Chapter 5 - Payroll Items

The following information is covered in this chapter:

• Payroll Items tab window
• Creating payroll items
• Managing payroll items
• Job costing

Payroll Items tab window

Payroll Items tab window displays a table of the payroll items you created during the installation process. To create additional payroll items, click the New button associated with the type of payroll item you want to create. To modify an existing payroll item, highlight the item and click the Edit Item button in the tool bar.

For better organization and display purposes, the Payroll Items window separates the payroll items into their specific categories:

• BLUE text is used for Income Items
• RED text is used for Deduction Items
• GREEN text is used for Employer Paid items.

Another useful feature of this window is that you can quickly view the detailed setup of your payroll items (e.g., Limit). You can turn on/off this detail by clicking the Hide/Show button. Click the Print Report button to print a detailed payroll items report for the employee or Settings option you have selected in the Employee list.

Once a payroll item is created, you can assign it to your employee files. For details, refer to Assigning payroll items to employees .

Creating payroll items

There are three different types of payroll items you can create: income, deductions, and employer paid contributions. Instructions for creating each type of payroll item are detailed in the following sections.

The payroll program uses the payroll items you create to track individual amounts on a paycheck and the year-to-date wage and tax amounts for each employee.

The names of the payroll items are used when printing your reports and employee paychecks. You can set up a payroll item at any time however, we recommend that before processing your first payroll, all the payroll items you need are set up and assigned to the appropriate employees.

Income

Several income items are already created in the payroll application: Regular Pay, Overtime, Double Overtime, Commission, and Bonus.

Extra income may include such things as travel reimbursement, different pay rates for performing different jobs, piecework, or any additional type of pay including vacation, sick, or holiday.

The number of extra income items you can assign to each employee file depends on which Aatrix payroll program you are using. Aatrix Paycheck, for example, is limited to two extra income items.

The next instruction set will guide you through the process of creating a new income item.

Creating a new income item

1. In the Payroll Items tab window, highlight Employee List Settings at the top of your Employee List.
2. Click the BLUE New button.

If the option called "Menu link to" in Program Preferences is set to anything other than None, and you have not yet imported your chart of accounts into the payroll program, an alert message will appear asking if you want to import your chart of accounts now. Click No if you don't want to import your chart of accounts now. You can import them later in the Send/Post Payroll window or the next time you create a new payroll item. Clicking Yes will display an Open dialogue where you can locate and select the chart of accounts file you need to import. Once imported, the account names will display in the Liability pop-up menu. (Note: If needed, refer to the User Guide of your accounting program for information on how to export your chart of accounts. )

3. In the Title text box, enter the name of the income item.

The title can be anything you want. It should be descriptive enough so you can distinguish it from others you set up because it will be used throughout the program (e.g., checkforms, reports).

4. From the Type pop-up menu, select the type of income item it is.

Salary

This type is used for any flat dollar amount to be paid to the employee. You might not call it salary, but this simply means any flat amount. Enter the flat amount into the Salary field.

Hourly

Use this type for an income item that is paid on an hourly basis.

Commission

Select this type if the income item is to be used for employees who earn their wages according to what or how much they sell. The amount entered represents the commission. This field corresponds to the commission field in the EZ Report Builder.

Bonus

The bonus type can be used to enter a bonus amount. This field corresponds to the bonus field in the EZ Report Builder.

Bonus pay can be taxed differently than regular income, so check with your state and federal laws for the current rates. If, after creating a bonus, you need to change its tax rate from the normal tax rate default, refer to Processing bonus checks .

Minimum Pay

This type is for employees who need to be paid a minimum amount each pay period. The amount you enter in the Amount field is the minimum amount the employee can be paid. If the employee does not make this much from their other sources of income, Minimum Pay will add in the difference. If the other income sources exceed the minimum pay, then this income item is not used.

