> ## Documentation Index
> Fetch the complete documentation index at: https://docs.officeridge.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Payroll setup

> Pay schedules, employee and contractor payroll registers, wage rules, and wage notices.

These tabs hold the payroll records and wage compliance rules behind each pay run.

<Note>
  Creating and closing pay periods happens in [Payroll](/payroll). This page covers the resulting
  registers and the wage rules that govern them.
</Note>

## Pay Schedules

Pay period schedules defining payroll frequency and processing dates.

**Columns:** Name · Frequency · Period Start · Period End · Pay Date · Status

The same schedules you manage in [Payroll](/payroll), visible here alongside the financial records
they produce.

## Employee Payroll

Individual employee payroll entries with hours, rates, and deductions.

**Columns:** Employee · Period · Hours · OT Hours · Gross · Net · Status

**OT Hours** is tracked separately because overtime is governed by the wage rules below.

## Contractor Payroll

Contractor payment entries for 1099 reporting.

**Columns:** Contractor · Period · Amount · Status

Contractors are reported on 1099s rather than W-2s, which is why they are kept separate. You need a
current W-9 for each. See [Vendors and purchasing](/finance/vendors-and-purchasing).

## Loan Amortization

Payroll deduction entries for employee loan repayments, also covered in
[Loans and insurance](/finance/loans-and-insurance).

**Columns:** Employee · Loan · Amount · Period · Remaining

## Wage Rules

Minimum wage, overtime, and pay rate compliance rules by jurisdiction.

**Columns:** Name · Type · Jurisdiction · Min Rate · Effective · Active

| Field            | What it sets                                                   |
| ---------------- | -------------------------------------------------------------- |
| **Type**         | Whether the rule governs minimum wage, overtime, or a pay rate |
| **Jurisdiction** | Where the rule applies                                         |
| **Min Rate**     | The floor the rule enforces                                    |
| **Effective**    | When the rule takes effect                                     |
| **Active**       | Whether it currently applies                                   |

<Warning>
  Wage rules change on their own schedule. A rule with a future **Effective** date will change what
  compliant pay looks like on that date — review upcoming rules before they take effect, not after a
  pay run.
</Warning>

## Wage Notices

Attendant wage rate notices compliant with Texas labor requirements.

**Columns:** Employee · Rate · Effective · Acknowledged

<Warning>
  **Acknowledged** is the field that evidences compliance. Issuing a wage notice without the
  employee acknowledging it does not satisfy the requirement. Filter on a blank
  **Acknowledged** after every rate change.
</Warning>

## Running a pay period

<Steps>
  <Step title="Confirm wage rules are current">
    Check for rules with an **Effective** date inside the period.
  </Step>

  <Step title="Verify hours">
    Employee payroll draws on recorded time. Clear EVV exceptions first — see
    [Time & Attendance](/attendance).
  </Step>

  <Step title="Check overtime">
    **OT Hours** should reconcile with the applicable overtime rule.
  </Step>

  <Step title="Check active loan deductions">
    Confirm **Remaining** on each amortization entry.
  </Step>

  <Step title="Process employee and contractor payroll separately">
    They report differently at year-end.
  </Step>
</Steps>

## After a rate change

<Steps>
  <Step title="Issue wage notices">
    Every affected attendant needs one, with the new **Rate** and **Effective** date.
  </Step>

  <Step title="Track acknowledgement">
    Chase anyone with a blank **Acknowledged**.
  </Step>

  <Step title="Confirm the new rate flows through">
    Check the next period's gross pay reflects it.
  </Step>
</Steps>

## Troubleshooting

| Problem                                   | What to check                                                                      |
| ----------------------------------------- | ---------------------------------------------------------------------------------- |
| Gross pay looks wrong                     | Check hours against [Time & Attendance](/attendance) and the applicable wage rule. |
| Overtime was not applied                  | Confirm an active overtime rule exists for the jurisdiction.                       |
| A contractor appears in employee payroll  | Contractors belong in **Contractor Payroll** for correct 1099 treatment.           |
| Wage notices show unacknowledged          | Follow up with the employee. Issuing alone is not sufficient.                      |
| A deduction continued after a loan closed | **Remaining** hit zero but the entry was not stopped.                              |

## Related

<CardGroup cols={2}>
  <Card title="Payroll" icon="wallet" href="/payroll">
    Create and close pay periods.
  </Card>

  <Card title="Payroll forms" icon="file-text" href="/employees/payroll-forms">
    W-4s, W-2s, and direct deposit.
  </Card>
</CardGroup>