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How to Set Up Attendance Bonus in Better HR System ( Using Auto Calculation Logic )

Setting Up Attendance Bonus in Better HR System

Written by Myo Zaw Hein
Updated this week

If your company offers a fixed attendance bonus for employees who meet certain attendance criteria each month, you can automate this using the Attendance Bonus Logic in Better HR.


🛠️ Step-by-Step Setup

1️⃣ Create the Attendance Bonus Column

  • Go to Settings > Payroll Tab > Allowance Section

  • Click + Create Custom Allowance

  • Under Custom Income Type Name, type: Attendance Bonus

  • Click the right arrow beside Advanced Settings for Payroll Item

  • Toggle Attendance Bonus under Calculation Logics

  • Under Calculate Based On, select Basic Salary

  • Click Create


2️⃣ Set the Attendance Bonus Rules in the Policy

  • Go to Settings > Policies

  • Select the policy you want to apply this to

  • Go to the Payroll tab

  • Scroll to Base Salary and Allowances

  • Locate the Attendance Bonus column you created

  • Set the following conditions:

Field

Description

Target Attendance %

The percentage of total working days an employee must be present (e.g., 95%).

Optional if using specific "Days" constraints.

Minimum Attendance Days

The baseline number of days an employee must physically work to qualify (e.g., 20 days).

Max Non-Attendance Days

The maximum allowable missed days (Excused or Unexcused) before the bonus is voided.

Max Late Occurrences

The total number of times an employee can arrive late (e.g., less than 3 times).

Max Late Minutes

The cumulative grace period for lateness (e.g., total late time must be less than 30 minutes).

Max Absent Days

The limit for unauthorized absences or "No-Calls/No-Shows."

Max Unpaid Leave Days

The limit for approved unpaid leave (WOP) that still allows for bonus eligibility.

⚠️ If you're using only "Less Than Non-Attendance Days", you can leave Target % as 0 — the system will evaluate based only on non-attendance days.
If you're using Target Attendance %, you must still set Max Non-Attendance Days, because:

  • If set to "less than 0", no employee qualifies—even perfect ones.

  • Set it to "less than 1" to include employees with zero non-attendance days.


⚙️ System Evaluation – How It Works

During each payroll run, the system checks each employee’s eligibility based on the rules defined above.


✅ What’s Evaluated?

  • Scheduled Working Days: Total expected working days (excluding holidays and off-days)

  • Actual Attendance Days: Days with valid check-in/out via:

    • Office check-ins

    • Remote or scan check-ins

    • Shift attendances (duty roster)

  • Non-Attendance Days:

    • Unpaid leave

    • Absences

    • No check-in or no check-out

    • Any day marked as not attended


📊 Conditions Are Checked Against Your Rules

Check

Requirement

Result

Attendance %

Must be Greater Than or Equal to ($\ge$) the Target %

Attendance Days

Must be Greater Than or Equal to ($\ge$) the Minimum Days

Non-Attendance Days

Must be Less Than ($<$) the Maximum Allowed

Lateness/Absence

Must be Less Than ($<$) the configured thresholds


💰 Payroll Integration

If all conditions above are met:

  • The system calculates the final amount: Flat Rate x Multiplier.

  • The bonus amount is automatically included in the Payroll Run.

  • The entry will appear under the Allowances section of the employee's payslip.


🧠 Logic Summary

Logic Element

What It Means

Target Attendance %

% of actual attendance over scheduled working days

Minimum Attendance Days

Absolute number of present days

Max Non-Attendance Days

Total non-attended days allowed.

⚠️ If set to less than 0, no one qualifies.

✅ Use less than 1 to include employees with zero non-attendance.

Flat Rate

Bonus amount added if all the above pass

How Attendance Percentage Is Calculated

Attendance Percentage= (Actual_Attendance_Days / Scheduled_Working_Days) * 100

📝 Note: These values — Target Percentage, Minimum Attendance Days, and Max Non-Attendance Days — must be manually set each month by the person managing payroll, depending on that month's total working days and attendance behavior.


⚠️ Be Careful with Non-Attendance Rules:
If you set "less than 0", no employee qualifies — even perfect ones.
✅ Set it to "less than 1" to include employees with zero non-attendance.


📘 Example:

For a month with:

  • Scheduled Working Days: 28

  • Actual Attendance: 28

  • Non-Attendance Days: 0

  • Target %: 90

  • Min Attendance Days: 28

  • Max Non-Attendance: Less than 1

✅ 28 / 28 = 100% → Pass
✅ 28 days attended → Pass
✅ 0 non-attendance days → Pass
🎉 → Attendance Bonus Granted


🧾 Setting Bonus Amounts: Policy vs. Employee Profile

You can define the amount in either location:

✅ Option 1: Fixed Bonus for All Employees (in Policy)

  • Set the bonus (e.g., 10,000 MMK) in Policy > Payroll tab

  • Then in each employee’s profile:

    • Employee Tab > Name > Payroll Setting Tab > Allowance Section

    • Set Multiplier = 1

🟡 Note: If multiplier is blank, they won’t get the bonus even if eligible.


✅ Option 2: Different Bonus per Employee (in Profile)

  • Set 1 for Flat rate in policy

  • Go to employee profile and input their specific bonus amount


⚠️ Important Rule:
One value must always be 1

If bonus is set in…

Then set the other value to…

Policy

Employee Multiplier = 1

Employee Profile

Policy Amount = 1

💡 The system calculates:

Policy Amount × Employee Multiplier

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