---
title: Pay Codes Setup
description: Define the kinds of pay (Regular, Overtime, Salary, Vacation, Bonus, and more) that time and pay runs use.
url: "https://theasst.com/docs/pay-codes-setup/"
updated: "2026-10-14"
category: Setup / Company
---

# Pay Codes Setup

A **pay code** is a kind of pay: Regular, Overtime, Salary, Vacation, Sick, Commission, Bonus, and so on. Every hour of time and every amount on a pay run carries a pay code. Setup > Company > **Pay Codes** is where you define them.

The first time anyone opens the page, TBA fills in the usual set for you: Regular, Overtime, Double Time, Salary, Holiday, Vacation, Sick, Paid Time Off, Bereavement, Parental Leave, Jury Duty, Unpaid Leave, Commission, Bonus and Per Job / Task.

## The grid

Each row is one pay code. Use the arrows to change the order; the order is used wherever pay codes are listed. Click **Add a row** for a new code and **Save Changes** when you are done.

- **Code** – a short unique code (up to 20 characters), such as REG. Codes that came with TBA can't be renamed.
- **Name** – what people see.
- **Category** – Regular, Overtime, Double time, Salary, Holiday, Paid time off, Unpaid leave, Commission, Bonus, Per job / task, Premium (differential, on-call, travel) or Reimbursement (not wages). The category tells TBA how to treat the code: only *Regular* hours can become overtime, and *Salary* is the code used for a salaried employee's pay line.
- **Calculation** – Hours x hourly rate, Flat amount, Percentage, or Per job / unit. Hourly codes are priced from the employee's rate; the others are for amounts you enter on a pay run.
- **Multiplier** – applies to hourly codes. 1 pays the normal rate, 1.5 time and a half, 2 double, 0 not at all (unpaid leave).
- **Time off** – check this for codes that represent time not worked (vacation, sick, holiday, and so on). Leave types are built on these (see [Leave Types and Policies](/docs/leave-types-and-policies/)).
- **Payroll code** – the code your payroll service uses for the same kind of pay. It appears in pay run exports.
- **Active** – uncheck to stop offering the code. A pay code can be made inactive but never deleted, because past time and pay runs refer to it.

![The Pay Codes grid: code, name, category, calculation, multiplier, time-off flag, payroll code, and active](https://theasst.com/wp-content/uploads/2026/10/pay-codes-setup.webp)

## Where pay codes are used

- Manual time entries ([Time Tracking Calendar](/docs/time-tracking-calendar/)) – choose Regular, or a leave code such as Vacation.
- [Overtime Rules](/docs/overtime-rules-setup/) – what converted hours are paid as.
- Employees' pay rates – a rate can be set for a specific pay code ([Personnel](/docs/personnel-overview/)).
- [Pay Runs](/docs/pay-runs/) and the [Hours by Work Type](/docs/hours-by-work-type-report/) report.

You need payroll view permission to see this page and payroll modify permission to change it.