Minimum Per Hour

This type is for those employees who get paid at least the minimum wage on a per hour basis. It is generally used by restaurant businesses. For example, if a waitress earns $2. 25 an hour and works 10 hours, and also receives $10 in tips, she would receive $32. 50. The program would calculate her hourly wage to be $3. 25, which is less than the minimum wage. The Minimum Per Hour feature would "kick in" so the employee would receive the minimum wage on a per hour basis.

Tips

This income type allows you to keep tipped wages separate from the other wages for FICA reporting purposes.

Differential

Differential is shifting your regular rate pay to a higher rate. The program offers four different differential types. Depending on which type you select determines the options for setting the differential rate.

Reimbursement

Use this income type for reimbursement payments (e.g., gas, travel, Medical Spending Account) that are not part of the employee's gross pay (i. e. , non-taxable income that is a straight, flat amount).

Job Task

Select this type if the income item is related to a specific job that you will select from the Default Job pop-up menu.

Per Unit/Other

This type is used for any amount that is to be paid on a variable basis where you will enter a number during payroll which will stand for number of pieces, number of feet, the number of something completed.

The number entered during payroll will be multiplied by the fixed amount you enter for this extra income item (which can be personalized for each employee, once assigned). The fixed amount you enter (or after the extra income is on the assigned side) is multiplied by the variable amount entered during payroll. Enter hourly rates (e.g., 4. 50), piecework rates, or other rates in this field. This field can be used for all types of hourly rates including overtime or double overtime.

In Payroll Preferences, you can name the third "per item" extra income to fit your needs.

Vacation, Holiday, Personal Pay, Sick Pay

Select the appropriate type for the income item(s) you are creating. For detailed information, refer to Setting up paid time off (PTO) items .

Reimbursement per unit

Use this to set reimbursements based on units, such as mileage, which are not part of the employee's gross pay.

5. From the Income Settings pop-up menu, select the appropriate option.

Regular

Select this option if the income item is an hourly or salary rate and then enter the appropriate amount.

Tips

Select this option if you need to enter a straight dollar tip amount.

Look-Up Table

Select this option if you want to link this extra income item to a table. When selected, another pop-up menu appears allowing you to select the appropriate table for this income item.

You must first set up a look-up table for this option to work.

Deduct after

This method can be used for an income item that is added into the gross pay for tax purposes, then taken out after the deductions have been figured. The most common use for this method is tips, which are added to the gross for taxes, but not added to the net pay because the employee has already received their tip income.

6. If applicable, from the Default Job pop-up menu, select the job you want assigned to this income item.

For details, refer to Job costing overview .

You can create jobs on the fly by selecting the Edit Job List command in the Default Job pop-up menu.

7. If you've already imported your chart of accounts, you can link this income item now, or later in the Send/Post Payroll window.

If you prefer to designate the link now, select the account that this income item should be linked to from the Expense pop-up menu.

8. Click the OK button when you have finished setting up this income item.

The income item will appear in the Income portion of the Payroll Items tab window.

9. Assign this income item to applicable employees.

If needed, see Assigning payroll items to employees .

Once the income item has been assigned to all applicable employees, you can personalize it for individual employees, if needed. Refer to Editing payroll items .

Setting up paid time off (PTO) items

Setting up your payroll program to calculate special paid time off, or PTO, items such as vacation, holiday, personal, and/or sick pay is a two step process. This includes:

• Setting up income items for your vacation, holiday, personal, and/or sick pay and assigning them to all applicable employees.
• Setting up the calculation method of the vacation, holiday, personal, and/or sick pay for each employee. Please see Paid Time Off tab window for information on how to set up the calculation methods in the Human Resources tab window.

Step One - Creating a PTO payroll item

1. In the Payroll Items tab window, highlight the Employee List Settings at the top of your Employee List.
2. Click the BLUE New button.
3. In the New Income window Title field, enter a name for the vacation, personal, sick, or holiday item.
4. From the Type pop-up menu, select the appropriate type (Vacation, Sick, Holiday, Personal).
5. For the Income Settings, select Regular from the pop-up menu and then enter the pay rate that applies to most or all employees or leave it at 0. 00.

