During the monthly run, allowance-relevant salary components can be neatly classified when the client company, duration of assignment, pay grade and confirmed hours are considered together.
The industry-specific logic follows different rules than night, Sunday or public holiday work. For payroll managers, what therefore matters is the underlying basis for the specific client assignment.
In the Payroll, several details must be clearly aligned: which client company is involved, when the assignment began, what role and pay band apply, which hours have been confirmed, and the relevant time period. This article explains which types of allowances may be important in the temporary employment sector and what is crucial when processing them in the monthly payroll run.
The Temporary agency work forms the framework. For the payroll run, it is crucial which remuneration component is meant in the specific customer assignment.
Industry-specific supplements depend on different bases than night, Sunday or public holiday work. Possible overtime or shift allowances also follow their own accounting logic.
For this reason, Payroll should always link these pay components to client organisations, duration, pay band, hourly rate and time period.
| Type of surcharge | What is she stuck on? | What does that mean for the payroll run? |
|---|---|---|
| industry supplement | industry sector, client organisation, duration of assignment and collective bargaining basis | The allowance must be allocated to the correct customer assignment and the appropriate level. |
| Night shift allowance | actual night work performed and documented timing | The timesheet must reliably show the start, end and distribution of working hours. |
| Sunday and public holiday allowance | actual work on Sundays or public holidays | Calendar day, hours and Wage type must match the work performed. |
| overtime or shift allowance | agreed working hours logic, collective agreement or contractual basis | The payroll system requires a clear basis for calculating hourly rates and the Wage type formula. |
ClassificationSector-specific supplements describe an assignment- and tariff-related logic. Sunday, public holiday and night-time work supplements relate to the actual timing of the work.
These surcharges arise from the specific customer application. The decisive factors are which customer company is involved and which sector of the economy may be relevant within the scope of the TV BZ.
The duration of the assignment also plays an important role. If an employee is assigned to the same client organisation on a continuous basis, a time-based pay scale may apply.
In principle, the Collective agreement may deviate from the principle of equal treatment in the case of Remuneration for the first nine months of a secondment. A longer deviation is only possible subject to the statutory conditions: the gradual adjustment must begin no later than after a six-week induction period and must result, no later than after 15 months, in a Remuneration that is equivalent to the pay under the collective agreement for comparable employees in the sector in which the worker is employed.
For billing purposes, the payroll run requires not only the employee allocation but also the start of assignment, period, client company, industry allocation and confirmed hours.
BorrowerIt shows to which customer company the remuneration logic is assigned.
Industry classificationIt shows whether an industry-specific basis is to be examined.
Duration at the client companyShe can determine as of when a pay scale step is included in the payroll run.
In the event of changes during the month, the allocation must remain separate. A remuneration component from the first client organisation must be restricted to the relevant client assignment.
The pay grade links the specific activity to the Collective agreement or the contractual remuneration logic. It influences which basis is used for the hourly wage, allowance, and Wage type in the payroll run.
Depending on the basis, the GVP-Collective agreement, the GVP tariff structure and the collective agreements for temporary employment can play a role.
In practice, reference is also made to industry surcharge collective agreements between the DGB tariff union for temporary employment and the German Association of personnel service providers.
With industry-specific pay components, it is additionally important that the client company, pay grade and confirmed hours match. An unclear activity or incorrectly assigned pay grade can shift the basis of calculation.
The Wage type must also be consistent with the underlying system. Sector-specific allowances, night work and work on public holidays must not be treated as a single block in the payroll system.
sequence of treatmentsAn employee works at the same client company for several months. For the payroll run, the duration, pay grade and confirmed hours must lead to the appropriate level.
Timesheets show the hours actually worked and confirmed by the hirer. For hours attracting shift allowances or overtime rates, it is additionally important when these hours occurred.
For night work, Sunday work and work on public holidays, the payslip requires not only the number of hours but also the exact time, the calendar day and the appropriate assignment to the deployment.
