How to opt an employee out of minimum wage adjustments?
Last modified 6/18/2020 8:27:16 AM EST | Added by Paywow Team

Applicable To
Complete Payroll Contractor Pay Employees Contractors

A small proportion of employees - most likely in the top rung of leadership - draw compensation that is less than the current minimum wage, however, do not wish the business to apply minimum wage adjustments to their pay. Like any other employee, they can choose to be part of the business’ payroll and avail other employer-sponsored benefits as well. There could be many reasons for this; the employee may be a partner, owner, or stakeholder.

For an overview of minimum wage adjustments, click here.

You can at any time opt an employee out of minimum wage adjustments. Here’s how:

  1. Go to Directory >> Employee.
  2. Click on the employee name to view their professional details.
  3. Click the View Compensation History icon.
  4. On the Compensation History page, click the Edit icon.
  5. Enter the wage. 
  6. A ticked checkbox with the text Apply Minimum Wage appears. This message is shown only when the wage amount entered is less than the state’s minimum wage.  
  7. Uncheck the box to opt an employee out of minimum wage adjustments
  8. Click Save.

The details saved will be reflected in the employee's pay stub.

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