If needed, the pay rates can be personalized later for individual employees.

6. Click the OK button.

The item will appear in the Income portion of the Payroll Items tab window.

7. Assign this income item to those employees it applies to. If needed, refer to Assigning payroll items to employees .

Step Two - Setting the PTO calculations

1. In the Human Resources tab window, click the Paid Time Off tab.
2. Highlight the New Employee settings option in the Employee List to set this up for all new employees or you can highlight a specific employee.
3. Set up the vacation time calculations that apply to all or most of your employees.

For an explanation of the available options see Setting up vacation, sick, holiday and personal time pay on page 3-27.

4. To set up your Holiday pay, mark the Include holiday time checkbox and select the income item from the pop-up.
5. Click the Options button to open the Holidays Preferences window

Assign and /or create additional holidays as needed.

6. In the dialogue box that displays, enter the text to print on the checkstubs and reports, the date (MM/DD/YY) and how many hours to pay for the holiday. Additionally, mark the checkbox next to the holidays that you want to activate.
7. Click the OK button to save the additional holidays or click the Cancel button to return to the Holiday Preferences window.

Automatically assign holiday hours

Marking this checkbox will automatically assign and pay the holiday pay for the pay period that the holiday

Auto assign to salaried employees only

Mark this checkbox to assign the holiday pay to only those employees who have been set up as salaried.

If you need to include personal time and/or sick pay in your payroll, complete the same steps changing the options as needed.

8. Click the Save button when finished assigning Paid Time Off.
9. Click the Payroll Items tab to return to the Payroll Items tab window and continue working creating or modifying Payroll Items.

Deductions

Deductions are anything that must be withheld from an employee's gross pay. They include the basics such as federal and state tax, Social Security, and Medicare as well as retirement funds like a 401K, KEOGH, or IRA. They also include such things as health insurance, union dues and anything else that you as the employer need to withhold from an employee's gross pay. Depending on the type of deduction you are creating, it can be set up so it is deducted before taxes, after taxes, or sheltered from specific payroll items that you designate.

The following instruction set will guide you through the process of creating a new deduction.

Creating a new deduction

1. In the Payroll Items tab window, highlight the Employee List Settings at the top of your Employee List.
2. Click the RED New button.

If the option called "Menu link to" in Program Preferences is set to anything other than None, and you have not yet imported your chart of accounts into the payroll program, a dialogue will appear asking if you want to import your chart of accounts now. Click No if you don't want to import your chart of accounts now. You can import them later in the Send/Post Payroll window or the next time you create a new payroll item. Clicking Yes will spawn an Open dialogue where you can open your chart of accounts file. Once imported, the account names will display in the Liability pop-up menu. (Note: If needed, refer to the User Guide of your accounting program for information on how to export your chart of accounts. )

3. In the Title text box, enter the name of the deduction.

The title can be anything you want. It should be descriptive enough so you can distinguish it from others you set up because it will be used throughout the program (e.g., checkforms, reports).

4. From the Type pop-up menu, select the type of deduction it is.

Federal Income Tax

This type should only be used for the Federal income tax deduction.

Social Security

This type should only be used for the Social Security deduction.

Medicare

This type should only be used for the Medicare deduction.

State Income Tax

This type should only be used for a State withholding deduction. Select it for each state deduction you set up.

Local Income Tax

This type should only be used for a Local withholding deduction. Select it for each local deduction you set up.

Miscellaneous Deduction

Select this type for any miscellaneous deduction you create for your employees such as insurance, dental insurance, union dues, cash deductions, etc.

Pension

This type is for a pension plan your company may be contributing to. Generally, Federal, State, and Local deductions are exempt from pensions. Check with your accountant to be sure these defaults are correct.

Disability

Select this type for each disability deduction (e.g., SDI) you create.

