Learn how to streamline the process of paying your team with pay runs, which automatically calculates compensation and transfers earnings directly from your Fresha wallet.

This guide covers:

• Getting started
• Setting up your team members
• Setting your pay periods
• Viewing your teams' earnings
• Paying your team
• FAQs

Getting started

Upgrade to Fresha's Team Pay add-on to enable pay runs. Ensure the following components that contribute to the team member's earnings are set up:

• Wages & overtime - Wages and overtime can be calculated and included in the pay run. Set hourly earnings and overtime rates for team members in their profiles.

• Commissions - When you make a sale on Fresha, commissions can be earned by team members based on which team members performed services and how they checked out the sale. Define individual commissions for team members in their profiles.
  

• Tips - When team members receive tips, they are automatically added to their balance in pay runs. Manage tipping options in your Business settings.

Setting up your team members

To include team members within pay runs, you'll need to enable this within their profile. To enable and configure pay runs for your team: 

1. Open Team and select Team members.
2. Select a team member to open their profile and click Actions and Edit.
3. Select Pay runs from the menu and use the toggle to enable pay runs for the team member.
4. Select a Preferred payment method for the team member:

   Fresha wallet - Pay team members directly into their Fresha wallet, allowing them instant access to their earnings.

   Direct bank transfer - Pay team members into the bank account associated with their Fresha account.

   Pay manually - Pay team members offline. Pay runs will continue to calculate earnings for team members, which can then be paid offline. For example, you are paying your team in cash.

5. Under Pay run deductions, select whether you would like to apply any deductions within pay runs for this team member:

   Payment processing fees - Choose to pass payment processing fees on to your team members. Fees will be assigned based on which team members performed services and how they checked out the sale.

   New client fees - Choose to pass new client fees on to your team members. You can choose to share the new client fee by specifying a percentage that will be deducted from earnings.

6. Under Cash advances, check the box to record full cash payments received by the team member as an advance for 'paid' sales within the pay run.
7. Click Save.

Setting your pay periods

You can choose the length of your pay periods, and when the periods restart. To set up your pay periods:

1. Open Workspace settings, select Team then Pay runs.
2. Under Pay period, select Edit.
3. Use the Frequency dropdown to choose the length of your pay runs.
4. Depending on the frequency chosen, use the Restarts dropdown to select when the pay period starts from:

   Daily - No start day is needed as pay periods restart every day.

   Weekly (including every 2 or 4 weeks) - Choose the day of the week to restart the pay period

   Monthly - Select the day of the month for the pay period to restart.

   Quarterly - No start day is needed as pay periods restart every quarter within the year.

5. Click Save.

Viewing your teams' earnings

Your team's earnings and deductions are organized into the pay periods you set up. To view pay periods: 

1. Open Team and select Pay runs. By default, the pay period currently in progress will be displayed.
2. You will see a list of pay runs for each team member with a summary of their earnings, deductions, and outstanding balance for that pay period.
3. To view a more detailed breakdown of earnings, click on each team member.
4. You can also choose to adjust their earnings, by clicking Actions and Add adjustment.

Learn how to adjust earnings.

Paying your team

You can run multiple pay runs within a pay period, such as daily tips payouts, or have a single pay run at the period's end. Pay runs will track all these payments, ensuring accurate payment to your team. To pay your team using pay runs: 

1. Open Team and select Pay runs.
2. Click on Pay team.
3. If you have multiple locations, select the one you want to include in the pay run or include all locations by selecting All.
4. Select the compensation types you want to include in your pay run.
5. On the Team member's pay summary, review the details for each team member and make any necessary adjustments:

   To change a single value - click on the value to make an adjustment or click Actions under the team member and select Add adjustment.

   To exclude a team member from the pay run - Uncheck the box next to the team member within the summary.

6. Click Review to access the final step of the pay run. Under Review pay run, ensure that all information is correct before paying your team:

   Location balance - The money available to pay to your team members. If this is not enough to cover the total to pay you will need to top up your wallet or pay team members manually.

   Total to pay - The total amount to be paid out from the location to team members. This will equal the amount deducted from your wallet.

   Payment method - The total number of team members using each payment method. These will be automatically set to the default for each team member, but you can change these by clicking Edit.

7. Once you have reviewed the above details, set a status for each location:

   Needs review - The default status, indicating you have not yet reviewed the location.

   Approved - Use this status to confirm you have reviewed and approved the location details.

   Skip - Use this to exclude the location from the pay run and return it at a later time. All adjustments will be saved.

8. Click Send.

FAQs

Q. Can I see who adjusted a team member’s earnings? 
Yes, tracking when and who created a compensation balance adjustment/deduction is available, just click on Adjustment highlighted on the team member’s pay run Breakdown.

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Q. Is it possible to reverse or refund a pay run once it’s been paid out? 
No, canceling or reversing a completed pay run is not possible. To complete a pay run, you must review and update the status to Approved before being able to send and complete.

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Q. What will happen if my team member’s bank rejects the payout?
If a bank rejects a payout, the amount will be credited back to your business wallet and the status will show as to pay. This will be added to the next pay period for release again.   

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Q. Can I choose to pay out just tips? 
Yes, including all compensation types in each pay run is optional. You can select the specific compensation types to include when actioning a pay run

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Q: Are there any fees associated with paying my team using pay runs?
There are no fees for pay runs made between your business wallet and team member wallets using Team Pay. However, a processing fee will be applied for transactions made from a team member's wallet to a bank account.

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Q. Can any of my team complete a pay run?
All team members can view an individual breakdown of their pay for each period. You can grant a team member permission to action pay runs by updating their permission levels.

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Q. What is a cash advance?
In some businesses, when a client pays in cash, the team member completing the sale will keep the cash payment instead of putting it in the central business till. This is seen as a cash advance (getting paid early). Turning on cash advances for these team members allows the cash payments to be tracked in their pay runs. It also automatically calculates how much they've earned (like any commissions) while keeping tabs on how much they've already been paid upfront through cash collection.