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How to Create Pay Types for Time Policies in Raken

In this article, learn how to add and manage pay types inside your Raken Time Policy to ensure time cards are categorized correctly for payroll.

Written by Carolina Manos
Updated over a week ago

Pay types in Raken define how employee hours are categorized on time cards β€” Regular Time, Overtime, Double Time, and any custom types your organization uses. Configuring the right pay types inside your Time Policy ensures every time card is ready for accurate payroll processing.


Quick Answer

To create pay types for a Time Policy:

  1. Click Company in the left navigation, then click Time > Policies.

  2. Click Edit policy on the policy you want to update.

  3. Click Pay types in the policy left navigation.

  4. Toggle existing pay types on or off, or click + Add pay type to create a new one.

  5. Click Save.

At least two pay types must be active at all times to support overtime rule calculations.


Step-by-Step Instructions

This feature is available on the Raken web app only.

Step 1: Navigate to Pay Types

Log into the Raken web app. Click Company in the left navigation, then click Time > Policies. Click Edit policy on the policy you want to configure, then click Pay types in the policy left navigation.

Step 2: Review Default Pay Types

Default pay types include: Regular Time (RT), Overtime (OT), Double Time (DT), Drive Time, Hazard Pay, and New York Overtime (NY OT). Custom pay types can be added to meet your organization's specific needs.

Step 3: Activate or Deactivate Pay Types

Click the toggle next to any pay type to activate or deactivate it. Only active pay types appear on time cards for employees assigned to this policy. At least two must remain active at all times.

Step 4: Add a Custom Pay Type

Click + Add pay type, enter a name, and configure its settings. Click Save.

Step 5: Edit an Existing Pay Type

Click the ellipsis (...) menu next to any pay type and select Edit. Update the name or settings as needed.

Step 6: Save

Click the orange Save button. The updated pay type settings apply to all future time cards for employees assigned to this policy.


Troubleshooting & FAQ

Why must at least two pay types be active?

Pay types work with overtime rules β€” you need at minimum a standard type (RT) and one overtime type (OT) for the overtime rule to categorize hours correctly.

Do pay type changes apply to existing time cards?

No. Changes apply only to time cards created after the change is saved.

Can employees manually select a pay type on their time card?

Yes, via the ellipsis (...) menu on the time card form. In most cases Raken assigns pay types automatically based on overtime rules β€” manual selection is available as an override when needed.

What is the difference between pay types and overtime rules?

Pay types define the categories of time (RT, OT, DT, etc.). Overtime rules define the thresholds that determine when each pay type is applied. Both must be configured for automatic overtime calculation to work.


Technical Specifications

  • Compatibility: Web app only

  • Offline Capability: No β€” requires an active connection

  • Plan Required: All plans

  • Add-on Required: None

  • Role Required: Account Administrator only


Considerations

  • Only Account Administrators can create and edit pay types.

  • At least two pay types must be active at all times to support overtime rule calculations.

  • Pay type changes apply to future time cards only.

  • Pay type selection on time cards is accessed via the ellipsis (...) menu, not the main form.


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