Training

Select this type for each training deduction you create.

Garnishment

Select this type for any sort of general garnishment, such as unpaid debt.

Child Support

Select this type for each child support deduction you create.

Flexible Spending Account

This type is available in Multi-Ultimate Payroll. It is to be used for the Medical and/or Dependent Care Flexible Spending Accounts (FSA) of a Cafeteria Plan.

Special Groups

These deductions are the same as Miscellaneous deductions. The program allows three different ways to group your miscellaneous deductions. Each group of deductions can then be sheltered from other deductions, such as tax deductions.

Insurance

Can be set up as a deduction from the paycheck for the employee's portion.

Please check with your accountant to see if your insurance deductions are exempt from federal and state taxes.

Employee Advance

Allows you to set a balance and payment amount in the Edit Deduction window. The balance amount is maintained automatically and, once the balance reaches a zero dollar amount, the payment deducted from the employee paycheck will no longer be taken from the paycheck.

5. From the Apply to pop-up menu, select the appropriate option.

All income items

Select this option if all your income items apply to this deduction.

Custom

If there are specific income items that apply to this deduction, select the Custom option. In the dialogue that appears, uncheck the income items that do not apply to this deduction.

6. From the Income Settings pop-up menu, select the appropriate option.

Flat Amount

Select this option if the deduction represents a simple dollar amount to be deducted each pay period, then enter the amount to be deducted in the $ text box.

If the amount to be deducted will not be the same for all (or most) your employees, you may want to enter 0. 00 here and then customize the deduction for each individual employee.

Percent of Gross Pay

Select this option if the deduction needs to be calculated as the percentage of the gross pay. The number you enter into the % text box will be the percentage of the gross pay that is deducted each pay period.

Percent of Federal Income Tax

Select this option if the deduction needs to be calculated as the percentage of the Federal income tax. The number you enter into the % text box will be the percentage of the Federal tax that is deducted each pay period.

Percent of State Income Tax

Select this option if the deduction needs to be calculated as the percentage of the State income tax. The number you enter into the % text box will be the percentage of the State tax that is deducted each pay period.

Look-Up Table Calculation

Select this option if you want to link this deduction to a tax table. When selected, another pop-up menu appears allowing you to select the appropriate table for this deduction.

You must first create a look-up table for the above option to work

Tax Calculation

Use this option for Federal, State, and Local deductions. When selected, another pop-up menu appears allowing you to select the appropriate tax table.

Not all Local deductions may be listed. You may have to know how a local tax is calculated and set it up accordingly.

Amount Per Hour

Select this option if the deduction is based on the number of hours an employee works. The program multiplies the amount you enter in the $ text box by the number of hours worked this the pay period (e.g., for every 1 hour worked, deduct $0. 25). If the employee is paid using a salary, you can still enter the number of hours worked and this deduction will apply to those hours.

Percent of Net Pay

This option is used if the deduction needs to be calculated as the percentage of Net Pay. The number you enter in the % text box will be the percentage of the Net Pay that is deducted from each pay period.

7. From the Limit options, set up the deduction as needed.

Select None if the deduction has no upper or lower limits. To set up an upper or lower limit, refer to Setting limits on payroll items .

8. (Optional) From the Tax Exempt list, select (√) the payroll items from which this deduction is exempt.

Another option available when creating a deduction is to exempt it from some or all of the other payroll items. This is commonly known as sheltering a deduction. When a deduction is sheltered, it is deducted from the gross pay before any of the other payroll items take affect.

9. If you've already imported your chart of accounts, you can link the deduction now, or later in the Send/Post Payroll window.

If you prefer to designate the link now, select the appropriate liability account for this deduction from the Liability pop-up menu.

10. Click the OK button when you have finished setting up this deduction.

The deduction will appear in the Deductions portion of the Payroll Items tab window.

11. Assign this deduction to applicable employees.

If needed, refer to Assigning payroll items to employees .

