Setting Up a Worker's Compensation Code

Follow these steps to create a new worker’s compensation code.

  1. On the Site Map screen, click Payroll > Maintenance > Worker's > Compensation.
  2. At the Worker's compensation code field, enter a new compensation code, or press F4 or double-click on this field to select an existing compensation code to modify.
  3. Modify or add information in the remaining fields, and then click OK.
    Note: When using this procedure in conjunction with setting up third party sick pay, use a clearing account for this salary G/L account code. The equipment expense account code will still need to be a direct cost G/L account code, but it will not be used. The tax expense account codes should be the actual G/L account codes for the items that will be taxable to the company. For example, FICA will be taxable, so the FICA Expense G/L account code would be a non-direct FICA expense G/L account code. Any items that are non-taxable can be coded to their corresponding Liability G/L account codes. Enter the Third Party Sick Pay Workmen's Compensation Code in the workmen's compensation code field at the bottom of the screen.