Daily Operations -- Record Paychecks and Extra Checks
Click a link below to view the other sections in Receivables:
Return to the Daily Operations page here.
Setting up pay frequency
Use Payroll/After the Fact Payroll
Use After the Fact Payroll to enter the information from handwritten paychecks or from a Payroll processing service. The Select window prompts for a bank account and a posting period as well as pay frequency selection and optional pay period start and end dates.
Once the employees in a pay frequency are "ready" in the Payroll window (with a status of "Selected"), press the Calculate button. For each employee, the system generates Payroll calculations just as it does in the Calculate Payroll window. After calculation is finished, the selected employees' status change from Selected to Incomplete. You must enter a paycheck date and paycheck number for each employee before you can post the Payroll. The paycheck date you enter for the first employee defaults for all subsequent employees' paycheck dates. You must enter a valid (unused) check number for each employee.
Use the Pay factors tab to enter required information such as hours, sales, and piece counts, and override pay factor configuration information as required, on a one-time or permanent basis. You can change any calculated amounts that differ from the information you are entering from the external Payroll.
You have entered any data required to complete the Payroll run. Click the Done button to save your work so far. Next, you should verify the Payroll run.
Use Payroll/Print/Payroll Register
Before you post ATF Payroll, print the Payroll Register to verify the data. Select "Current Pay Period" for the Pay period ID and click the checkbox at "Print only unposted activity."
You can think of the unposted Payroll Register as a batch listing of the current Payroll run. If you find errors in your review of the unposted Payroll data, or discrepancies between the unposted Payroll data and your outside source of paycheck information, re-enter Payroll as needed, save, and then reprint the unposted Payroll Register until you are satisfied with the results.
Do not check the box if you want to print all posted and unposted Payroll data processed during the current pay period.
Use Payroll/After the Fact Payroll
Then post ATF Payroll.
Use Payroll/Close Pay Period Checklist
Finally, and very importantly, once you've posted the checks, close the pay period. Closing the pay period simply prepares the system for the next Payroll run. If you need to print another check for an employee (a bonus, for example), make an additional Payroll run for that employee and then close that pay period.
Remember that the pay period is not associated in any way with the general ledger posting period. Closing the pay period allows you to edit pay factors and employee information that you can't edit while a Payroll run is in progress — from the time you start Payroll processing until the time you close the pay period.
Calculating Payroll
Use Calculate or ATF Payroll
Once the employees in a pay frequency are "ready" in the Payroll window (with a status of "Selected"), press the Calculate button. This method calculates pay using the information that you entered in the Payroll/Configure windows. It also queues up the "Incomplete" employees who need entry of hours worked and lets you go quickly from one "Incomplete" hourly employee to the next. You can also add or edit pay data — say vacation time taken or a one-time bonus — for any employee being paid.
You have entered any data required to complete the Payroll run. Click the Done button to save your work so far. Next, you should verify the Payroll run.
Extra Checks for some Employees
Use Payroll/Close Pay Period Checklist
Say you've completed a payroll run, printed the paychecks, and then you realize an employee should receive a bonus you forgot to include in her regular paycheck. Issuing another paycheck for the bonus is a simple operation.
You can follow the same procedure if you forgot to pay medical expenses from the employee's medical savings account, or expense reimbursements -- or any type of pay that wasn't included in the first check.
Just close the pay period and then run another payroll for the one employee, print the check, and include the additional check in her pay envelope.
First, close the current pay period so you can make the extra payroll run.
Employees receiving a bonus
Use Payroll/Configure/Income or Configure/Employees
If you haven't already done so, set up a salary Income factor called Bonus (or whatever name you wish). Make sure the factor is subject to the correct taxes. You probably want to leave the salary amount blank.
Assign the factor to employees who will receive bonuses from time to time. Again, most likely, you want to leave the amount blank. In this case, you will fill in the amount at runtime. For bonuses and other supplemental pay, do not enter "hours worked." The employee will get credit for hours worked on her regular paycheck.
Employees receiving a bonus
- Right-click the "extra check" employee.
- From the right-click menu, choose "Calculate employee <employee ID>
- Tab down the right pane and enter "0" (zero) in any other pay fields and in the hours worked and hours accrued fields.
- In the right pane, enter the bonus amount in the appropriate field
- Click OK.
- Print Checks
Use Payroll/Calculate Payroll
Run the Payroll command. Select the frequency the "extra check" employee is in. All employees in each chosen frequency are automatically displayed in the left pane and selected for processing in the Payroll run.
You right-click and select a single employee for calculation. Zero out the other pay amounts, the hours worked, enter the bonus, and print the check. (You can also "unselect" the employees you don't want processed by moving to a selected employee with Arrow or mouse and pressing the spacebar or double-clicking with the mouse to change the employee's status to "Unselected.")
Our example was a bonus for a single employee. Use the same technique to print extra paychecks of any kind for any number of employees. NOTE: When you close this "extra check" pay period, you might want to name it appropriately. For example, change the name to the date plus "extra."