Once the deduction has been assigned to all applicable employees, you can personalize it for individual employees, if needed. Refer to Editing payroll items .

Employer paids

Employer paid items are contributions to the employee's compensation and do not affect employee paychecks. The most important ones are Social Security and Medicare Match and Federal and State Unemployment that must be tracked and reported. Examples of other employer paids are retirement and health insurance contributions.

The following instruction set will guide you through the process of creating a new employer paid item.

Creating a new employer paid item

1. In the Payroll Items tab window, highlight Employee List Settings at the top of the Employee List.
2. Click the GREEN New button.

If the option called "Menu link to" in Program Preferences is set to anything other than None, and you have not yet imported your chart of accounts into the payroll program, a dialogue will appear asking if you want to import your chart of accounts now. Click No if you don't want to import your chart of accounts now. You can import them later in the Send/Post Payroll window or the next time you create a new payroll item. Clicking Yes will generate an Open window where you can open your chart of accounts file. Once imported, the account names will display in the Liability pop-up menu. (Note: If needed, refer to the User Guide of your accounting program for information on how to export your chart of accounts. )

3. In the Title text box, enter the name of the employer paid.

The title can be anything you want. It should be descriptive enough so you can distinguish it from others you set up because it will be used throughout the program (e.g., reports).

4. From the Type pop-up menu, select the type of employer paid item it is.

Federal Unemployment

This type is only for the Federal Unemployment contribution.

Social Security

This type is only for the Social Security matching contribution.

Medicare

This type is only for the Medicare matching contribution.

State Unemployment

This type should only be used for a State Unemployment contribution.

Disability

Use this type when creating a disability contribution, such as SDI.

Training

Select this type for any sort of training contribution you create.

Pension

This type is for a pension plan your company may be contributing to. Generally, Federal, State, and Local deductions are exempt from pensions. Check with your accountant to be sure these defaults are correct.

Miscellaneous

Select this type for any miscellaneous employer paid item you create, such as an employer retirement contribution, life insurance contribution, etc.

Flexible Spending Account

This type is available in Ultimate and Top Pay Payroll. It is to be used for the Medical and/or Dependent Care Flexible Spending Accounts (FSA) of a Cafeteria Plan.

Special Groups

Grouping is a convenient way of tracking similar types of payroll items. For example, if you are contributing state unemployment taxes to three different states, you could assign the three state unemployment items to the State Unemployment type, and then generate a Freeform report that computes a single unemployment total instead of three separate totals.

Contributions can also be grouped on checkforms.

5. From the Apply to pop-up menu, select the appropriate option.

All income items

Select this option if all your income items apply to this employer paid item.

Custom

If there are specific income items that apply to this employer paid item, select the Custom option. In the window that appears, uncheck the income items that do not apply to this employer paid item.

6. From the Income Settings pop-up menu, select the appropriate option.

Flat Amount

Select this option if the employer paid item represents a simple dollar amount to be tracked each pay period, then enter the appropriate amount in the $ text box.

Percent of Gross Pay

Select this option if the employer paid item needs to be calculated as the percentage of the gross pay. The number you enter into the % text box will be the percentage of the gross pay that is tracked each pay period.

Percent of Federal Income Tax

Select this option if the employer paid item needs to be calculated as the percentage of the Federal income tax. The number you enter into the % text box will be the percentage of the Federal tax that is tracked each pay period.

Percent of State Income Tax

Select this option if the employer paid item needs to be calculated as the percentage of the State income tax. The number you enter into the % text box will be the percentage of the State tax that is tracked each pay period.

Amount Per Hour

Select this option if the employer paid item is based on the number of hours an employee works. The program multiplies the amount you enter in the $ text box by the number of hours worked this the pay period (e.g., for every 1 hour worked, contribute $0. 25). If the employee is paid using a salary, you can still enter the number of hours worked and this item will apply to those hours.

