Updates to AP

Payroll provides a method that will use the information calculated in Payroll for employees’ deductions and liabilities and automatically update the Accounts Payable system with transactions to be paid.

This can automatically set up AP transactions for payment of taxes, worker's compensation, union benefits, garnishments, and others. The transactions are created after a payroll is completed. The payments of the transactions are handled in Accounts Payable, and may be done at a later time.

Just a few or all of the deductions and employer paid liabilities may be set up to generate the AP transactions automatically. To utilize this feature, the following forms are used.

  • PR Deductions/Liabilities - The first step is to use the Accounts Payable tab of the PR Deductions/Liabilities form. For each deduction or liability code, check the Automatic Update to Accounts Payable option if you want to create an automatic AP transaction. If checked, indicate the associated vendor, payable type, and frequency. The vendor can be overridden at other levels described below (i.e. multiple garnishments or union pension funds may use one deduction code, but be paid to various agencies and unions). You can also indicate if a separate check is required for each employee.

  • PR Crafts - The vendor for a deduction or liability can be overridden at the craft level. This is typically used for union payments and allows a single deduction or liability code to be used, such as Pension, with the rate and vendor established at the union level. A vendor is set up for the craft, but if separate checks are required for each deduction or liability, a further override vendor may be set up on the deduction/liability tab.

  • PR Employees - Deductions or liabilities that are specific to individual employees are set up in PR Employee Deductions & Liabilities. This form is accessed by clicking the Ded/Liab Overrides button on the Additional Information tab of PR Employees. The vendor and the transaction description may be overridden at this level. This would typically be used for garnishments to establish the vendor (court or agency) to be paid, and the case number or other identifier can be set up in the transaction description.

  • PR Accounts Payable Update - The update to AP is done after the payroll period is closed. This creates an AP transaction batch that may be edited directly in AP either before or after being posted.