How to Create Pay Types for Time Policies in Raken

Pay types in Raken define how employee hours are categorized on time cards — 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 in Raken:

Log into the Raken web app.
Click Company in the left side menu, then click Time, then click Policies.
Click Edit policy on the policy you want to update.
Click Pay types in the policy left side menu.
Click the green + Add pay type button to add a new pay type.
Click the orange Save button.

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

Step-by-Step Instructions

Step 1: Navigate to Pay Types

Log into the Raken web app. Click Company in the left side menu. Click Time, then click Policies. Click Edit policy on the policy you want to configure.

This feature is only available on the Raken web app.

Step 2: Open the Pay Types Section

Click Pay types in the policy left side menu. Raken includes the following default pay types: Regular Time (RT), Overtime (OT), Double Time (DT), Drive Time (Drive), Hazard Pay (Haz), 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 to the left of any pay type to activate or deactivate it. Only active pay types will appear as options on time cards for employees assigned to this policy.

At least two pay types must remain active at all times — this ensures your overtime rules can function correctly.

Step 4: Add a New Pay Type

Click the green + Add pay type button in the top right corner. Name the pay type and configure its settings. Click Save to add it to the policy.

Step 5: Edit an Existing Pay Type

To edit an existing pay type, click the ellipsis (...) menu to the right of the pay type name and select Edit. Update the name or settings as needed.

Step 6: Save

Click the orange Save button in the top right corner. 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 in conjunction with overtime rules — at minimum, you need a standard pay type (Regular Time) and at least one overtime pay type (Overtime) for the overtime rule to categorize hours correctly. If fewer than two pay types are active, overtime calculations will not function.

Do pay type changes apply to existing time cards?

No. Pay type configuration changes apply only to time cards created after the change is saved. Existing time cards follow the pay types that were active when they were created.

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

Pay type selection is available via the ellipsis (...) menu on the time card form. However, in most cases Raken assigns pay types automatically based on your overtime rules. 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 (Regular, Overtime, Double Time, etc.). Overtime rules define the thresholds that determine when each pay type is applied — for example, Overtime after 8 hours in a day. Both must be configured for automatic overtime calculation to work.

Technical Specifications

Compatibility: All major web browsers — Time Policy configuration is web-only
Offline Capability: No — requires an active connection
Data Format: Pay type data is included in all time card exports (PDF and CSV)
Plan Required: No plan restrictions — available on all Raken 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 — existing time cards are not retroactively updated.
Pay type selection on time cards is accessed via the ellipsis (...) menu, not the main form.
No plan restrictions apply — this feature is available on all Raken plans.