Percent of Net Pay

This option is used if the employer paid item needs to be calculated as the percentage of Net Pay. The number you enter in the % text box will be the percentage of the Net Pay that is tracked each pay period.

6. From the Limit options, set up the employer paid item as needed.

Select None if the item has no upper or lower limits. To set up an upper or lower limit, refer to Setting limits on payroll items .

7. If applicable, from the Tax options, override this item from your exempted deductions and/or exempted income.
8. If you have already imported your chart of accounts, you can link this employer paid item now, or later in the Send/Post Payroll window.

If you prefer to designate the links now, select the accounts that this employer paid item should be linked to from the Liability and Expense pop-up menus.

10. Click the OK button when you have finished setting up this employer paid item.

The item will appear in the Employer Paid portion of the Payroll Items tab window.

11. Assign the employer paid item to those employees it applies to. If needed, refer to Assigning payroll items to employees .

Once the employer paid item has been assigned to all applicable employees, you can personalize it for individual employees, if needed. Refer to Editing payroll items .

Setting limits on payroll items

Many government payroll items such as Social Security, Federal and State Unemployment, and disability have limits that are based on wages. You may also have other payroll items (e.g., pension) that need to be set up with a limit.

The following instruction set applies to both deductions and employer paid items.

Setting the limit on a payroll item

1. Depending on which type of limit you are setting up (or editing), click the Upper or Lower radio button.

Upper Limit

Click the Upper radio button if the payroll item requires an upper limit. For example, contribute $200 up to 50% of gross pay for this period.

There are different variables for each option in the Upper Limit dialogue, which remain invisible until a selection is made. These variables are illustrated and explained in the following text.

Maximum wages

If the payroll item requires an upper limit that is based on the amount of gross wages for the year, select this option and then enter the actual wage in the maximum wages text box. When the value is reached in the pay history records, the program stops calculating for this payroll item.

Dollar amount

If the upper limit is a dollar amount, select this option and enter the appropriate amount in the text box. Then select whether the amount applies to the whole year (e.g., $2,600 per year), or to the pay period (e.g., $26. 00 per pay period).

Percentage

If the upper limit is a percentage, select this option and enter the appropriate value in the text box. Then select whether the value is a percentage of the gross pay for the pay period or a percentage of the net pay for the pay period.

Lower Limit

A payroll item can be set up with a lower limit that must be reached before it begins. For example, with a lower limit set at $2000. 00, the employee must make $2000. 00 before the deduction kicks in. When you click the Lower radio button, the following window appears.

Designate the conditions for when the payroll item begins calculating and upon which the calculations are based

Don't calculate until

If you select Gross pay YTD, the program will not begin deducting/contributing until the employee's year to date gross pay equals the amount you enter.

If you select Gross pay for pay period, the program will not begin deducting/contributing until the employee's gross pay for this period equals the amount you enter.

Calculate based on

Choose whether the payroll item is based on the entire gross pay (whole amount), or only on the amount of the gross pay that exceeds the lower limit.

2. Click the OK button to save your settings and return to the previous window.

Managing payroll items

Making sure that your payroll items are set up correctly and assigned to the appropriate employees is essential to processing accurate paychecks.

Assigning payroll items to employees

Once a payroll item is created, you can assign it to those employees it applies to.

Assigning a payroll item to employees

1. Determine which employee(s) you want to assign the payroll item to, then make the appropriate selection in the Employee List (i. e. , Employee List Settings, New Employee Settings, or an individual employee).

Employee List Settings

If you want to assign a payroll item to all the employees on an Employee List, choose the list you want from the Employee List pop-up menu, then select the Employee List Settings option.

New Employee Settings

If you want to assign a payroll item to new employees, select the New Employee Settings option. (Note: You can think of the New Employee Settings option as the default set up for any new employee you enter into the program. When you enter a new employee, the program automatically sets up the employee with the payroll items you have selected for the New Employee Settings option. )

Individual employees

If you want to assign a payroll item to an individual employee, select the name of the employee in the Employee list.

