---
title: "Hourly and monthly pay"
description: "Overview"
canonical_url: "https://support.pave.com/articles/hourly-and-monthly-pay-QhCsCIhlnh"
md_url: "https://support.pave.com/articles/hourly-and-monthly-pay-QhCsCIhlnh.md"
---
# Hourly and monthly pay

## Overview

Pave stores all compensation as annual values internally. Hourly and monthly display modes convert these values for employees and organizations that think about pay in those terms. Both are display-level conversions: planners see values in the appropriate format, but the underlying data remains annual.

Hourly display is driven by each employee's HRIS data. Monthly display is a cycle-level toggle that applies to all employees.


---

## Hourly pay

### What it does

When hourly display is enabled, salary-related columns show hourly rates instead of annual amounts for employees flagged as hourly in your HRIS. Non-hourly employees in the same cycle continue to see annual values. This happens automatically per employee based on their HRIS data.

### HRIS fields required

| Field | Required? | What it does |
|----|----|----|
| **isPaidHourly** | Yes | Boolean flag identifying the employee as hourly. Without this, hourly display won't activate for the employee. |
| **hoursPerWeek** | Optional | The employee's actual weekly hours. If provided and the cycle is configured to use it, calculations use this value instead of the default 40. |

### How hourly values are calculated

By default, hourly rates are derived using 2,080 hours per year (40 hours/week x 52 weeks/year):

```
Hourly rate = annual salary / 2,080
```

If your cycle is configured to use each employee's actual hours per week (via the **hoursPerWeek** HRIS field), the calculation becomes:

```
Hourly rate = annual salary / (hoursPerWeek x 52)
```

### Which columns display hourly values

When an employee is hourly, these columns convert to hourly rates:

* **Current Salary** and **New Salary**
* **Salary Raise**, **Market Adjustment**, **Promotion Cash Raise**
* **OTE Raise**, **OTE Market Adjustment**, **OTE Promotion Cash Raise** (if OTE is enabled)
* **Comp Band Min / Mid / Max Salary**
* **Current Hourly Pay Rate** and **New Hourly Pay Rate** (dedicated display columns)

Columns that are not salary-based (annual bonus, one-time payment, variable pay, equity) always display as annual amounts regardless of hourly status.

### How hourly input works

Planners entering raises for hourly employees input values in hourly terms. The system converts the hourly input back to an annual value for storage and downstream calculations. For example, if a planner enters a $2.00/hr raise, the system stores it as $4,160 annually ($2.00 x 2,080).


---

## Monthly pay

### What it does

When monthly display is enabled for a cycle, planners can toggle between viewing salary values as annual or monthly amounts. This is useful for organizations with divisions in countries where compensation is discussed in monthly terms.

### How to enable

Monthly display is a cycle-level configuration. When enabled, an **Annual / Monthly** toggle appears in the worksheet control bar. Planners can switch between views at any time. The default view when opening the worksheet is monthly.

### How monthly values are calculated

Monthly values are calculated by dividing the annual amount by 12:

```
Monthly value = annual salary / 12
```

For organizations operating in countries with different working calendars, Pave supports a metro-specific months-per-year setting. If configured, the calculation uses the employee's metro location to determine the divisor instead of defaulting to 12.

### Which columns display monthly values

Monthly display applies to salary and raise columns:

* **Current Salary** and **New Salary**
* **Salary Raise**, **Market Adjustment**, **Promotion Cash Raise**
* **Variable Raise** and **New Variable**
* **One-Time Payment**

Each of these has a monthly variant that displays in both cycle currency and local currency.

### Monthly is display-only

The monthly toggle controls how values are shown, not how they are stored. All values are stored as annual amounts. Planners cannot input values in monthly terms. When a planner enters a raise while in monthly view, the input is still in annual terms.


---

## How hourly and monthly interact

If an employee is both hourly (based on HRIS data) and the cycle has monthly display enabled, **hourly takes precedence**. The employee's salary columns display as hourly rates, not monthly amounts. The monthly toggle only affects non-hourly employees.

## Things to know

* **All data is stored annually.** Hourly and monthly are display conversions only. Downstream systems, exports, budgets, and recommendations all work with annual values.
* **Hourly is per employee; monthly is per cycle.** Hourly display activates automatically for employees flagged as hourly. Monthly display is a toggle available to all planners in the cycle.
* **The percent/cash toggle still works.** Planners can switch raise columns between showing cash amounts and percentages regardless of hourly or monthly display. The percentage is always calculated against the annual value.
* **Band columns respect hourly display.** When viewing an hourly employee, band min/mid/max salary values also display as hourly rates so planners can compare directly.