Canadian Payroll Paycode not Distributing correctly

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Posted on by Bill Campbell

We recently updated client to GP2015 with out errors and after running payroll for the second time the Controller noted that the distribution for the BONUS paycode is not actually distributing to the correct two or three departments as the data is entered.

The employee might work at three different store locations and will therefore be awarded three different bonus amounts based on the hours worked at each of the store locations.

Here is example

Employee1 works 12 hours at location CC and is awarded $100 BONUS

Employee1 works 24 hours at location CN and is awarded $200 BONUS

The bonus paycode is set up with a DEBIT account of 1-030-8655

Location CC is x-030-xxxx

Location CN is x-040-xxxx

In the data entry window - both QUICK and DETAILED - the payroll manager can enter the two amounts and codes them to the two different locations - DETAILED entry only - and continues to post the payroll.

It was not until the Controller looked at the reporting ( Detailed Posting Journal ) that it was learned that while entered as expecting to distribute, the system ignored that and sent a single value to the GL of $300 to account 1-030-8655

Problem is that this has been happening for some time and not recognized by the Controller, so he is prepared to correct the historical side, but he is asking / no demanding / that we fix the current and future transactions so that they are correct.

Please provide whatever assistance you can as soon as possible.

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Mark101 139 on at

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Hi Bill,

Can you post the settings in your Payroll Accounts Gross Pay (DR) for the two departments?

Ideally, you will want something like:

DEPT       POS    CODE       ACCT

030         ALL     BONUS       1-030-8655

040         ALL     BONUS       1-040-8655

That should work, depending on your position setups.

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Bill Campbell 12 on at

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Mark, when I attempt to do this, I get the message that I need to "Add the Department"

I am assuming that I am doing this from the Administration >> Posting >> Payroll Accounts menu - is that correct?

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Mark101 139 on at

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I guess I am not sure if your location is your department or if you are using other values for departments. Also, I just noticed you are using Canadian Payroll, so I am only familiar with US payroll. That being said, if you can setup CC and CN as departments, that works too. However if you can't align the departments in payroll to your second segment, then you are going to have trouble doing what you describe.

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Community Member on at

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Something that might work is setting up a paycode for each Bonus (BONUSCC, BONUSCN) because at the paycode level you can assign the correct account code. 1-030-8655, 1-040-8655

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twelvestrikes 3,657 on at

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Hi Bill

From what you are describing the bonus amount entered to Location CN is being sent to the CC location which most likely ties in with the department assigned to this employee based on the account masking in the Control Setup (setup > payroll Canada > Control > Control)

Question for you, when you enter the regular hours of 12 for location CC and 24 for location CN, do those amounts get allocated to the respective GL accounts for each location?

If yes, then I would look at the setup of the Bonus income paycode and note the differences between it and the setup of the regular hourly earning code.

Note in particular the Distribute flag, is it set to Yes or No

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Bill Campbell 12 on at

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That would work, but we have 25 + locations and that would mean creating 25 times each paycode and then the users will have a nightmare to track.

Last resort, but an option.

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Bill Campbell 12 on at

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Jeffrey, when they enter any paycode where they are trying to split the amounts to two or more departments, it fails to do so.

Looking at the paycodes, they all have DISTRIBUTE selected YES - and still no joy - whatever GL account is attached in the Paycode setup is the account to which it posts - regardless of the Department code entered at the time of doing the data entry.

Employees do not work at a set department / location rotation so I can not enter the DISTRIBUTION on the employee Card - but I am wondering where else I can identify the different locations / departments ( second account segment ) that the employee works at during the course of the month.

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twelvestrikes 3,657 on at

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Hi Bill

Ok, thanks for the clarification. Some more digging first. You mentioned that you recently upgraded the client to GP 2015 recently, did the example you give above work in the version they were upgraded from? Curious to know that answer.

The only way that I know to automatically distribute is to setup a distribution on the Employee setup. This only goes by percentage (of course totaling 100%).

Reading further, the payroll time is entered manually--correct? If yes, using the Payroll Quick Entry allows you to enter the employee, paycode, date and units. Using this method, it will pickup the earning code and use the GL string and substitute the masked segment for the department assigned to the Employee. Department is a required field.

If you use the Payroll Complete Entry, there is an option box that if marked, you can enter a different GL account from the default set in the Payroll code setup.

For example paycode reg hours 000-6000-00 (dept-main account-sub account)

Employee assigned to Sales department which is 400 and the masking setup in the payroll control is for the department segment.

Entering using the Quick entry will assign the employee's reg hours to 400-6000-00

If you enter in the Payroll Complete Entry window, not marking the Allow Account Entry box will do the same, if you mark the Allow account entry box, then you can override the GL Account and put in say 600-6000-00.

This will then allow you to use the same pay codes but the trade off is that there is more manual entry.

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Beat Bucher GP Gee... 28,058 Moderator on at

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Hi Bill,

Happy New Year to you first of all..

Did you came up with an acceptable solution finally to solve your problem ? Can on of the suggested response be marked as good ?

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Bill Campbell 12 on at

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I will be working on the solution with the client over the next couple of days - we just want to get past the T4 processing for them and then onto this

Thanks to all for the suggestions - I will be sure to mark a solution - and fill in the blanks as we figure out the best way to make this for this specific client.

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