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PRCTLMNT Payroll PR Setup 2

Fields 21 through 27

 

The number of hours in the various time periods are used in payroll calculations in several different programs.  They should correspond exactly to the number of hours used by the employer as the basis for paying his employees.  Their default values are as follows:

 

                                             Default

    Hours in Day                      8.00

    Hours in Week                   5 x Hours in Day

    Hours in Bi‑week                2 x Hours in Week

    Hours in Semi‑month          2.17 x Hours in Week

    Hours in Month                   4.33 x Hours in Week

    Hours in Quarter                 13 x Hours in Week

    Hours in Year                     52 x Hours in Week

 

 

Name

Type and Description

21.  Hours in Day

4 numeric digits, with 2 decimal places (99.99).

 

Default is 8.00.

22.  Hours in Week

4 numeric digits, with 2 decimal places (99.99).

 

Default is 5 x Hours in Day.

23.  Hours in Bi‑Week

5 numeric digits, with 2 decimal places (999.99).

 

Default is 2 x Hours in Week.

24.  Hours in Semi‑Mon

5 numeric digits, with 2 decimal places (999.99).

 

Default is 2.17 x Hours in Week.

25.  Hours in Month

5 numeric digits, with 2 decimal places (999.99).

 

Default is 4.33 x Hours in Week.

26.  Hours in Quarter

6 numeric digits, with 2 decimal places (9,999.99).

 

Default is 13 x Hours in Week.

27.  Hours in Year

6 numeric digits, with 2 decimal places (9,999.99).

 

Default is 52 x Hours in Week.

 

Fields 28 through 33

 

The number of the various possible pay periods in a working year are used in tax calculations in order to annualize an employee's pay, so that the annual Federal Withholding Table can be used to calculate withholding tax, no matter what the employee's pay period is.  The default values are as follows:

 

 

                                                    Default

    Yearly Days                              260 (per IRS Circular E)

    Yearly Weeks                            52

    Yearly Bi‑weeks                         26

    Yearly Semi‑months               24

    Yearly Months                           12

    Yearly Quarters                         4

 

Name

Type and Description

28.  Yearly Days

3 numeric digits (999).

 

Default is 260.

29.  Yearly Weeks

2 numeric digits (99).

 

Default is 52.

30.  Yearly Bi‑Weeks

2 numeric digits (99).

 

Default is 26.

31.  Yearly Semi‑Mon

2 digits (99).

 

Default is 24.

32.  Yearly Months

2 digits (99).

 

Default is 12.

33.  Yearly Quarters

1 digit (9).

 

Default is 4.

34.  Emp Audit Trail ?

Y or N.

 

Your answer here will determine whether or not changes to the Employee file will be recorded for later audit.

35.  Change Protected                    Fields ?

Y or N.

 

Enter Y here if you want the ability to change F6 protected fields in the Payroll system.  The default value is N.

Second Screen

 

Name

Type and Description

1.  Overtime Pay Factor

4 numeric digits, with 3 decimal places (9.999).

 

This value is used when entering employee's rates of pay in the Employee File Maintenance application.  The overtime pay rate will default to the regular pay rate times this overtime pay factor.  This rate can be manually overridden during Employee File Maintenance.

2.  Special Pay Factor

4 numeric digits, with 3 decimal places (9.999).

 

This field is used when entering the employee's rates of pay in the Employee File Maintenance application.  The special pay rate will default to the regular pay rate times this special pay factor.  This rate can be manually overridden during Employee File Maintenance.

3.  Sup Pay Fwt Pc

4 numeric digits, with 2 decimal places (99.99).

 

During the Time Transaction Processing application, supplemental wage payments may be entered (for such things as bonuses, commis­sions, etc.).  The normal federal withholding tax calculations need not be done on such payments, if the time transactions contain only supplemental pay.  Instead, FWT can be calculated as a flat percentage of the supplemental payment, given by this field.  If this entry is zero, then supplemental earnings will have FWT calculated in the usual way.

Sup Pay Fwt Pct (continued)

Note:  State taxing authorities also allow this flat percentage method of calculating withholding on supplemental wage payments.  This is provided for in the state tax calculation routines (see the State/City Tax Codes Maintenance application).

