If you use the same schedule ID for consecutive years, the default schedule updates automatically. The schedule on compensation types will not update until you calculate the first payroll of the new year. When you create calculations, you will be prompted to update the schedule. Click Yes to update the compensation type schedule based on the default employee schedule.

If you do not use the same schedule ID, you will need to create the new pay schedule and add it to the employee records.

We strongly recommend you use the same schedule ID each year to ease the transition from one year to the next.
For more information, refer to: