The Calculate button in Employee Rate Details is used to calculate the other rate fields based on the values entered. The calculation will be based on the Pay Frequency selected in Pay Details, Normal Hours Paid and the Rate you choose to base the calculation on in the Rate Details.
For example, when you calculate based on the Yearly Salary:
Auto Pay Amount is calculated by dividing the Yearly Salary by the number of periods in a year.
Normal Rate is calculated by dividing the Auto Pay Amount by Normal Hours Paid.
Conversely, when you calculate based on the Normal Rate:
Auto Pay Amount is calculated by multiplying the Normal Rate by Normal Hours Paid.
Yearly Salary is calculated by multiplying the Auto Pay Amount by the number of periods in the year.
The Yearly Salary and Auto Pay Amount will be calculated to two decimal places. The other rates will be calculated to the number of decimal places specified in General Parameters. The default is 4. It is these calculated values that will be used in subsequent calculations.