-rata percentage calculated?

SimplePay calculates the pro-rata percentage as days worked / working days in month x 100.

How do I change the pro-rata calculation used?

You may wish to pay an employee their full salary even though they did not work the full period. You can do this by overriding the pro-rata percentage to 100.

To override the pro-rata percentage, click on it and enter the percentage you would like the system to use.

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