New screens were added to allow users to set up Cost Centre Distribution for codes types of T - Timesheets; O - Other Income; A - Allowances; D - Deductions. This allows for the distribution of costs, including Salary, over various cost centers. Please note:
- All employer-related expenses for these employees are pro-rated per the schedules.
- Expenses include all remuneration except Year-End Bonuses.
- Salary, Travel Allowances, Leave granted etc.
- Employer portion of Group Health, Employer portion of N.I.S.
Step 1: Distribution Setup
Enter the pay group for which the distribution of costs is to be applied:
- Pay Group: code of your pay group created for your company.
- Pay Group Name: name of your pay group created for your company.
- Status: Active or Inactive. If Inactive, then the distribution will not be processed.
- Run in: cycles in which the distribution will be applied (Normal Cycles Only, Out-of-Cycles Only or Both Normal and Out-Of-Cycles).
POWERpay>>Maintenance>>General Ledger>>Cost Centre Distribution>>Distribution Setup:
1.1 Expand the record to enter the Code Type (T - Timesheets; O - Other Income; A - Allowances; D Deductions) and Code Fields - to which the distribution will apply:
Step 2: Employee Distribution
Enter employees for whom cost centre distribution apply. Select the Cost Centre and enter the Percentage. An unlimited number of records is permitted.
POWERpay>>Maintenance>>General Ledger>>Cost Centre Distribution>>Distribution Setup>>Employee Distribution:
Step 3: Process Payroll and View Employee Pay
Enter employee cycle changes and process the payroll as per usual. Navigate to Employee Pay Profile to view the results. Expand the employee record. Click on each tab to view details.
Example A
3.1 View Cycle Changes
POWERpay>>Employees>>Pay Profile>>Current Payroll Data>>Employee Pay>>Cycle Changes:
- T.…TIMESHEETS….N (New Record)….40.00 cycle change in the above screenshot refers to the number of hours the employee worked (40.00).
ii. Item ID is KCOT KEYBOARDS DOUBLE TIME which has an Earning Factor of 2.00:
POWERpay>>Maintenance>>Payroll Setup>>Earnings>>Earning Types>>[KCOT]:
3.2 Drill Down (Cost Centre Distribution)
POWERpay>>Employees>>Pay Profile>>Current Payroll Data>>Employee Pay>>Drill Down:
3.2.1 View Employee Rate
To understand the calculations on the Drill Down screen (3.2 above) the Employee Rate needs to be known. Navigate to:
POWERpay>>Employees>>Pay Profile>>Current Payroll Data>>Pay Profile>>[Search for Employee]>>Expand Employee Record:
Calculations
- Cost Code 08-6900:
Units Charged: Percentage x Number of Hours
92% x 40 = 36.8
(Percentage splits are set up in Step 2 Employee Distribution)
Unit Rate: Unit Rate (Employee Pay Profile) x Earn Factor
49.1329 x 2 = 98.2658
Amount: Units Charged x Unit Rate
36.8 x 98.2658 = 3,616.18
(this amount will be applied to Cost Centre 08-6900)
2. Cost Code 08-00:
Units Charged: Percentage x Number of Hours
8% x 40 = 3.2
(Percentage splits are set up in Step 2 Employee Distribution)
Unit Rate: Unit Rate (Employee Pay Profile) x Earn Factor
49.1329 x 2 = 98.2658
Amount: Units Charged x Unit Rate
3.2 x 98.2658 = 3,616.18
(this amount will be applied to Cost Centre 08-00)
Example B
Example B uses T…TIMESHEETS…TOTAL AMOUNT i.e. the $ amount.
3.1 View Cycle Changes
POWERpay>>Employees>>Pay Profile>>Current Payroll Data>>Employee Pay>>Cycle Changes:
- T.…TIMESHEETS….T (TOTAL AMOUNT)….40.00 cycle change in the above screenshot refers to the total amount in dollars for which the employee worked (40.00).
ii. Item Id is KCOT KEYBOARDS DOUBLE TIME which has an Earning Factor of 2.00:
POWERpay>>Maintenance>>Payroll Setup>>Earnings>>Earning Types>>[KCOT]:
3.2 View Drill Down (Cost Centre Distribution)
POWERpay>>Employees>>Pay Profile>>Current Payroll Data>>Employee Pay>>Drill Down:
Calculations:
- Cost Code 08-00:
Units Charged: Percentage x Earn Factor
8% x 2.00 = 16% = 0.16
(Percentage splits are set up in Step 2 Employee Distribution)
Unit Rate: 40 ($ amount entered in Cycle Changes)
Amount: Units Charged x Unit Rate
0.16 x 40 = 6.40
(this amount will be applied to Cost Centre 08-00)
2. Cost Code 08-6900:
Units Charged: Percentage x Earn Factor
92% x 2.00 = 184% = 1.84
(Percentage splits are set up in Step 2 Employee Distribution)
Unit Rate: 40 ($ amount as entered in Cycle Changes)
Amount: Units Charged x Unit Rate
1.84 x 40 = 73.60
(this amount will be applied to Cost Centre 08-6900)
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