The three lines displayed in the payments section of an umbrella payslip make up an employee’s gross wage after employer costs have been deducted from the assignment rate. These are Basic Rate, Holiday Pay and Additional Taxable Wage.
For each hour an employee works, Compass pays the national living wage at the prevailing rate set by Government. This is shown as the Basic Rate. This approach allows for a worker to be placed in several assignments without the need for a new contract on each assignment and also supports a compliance check that the appropriate minimum wage is being paid at all times.
For workers that earn a day rate rather than an hourly rate, we multiply the number of days worked by the typical number of 7.5 hours in a working day (or 6 hours for education workers) to arrive at the appropriate number of units.
Holiday Pay is also payable to all PAYE employees and is calculated as a fixed percentage of their gross wage.
Once the first two lines have been calculated any remaining balance of the employee’s gross wage is listed under Additional Taxable Wage.