2. Assign the payroll item by clicking in the Selection column located to the left of the payroll item.

If you selected the Employee List Settings option in Step 1, a window will appear asking if you want to assign the payroll item to the selected Employee List and to the New Employee Settings file. Clicking Yes will assign the item to all the employees on the selected Employee List and the New Employee Settings file.

Unassigning payroll items

There may be times when you need to unassign a payroll item from an employee. For example, an employee may no longer want dental insurance deducted from their paycheck.

Unassigning a payroll item

1. Determine which employee(s) you want to unassign the payroll item, then make the appropriate selection in the Employee List (i. e. , Employee List Settings, New Employee Settings, or an individual employee).
2. Unassign the payroll item by clicking in the Selection column located to the left of the payroll item.

If you selected the Employee List Settings option in Step 1, a window will appear asking if you want to remove the payroll item from the selected Employee List and the New Employee Settings file. Clicking Yes will unassign the item for all the employees on the selected Employee List and the New Employee Settings file.

3. The checkmark (√) will be removed from the item.

Editing payroll items

There will be times when you need to edit your payroll items. You can have this change affect all of the employees or just a particular employee. An example might be that the upper limit on one of the payroll deductions has changed for all of the employees; or perhaps you need to personalize a payroll item for individual employees (an example might be United Way contributions).

Editing a payroll item

1. Determine which employee(s) you need to edit the payroll item for, then make the appropriate selection in the Employee List (i. e. , Employee List Settings, New Employee Settings, or an individual employee).

Employee List Settings

If you select the Employee List Settings option, your changes will affect only those employees the deduction is assigned to on the selected Employee List.

New Employee Settings

If you select the New Employee Settings option, your changes will affect only the new employees you enter into the system.

Individual employees

If you select an individual employee, your changes will affect this employee only.

2. Select the payroll item. Click the Edit Item button.
3. In the Edit Item window that appears, make the changes you want.

The Title or Type of a payroll item can only be changed using the Employee List Settings option. It does not matter which Employee List is open because the program will update the item in all lists.

4. Click the OK button.

If you selected the Employee List Settings option in Step 1, an Update Payroll Item dialogue will appear in which you can select the Employee List you want to update. If you would like to make sure the changes take effect for new employees, you can also mark the Also Update New Employee Settings file checkbox in this dialogue.

When changes are completed, the program returns you to the Payroll Items tab window. What the program does to the payroll item depends on your selection in Step 1.

Individual employees

The program updates the payroll item in the employee file, and places a " P " next to the name of the item to indicate that it has been personalized for this employee.

Employee List Settings

The program updates the payroll item for all the employees the item is assigned to on the selected Employee List.

New Employee Settings

The program updates the payroll item in the New Employee Settings default file. If you change the payroll item to a different set up than the Employee List Settings, the program places a " P " next to the name of the item to indicate that it has been personalized for new employees.

Deleting payroll items

You can delete a payroll item from the Payroll Items tab window if it is not currently assigned to any employees and it is not part of a paycheck in Pay History.

Deleting a payroll item

1. In the Payroll Items tab window, select the payroll item you want to delete.
2. Click the Delete Item button.
3. In the confirmation window, choose Yes to delete the item, No to return to the Payroll Items tab window.

If the selected payroll item is currently assigned to an employee, you will be warned that you need to delete the payroll item from the employee file. Additionally, if the item is part of the pay history records you will receive a warning message that the payroll item must be removed from the pay history records before it can be deleted from the Payroll Items tab window.

Printing payroll items reports

Clicking the Print Report button allows you to view/print a report that lists the payroll items that are assigned your selection in the Employee List (i. e. , Employee List Settings, New Employee Settings, or an individual employee).

For example, if you select an employee in the Employee List, then click the Print Report button, the program will open the report in Preview mode. The report will display all the items that are assigned to this employee along with their settings. To print the report, select Preview > Print All.