The Working time account may also be affected if positive hours, negative hours or compensatory time arise during client assignments. In such cases, it must be made clear which hours are to be paid, which are to be carried forward and which are to be processed with a supplement.
Confirmed hoursThey form the basis for ongoing payroll accounting and potential remuneration components.
ZeitgeistShe decides whether night, Sunday or public holiday work needs to be technically reviewed.
Before Month-end close, it should be clear which hours are normal, which are eligible for extra pay, and which are still pending.
Corrections often arise when surcharge data only becomes complete after the billing deadline. This primarily affects late timesheets, amended working hours, or subsequently reported night, Sunday and public holiday hours.
Changing the client company during the month can also lead to corrections. In that case, hours and salary components must be processed separately by company, period and Wage type.
Become particularly visible Error in agency worker payroll, if an incorrect assignment or customer deployment affects multiple Lohnarts simultaneously.
Late timesheetsRelevant hours are only confirmed after the payroll run.
Incorrect operational referenceHours or salary components are allocated to a client company to which they do not technically belong.
Case studyAn employee works for two client companies in a month. Night shifts only occur at the second client. The payroll must assign these hours to the correct company and the correct Wage type.
Before running the monthly payroll, it should be clear which remuneration logic applies to each customer assignment. To achieve this, HR data, assignment data, timesheets and Lohnarten must match up from a professional perspective.
The audit remains specific. It does not focus on general processes, but rather on the question of whether every remuneration basis can be reliably allocated in the payroll run.
| Test question | Why relevant? | Possible consequence in the event of ambiguity |
|---|---|---|
| Which client company is affected? | The industry classification depends on the specific customer application. | The allowance is being allocated to the wrong company. |
| How long has the assignment been running? | The duration can affect the surcharge tiers. | The allowance is missing or is being taken into account too early. |
| Which pay band applies? | It controls the basis for hourly pay and Wage type. | Calculation basis does not match the activity. |
| Which hours are confirmed? | Only confirmed hours provide a reliable basis for invoicing. | Subsequent calculation or correction in the following month. |
| What is the tense? | Night, Sunday and public holiday bonuses require actual night, Sunday or public holiday work. | Incorrect Wage type or unclear surcharge treatment. |
| What Wage type is registered? | The Wage type models the surcharge logic in the billing system. | Analysis, gross amounts and corrections are becoming unreliable. |
Such an audit is particularly helpful when the planning department, the user company and Payroll provide different parts of the information.
External Payroll accounting becomes interesting when remuneration and allowance cases permanently appear in the monthly run. This is particularly true in the case of many hirers, changing customer assignments and regularly submitted timesheets.
Who the outsourcing payroll Anyone who wants to should pay attention to the specific remuneration logic in Temporary agency work. It is important to transparently combine client companies, duration, remuneration group, timing, and correction data in the monthly payroll run.
The BAS takes over the ongoing Payroll accounting and consolidates personnel, assignment, time and remuneration data in the monthly run. This results in a transparent calculation for allowances, changes of assignment and salary components.
The basic classification of deployment data, hours and remuneration components is shown by the Overview of Payroll temporary employment.In payroll, the relevant wage components need to be accurately assigned to each client assignment. Industry supplements, Sunday, public holiday and night work (SFN) supplements, and other types of supplements follow different principles. In the monthly run, what matters is whether the client company, duration, pay grade, confirmed hours, timing, and Wage type match up. This is precisely what creates a reliable payroll. The BAS takes over ongoing payroll and brings together personnel, assignment, time, and wage data transparently in the monthly run.
Brasser Accounting Solutions GmbH is a specialised accounting service provider that supports companies with financial accounting, payroll accounting, and the structuring of modern digital accounting processes. The aim is a collaboration that is professionally sound, organisationally relieving, and reliably functional in everyday use.
Brasser Accounting Solutions GmbH is part of a corporate group with Quint GmbH Tax Consultancy & Auditing and the Swedish accounting and tax firm Service Place Årjäng AB.
