QCommission Integration with Netchex
Overview
Sales commission programs are possibly the most variable programs conducted by a firm. These programs tend to vary significantly from industry to industry, and many times within companies in an industry. Sales commission programs tend to be different by employees even within a single firm. The solution attempting to solve the commission calculation problem must be highly sophisticated because of the highly variable nature of the commission calculation. At the same time, they should not burden the user with additional complexity in their operations. One key area of complexity is allowing data interchange between the customer's existing accounting systems and the commissions system. A commission system that can understand the structure of the accounting system data and seamlessly bring in the appropriate data necessary for calculating commissions can be a huge benefit in reducing the inherent complexity in that process.
QCommission is a powerful, flexible sales commission software tool. It calculates sales people's compensation accurately, quickly and professionally. QCommission is designed to integrate with QuickBooks®, Salesforce.com, Sage Peachtree, MS Dynamics GP, MS Dynamics Axapta and many others. QCommission can also operate stand-alone.
Netchex is an HCM solution, delivers HR and Payroll services that are intuitive and empowering. Pair the best technology with personalized customer care for a true partnership. It has various modules such as Recruitment, Payroll and Tax compliance, Human Resources, Time & Attendance, Reporting and Analytics and ACA solutions. Netchex also supports 3rd party applications integration through API.
Technology
Netchex, supplies API services, a pool of API calls for building applications and integrating with Netchex objects. This set of APIs allows you to create and retrieve data from Employees, New hires, Positions, Payrates, Deductions, Location, Background check, Contact Info, Time punches, Time sheets and supporting to export into payroll. The platform also ensures that the third-party product is properly authenticated prior to getting access to the Netchex data. All access to Netchex is through the API requests.
Here is the architecture diagram of QCommission Netchex integration.
Importing Data
Employees and Timesheets
Employees are the payees in the QCommission system. When an employee has been added to the Netchex system it has to be available inside QCommission automatically.
In addition to the entry of a new employee, changes such as title, role, personal details, job status, must also be imported into the QCommission system. The system has an inbuilt integration module which is taking care of all the import/export.
Any time a new hire happens in a date range, the respective employees need to be imported. Employee personal details, Company Id, Employee id, Internal unique ID, Name, Title, Department, Manager, Address, and Salary fields will be mapped with the system to track the details. Also, if any employee termination happens that needs to be notified the system. With unique API calls, QCommission can update the status of terminated employees.
When a Job status change happens in a date range to the employee, that should be updated to the system. Details such as Title, Department, Location, Manager, Salary, FT/PT, Exempt status can be imported into the system.
Employee in Netchex
Minimum Wage Commissions
Commissions can be paid in two ways: Regular hours and Overtime. A minimum wage is the lowest wage per hour that a worker may be paid, as mandated by federal law. The commission incentive can be monthly, and quota based. The attainment rate is varying based on multiple tiers.
There are many special commissions needs that QCommission has to handle in importing data through Netchex API. Here are some of the requirements being handled:
Regular Commissions
Commissions are primarily calculated on working hours of an employee. Consider an example of paying minimum wage commission at the rate of $15 for number of hours worked. There is a minimum amount that employers must pay their staff on an hourly basis. If the commission is less than minimum wage, then the company must pay the extra amount as necessary.
Overtime Commissions
Overtime commissions is derived from the below formula.
Overtime commissions = Divide the total commission amount/minimum pay by regular hours
Multiply the about rate of pay x # of overtime hours x 1.5 times.
This will be another incentive to the payee in QCommission. The below screenshot shows the incentive setup.
Based on the commission setup, calculations will calculate the commission to the payee. The commission calculation process can be done in a period (monthly/weekly/daily) and it varies by company. Once commission is calculated, it will be presented in a statement format. The statement can be exported into PDF/Excel. It can be also emailed to the payee. The statement can be customized based on the need.
The below screenshot shows the statement output of a payee.
Export Commissions
Companies needs to export their commission as payroll into Netchex. This can be achieved in QCommission.
The below is the setup of export commission to Netchex in QCommission.
The export commission process will be running once the commission is calculated. It can be scheduled as monthly/weekly based on the company’s need.
The exported commissions will be loaded into employee’s payroll under Netchex.
Conclusion
QCommission does a tremendous job calculating individual commissions for the sales person. With Netchex, it brings the calculated data (regular hours and overtime hours) of the salesperson to payroll. With this integration it ties the two systems in such a manner that the complexity is reduced to a minimal level.