Job costing

A job can be something small, such as designing a flyer, or something large, such as constructing a building. The job costing feature allows you process payroll with multiple jobs per employee. Each employee can have an unlimited number of jobs assigned to them with regular, overtime, double-overtime, and even vacation hours assigned to each job.

Creating jobs

Before you can assign a job to an income item, you must first create the job. There is no limit on the number of jobs you create. Also, a breakdown of your job information can be obtained from the Job Costing reports.

Creating a job

1. Select Utilities > Jobs.
2. In the Add Jobs dialogue, tab to a blank field and enter the information for the job.

Job Title

Enter a descriptive name for the job (50 characters or less).

Description

Enter a description of the job (200 characters or less).

3. If you want to enter another job, tab into a blank field and repeat Step 2.
4. Click the Done button when you have finished entering your jobs.

You can now assign each job to an income item (see next section).

Assigning jobs to income items

Once you've entered the names of your jobs, you can assign each job to the applicable income item.

Assigning a job in Payroll Items window

1. In the Payroll Items tab window, select the income item to which you want to assign a job.
2. Click the Edit Item button.

Make sure the income item is set up as needed. If the item has not yet been created, click the BLUE New button next to Income and create it. See Creating payroll items .

3. From the Default Job pop-up menu, select the job you want assigned to the income item.

You can create jobs on the fly by selecting the Edit Job List command in the Default Job pop-up menu and creating them in the Add Jobs dialogue.

4. Click the OK button.
5. If you have not yet assigned this income item to those employees it applies to, do so now.

This income item is now ready to be used to track payroll job costing information.

Assigning more than one job to an income item

If you need to assign more than one job to an income item, you can do so in the Process Payroll tab window.

To access the Job Costing dialogue, click the Process Payroll tab, then click the Allocate button next to the appropriate Income item on the Employee paysheet.

Below is discussion of the options displayed in this window.

Allocate by

Choose to allocate amounts by dollar amount or percentage.

Gross Amount

Displays the gross amount for the income item

Total Unallocated

Displays the amount left to be allocated

Total Allocated

Displays the amount that has been allocated.

Job Title

Displays the assigned jobs.

Allocation Amount

Enter the dollar or percentage amount in this column.

Enter percentages as whole numbers, example 15% would be entered as 15.

Assign Jobs

Click this button to access the Add Jobs window to assign jobs.

Assigning more than one job

1. Access the Process Payroll window.
2. Highlight the employee you wish to assign the job to from the employee list. Enter the income item information (pay rate, hours).
3. Click the Allocate button to the right of the Income Item to display the Job Costing window. The gross amount for the income item will display if the Allocate by Dollar radio button is selected.
4. Click the Assign Jobs button to display the Add Jobs window.

You can also add jobs in this window by tabbing into a blank field.

5. Click in the Assign column to the left of the appropriate job(s) to assign the job to the income item.
6. Click the Done button to return to the Job Costing window.

The assigned jobs will display.

7. Enter the Allocate Amount to the right of the appropriate job.

The Total Unallocated and Total Allocated amount fields will update as you tab to the next Allocate Amount field.

Any unallocated amounts will be allocated to the Regular Pay income item.

8. Click the Done button when you have finished allocating the amounts.
9. In the Alloc. Amount column to the right of the Job Titles, enter the amount to allocate by.

Deleting jobs

To delete a job, access the Add Jobs window (Utilities > Jobs). Highlight the job you want to delete and click the Delete Job button. Answer Yes in the confirmation dialogue that will appear to finalize the deletion.

Job Costing Reports

There are two job costing reports available in the Reports window:

Job Costing Detail

Breaks out the actual total income (i. e. , job) by state withholding, other deductions and employer paid items.

Job Costing Summary

Provides actual and estimated income (i. e. , job) by the state withholding, other deductions, and employer paid items.