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Microsoft Dynamics GP (Archived)

Payroll batch with employer benefit contribution and no wages

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Is it possible to run a payroll batch with just an employer benefit contribution and no wages?  Our management recently added a new healthcare plan that includes an HSA.  The company is going to contribute $25 a month to any employee who was employed for the entire month.  They have to verify the employee was employed for the whole month so the contribution will come the following month.  We need to be able to record the benefit contribution for W2s but they don't want to print a check for it, or include it with a normal payroll.  Any thoughts or suggestions would be greatly appreciated.

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  • Verified answer
    Community Member Profile Picture
    on at
    RE: Payroll batch with employer benefit contribution and no wages

    We solved it for anyone in a similar situation.  Leslie Vail's solution was very close, but GP wouldn't let us process checks with no pay and a benefit.  What we had to do was create a paycode for $25 and a deduction for $25.  It hit all the right summary tables and didn't add a check to the bank rec.

  • Community Member Profile Picture
    on at
    RE: Payroll batch with employer benefit contribution and no wages

    Hello Leslie,

    Sorry for the very late response we got pulled away on other things and just got back to this issue.

    First off I agree it's an odd request I work for an odd company :).  They intend to send out a separate statement for the HSA account where the employee will see the contribution.

    My initial thought on solving this was basically what you suggested.  I feel like it should work, but for some reason our payroll department can't seem to run a test batch with it working correctly.  I'm assuming it's something we are doing incorrectly, but I'm not sure what it is.  They can get all the way through build the checks but it won't let them post because it says it builds nothing.

    We have the paycode set up as $0, pay type Business Expense.

    The benefit is set up as a single fixed amount of $25, it is linked to the paycode we created, and the transaction required box is checked.

    Any thoughts would be greatly appreciated.

  • Verified answer
    L Vail Profile Picture
    65,271 on at
    RE: Payroll batch with employer benefit contribution and no wages

    Yes, you can do it a variety of ways. The only hitch is that you have to base it on a pay code and include that pay code in your check run. You can create a pay code with a pay amount of zero and it will work. You create the $25 per month benefit, include the zero pay code and build your checks. The calculated amount of the check will be zero and no check will print, but when you post the pay run it will update the W-2. In order to control it so that it's never included in your regular build, you'll want to set both the pay code and the benefit code to require a transaction.

    It's kind of an odd request to not include it on any checks, the employee will never see it unless a separate statement of some kind is sent.

    Leslie

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