diff --git a/core/templates/core/payroll_dashboard.html b/core/templates/core/payroll_dashboard.html
index 4f16c6b..9e0525e 100644
--- a/core/templates/core/payroll_dashboard.html
+++ b/core/templates/core/payroll_dashboard.html
@@ -1079,12 +1079,17 @@
                                     <option value="{{ team.id }}">{{ team.name }}</option>
                                     {% endfor %}
                                 </select>
+                                <select id="addAdjPayTypeFilter" class="form-select form-select-sm" style="max-width: 170px;" aria-label="Filter picker by pay type">
+                                    <option value="">All pay types</option>
+                                    <option value="daily">Daily only</option>
+                                    <option value="fixed">Managers only</option>
+                                </select>
                                 <a href="#" id="adjSelectAll" class="small text-primary text-decoration-none text-nowrap">Select All</a>
                                 <a href="#" id="adjDeselectAll" class="small text-muted text-decoration-none text-nowrap">Clear</a>
                             </div>
                             <div style="max-height: 200px; overflow-y: auto; border: 1px solid var(--border-default); border-radius: var(--radius-sm); padding: 8px; background: var(--bg-inset);">
                                 {% for w in all_workers %}
-                                <div class="form-check">
+                                <div class="form-check" data-pay-type="{{ w.pay_type }}">
                                     <input class="form-check-input add-adj-worker" type="checkbox"
                                            name="workers" value="{{ w.id }}" id="addW{{ w.id }}">
                                     <label class="form-check-label" for="addW{{ w.id }}">{{ w.name }}</label>
@@ -1998,6 +2003,24 @@ document.addEventListener('DOMContentLoaded', function() {
         });
     }
 
+    // Pay-type filter: show/hide picker rows by data-pay-type.
+    // Display-only — selection state still lives on the checkboxes;
+    // hidden rows keep whatever checked state they had. "All" (empty
+    // value) reveals every row again. Same pattern as the pending-table
+    // team/loan client-side filters.
+    var addAdjPayTypeFilter = document.getElementById('addAdjPayTypeFilter');
+    if (addAdjPayTypeFilter) {
+        addAdjPayTypeFilter.addEventListener('change', function() {
+            var want = this.value;  // '', 'daily', or 'fixed'
+            addAdjWorkerCheckboxes.forEach(function(cb) {
+                var row = cb.closest('.form-check');
+                if (!row) return;
+                var rowType = row.getAttribute('data-pay-type') || '';
+                row.style.display = (!want || rowType === want) ? '' : 'none';
+            });
+        });
+    }
+
     // === QUICK ADJUST BUTTON ===
     // Opens the Add Adjustment modal with one worker pre-checked
     // and their most recent project pre-selected.
diff --git a/core/tests.py b/core/tests.py
index 2e92f1d..86d5b07 100644
--- a/core/tests.py
+++ b/core/tests.py
@@ -3826,6 +3826,24 @@ class ManagerSalariedPayUITests(TestCase):
         self.assertContains(resp, 'Manager / Salaried')
         self.assertContains(resp, '>Daily</span>')
 
+    def test_add_adjustment_modal_has_pay_type_scaffolding(self):
+        # The Add-Adjustment modal must (a) still include a manager in
+        # the picker (the must-stay-payable invariant), (b) tag that
+        # row with data-pay-type="fixed", and (c) render the client-side
+        # "pay type" filter <select>. The toggle's runtime hide/show is
+        # verified by Konrad's manual checklist (it's vanilla JS).
+        mgr = Worker.objects.create(
+            name='Modal Mgr', id_number='MM-1',
+            monthly_salary=Decimal('40000'), pay_type='fixed')
+        resp = self.client.get('/payroll/')
+        self.assertEqual(resp.status_code, 200)
+        # (a) invariant: manager present in the modal picker queryset
+        self.assertIn(mgr, resp.context['all_workers'])
+        # (b) the row carries the DB pay_type value as a data attribute
+        self.assertContains(resp, 'data-pay-type="fixed"')
+        # (c) the client-side filter control exists
+        self.assertContains(resp, 'id="addAdjPayTypeFilter"')
+
     def test_salary_immediate_payslip_has_no_zero_days_line(self):
         # Absorbed Task-5 review #2: an immediate Salary payment's payslip
         # must use the clean single-line layout — NOT the generic