 

 

Fields 4 Through 6

 

After checks are printed in the Print Payroll Check application, and when manual payroll transactions are being posted, if the user does not manually distribute these amounts, vacation pay, holiday pay and sick pay will be posted as a debit to the expense account whose main account number is the value entered in these fields, and whose profit center account num­ber is the same as the profit center account number of the wage account entered for the particular employee in the employee record.  If, however, any one of these expense accounts is entered as all nines, then all pay of this type (vacation or holiday or sick) will be distributed to G/L as a part of every employee's regular wages, to the employee's wage account.


 

Name

Type and Description

4.  Vaca Pay Exp Act

Up to 8 alphanumeric characters.

 

This is dependent on the format of G/L account number specified in the Company file.

5.  Hol Pay Exp Act

Up to 8 alphanumeric characters.

 

See description in Item 4 above.

6.  Sick Pay Exp Act

Up to 8 alphanumeric characters.

 

See description in Item 4 above.

 

 

Fields 7 Through 16 And 20 Through 21

 

If the profit center portion of these account numbers is entered as all nines, the profit center from the employee's wage account will be used when posting distributions to the PR Distribution File.

 

If the department portion of these account numbers is entered as all nines, the department from the employee's wage account will be used when posting distributions to the Distribution File. 

 

Fields 7, 8 and 9

 

The employer's share of FICA and FUI payments are not deductions from the employee's pay.  Therefore, to keep the General Ledger in balance, two accounts are provided for each of these:  an expense account and a liability account.  Only the main account number is entered for the expense accounts.  The profit center account number and department account number is always the same as the profit center account number of the employee's wage account.

 

Note:  The Manual Transaction Processing application posts the employer's share of FICA to the General Ledger but does not automati­cally post the FUI amounts.  These amounts are posted in the normal check printing, but for checks entered in Manual Transaction Processing, amounts will have to be calculated as distributions or adjust­ments and entered manually into the General Ledger package.

 

If you wish no automatic posting of FUI or employer FICA to be made to the General Ledger during the Payroll check-printing run, but wish to do this manually over longer time intervals, then leave these fields (or either one) blank.  If you do this, then you will not be requested to enter the corresponding liability account number (fields 9 and 10).

 

Name

Type and Description

7.  Fui Expense Act

Up to 8 alphanumeric characters.

 

This is dependent on the format of G/L account number specified in the Company file.

8.  Empr Soc Sec Exp                   Act

Up to 8 alphanumeric characters.

 

See description in Item 7 above.

9.  Empr Medicare Exp                  Act

Up to 8 alphanumeric characters.

 

See description in Item 7 above.

10. Empr Medicare Liab                  Act

An account number in the standard account number format.

 

This is the credit account that counter balances the debit (expense) account in field 9.  If field 9 is blank, then this field will not be requested.

11. Emp Medicare Liab                  Act

An account number in the standard account number format.

12. Fui Liab Act

An account number in the standard account number format.

 

This is the credit account that counter‑balances the debit (expense) account in field 7.  If field 7 is blank, then this field will not be requested.

13.  Emplr Soc Sec Liab                 Act

An account number in the standard account number format.

 

This is the credit account that counter‑balances the debit (expense) account in field 8 above.  If field 8 is blank, then this field will not be requested.

 

 

Fields 14, 15, 17, 18, 19

 

The employee's share of FICA, federal withholding tax and any amounts for savings bond deduction, loan repayment deduction and garnish deduc­tion all come out of the employee's wages.  The liability accounts entered here provide the counter‑posting accounts to the various employee wage accounts.

 

Name

Type and Description

14.  Emp Soc Sec Liab                   Act

An account number in the standard account number format.

15.  Fwt Liab Act

An account number in the standard account number format.

16.  Eic Advance Act

An account number in the standard account number format.

 

Earned Income Credits (EIC) are posted to this account as a debit and to the checking (cash) account as a credit.  EIC payments are a reduction in a liability instead of an expense so multiple profit center accounts are not allowed.

17.  Sav Bond Liab Act

An account number in the standard account number format.

18.  Loan Repayment Act

An account number in the standard account number format.

19.  Garnish Liab Act

An account number in the standard account number format.

20.  Check (Cash) Act

An account number in the standard account number format.

21.  Accrual Act

An account number in the standard account number format.

 

This is the account used to accrue the employer's liability for employee's wages.  Distributions will be created for this account when prorating an employee's pay over two accounting periods.  If no accrual account is entered or all zeros are entered, accrual distributions will not be generated by the Post Payroll Checks application.

 


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