How to Create Compound Payroll Units in Tally

A compound payroll unit in Tally combines two existing simple payroll units and defines the conversion between them. For example, you can combine Hours and Minutes so that one Hour equals 60 Minutes.

Compound units are useful when an attendance or production value may be entered in two related units, such as Hours and Minutes or Months and Days. Create the required simple units before setting up the compound unit.

Menu Path for Creating a Compound Payroll Unit

Path: Gateway of Tally > Payroll Info. > Units (Work) > Create

Open Payroll Info from Gateway of Tally

Step 1: From the Gateway of Tally screen, select Payroll Info. under Masters.

Payroll info screen in Tally

Step 2: In the Payroll Info. menu, select Units (Work).

Create compound units in Tally poyroll

Select Create under Units (Work)

Step 3: Under Units (Work), select Create to define a new compound payroll unit in Tally.ERP 9.

Choose create for compund payroll units in Tally

Enter the Compound Unit Conversion Details

Step 4: In the Unit Creation screen, enter the details required to relate the two simple payroll units.

In this example, the compound unit represents the conversion:

1 Hour = 60 Minutes

  • Type: Select Compound and press Enter.
Choose Payroll unit type as Compound in tally
  • First unit: Select the larger simple unit, such as Hours, from the list of payroll units.
  • Conversion: Enter 60 because one Hour contains 60 Minutes.
  • Second unit: Select the smaller simple unit, such as Mins, from the list.
How to Create Compound Payroll Units in Tally

Save the Compound Payroll Unit

After entering the first unit, conversion factor, and second unit, press Enter through the remaining fields. Choose Yes when Tally asks you to accept and save the unit.

The compound unit can then be selected wherever the related payroll attendance or production unit is required in tally.

Checks Before Saving Hours and Minutes as a Compound Unit

  • Confirm that both simple units already exist in the Units (Work) list.
  • Select the larger measurement as the first unit and the smaller measurement as the second unit.
  • Enter the number of second units contained in one first unit.
  • For Hours and Minutes, verify that the conversion factor is 60.
  • Review the selected units before accepting the Unit Creation screen.

Common Compound Payroll Unit Errors in Tally

  • The required unit is missing: Create the simple unit before attempting to use it in a compound unit.
  • The units are entered in reverse order: Use Hours as the first unit and Minutes as the second unit for an Hour-Minute conversion.
  • The conversion factor is incorrect: Enter the number of smaller units that make one larger unit.
  • The unit is not saved: Continue pressing Enter and accept the screen when prompted.

Compound Payroll Units in Tally: Frequently Asked Questions

What is a compound payroll unit in Tally?

A compound payroll unit combines two simple units and stores their conversion relationship, such as one Hour being equal to 60 Minutes.

Do I need to create simple units before creating a compound unit?

Yes. Both units must be available in the payroll unit list before they can be selected as the first and second units of a compound unit.

What conversion factor should be used for Hours and Minutes?

Use a conversion factor of 60 because one Hour contains 60 Minutes.

Where are compound payroll units created in Tally.ERP 9?

Open Gateway of Tally, select Payroll Info., choose Units (Work), and then select Create.