To Prorate is to adjust an employee’s pay, benefits, or leave proportionally based on their partial work period, such as during hiring or termination.
- What does prorate mean?
Answer: It means adjusting pay or benefits for a partial period. - What are examples?
Answer: Examples include prorated vacation for mid-year hires. - When is it used?
Answer: It is used during onboarding, leave, or termination. - What are the benefits?
Answer: It ensures fair compensation and compliance. - How does HR handle it?
Answer: HR calculates and adjusts payroll accordingly.
