Pyrl - Payroll Setup

Purpose

This form allows you to setup General Ledger liability accounts, expense accounts, and tax rates and amounts used in the payroll calculation and posting processes.

Usage

1. Enter liability accounts for taxes and wages payable. You may use separate GL accounts or the same account for all tax liabilities. We recommend using separate accounts.

2. Enter expense accounts for taxes and wages. Wages expense may be separated by each category available in the employee setup screen , or you may post all employee wages to the same expense account by selecting the same account for Sales, Office, Warehouse, and Production.

3. Enter FICA rates for both the Medicare and social security portions. Enter the employer percent paid. The employer percent is typically half or 50.00%. This field was made user defined to accommodate any future tax law changes. Percentages are entered as 12 .4 (Not as .124)

4. Enter federal Wage Base amounts for taxes. This is the level at which the tax it applies to will automatically stop calculating for each employee, when their year-to-date gross pay reaches the base amount. This field is a dollar amount set by tax law.

5. Enter State Unemployment Insurance (SUI) tax amount and wage base for employers.

6. Enter breakpoint for overtime hours on a weekly basis. Typically 40. Check federal laws.

7. You may choose to have Integral Accounting automatically add commissions from sales invoices to Commission and Salary + Commission type employees when their payroll checks are calculated in the Pay Employees form. To do this, check the "Automatically pay all Commissionable invoices less returns" box. Return type sales documents generate negative commissions. If the sum of commissions plus returns for a given pay period is zero or negative, the invoices will be held over automatically until the commission becomes positive. If you check this box, the 'Commissions' button will disappear from the pay employees form.

If you uncheck it, the 'Commissions' button on the pay employees form will be visible, allowing and /or requiring you to manually select which invoices to pay commissions on by line item, or assign them to specific paychecks.

Payroll Disclaimer:

Use of this software is under the agreement that Integral Accounting is not acting as an Accountant or agent for the end-user by providing this software for their use and may not be held liable for any misuse of this software, intentional or otherwise. All Reports should be reviewed by the user's Tax Advisor prior to submitting to IRS or any other entity.