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PAYROLL

CONTENTS

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1. Payroll & Payroll Methods

2. Payroll Creation

3. Consolidation Set Creation

4. Elements

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5. Individual Mode

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6. Batch Mode

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7. Batch Element Entry (BEE)

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8. Element Set

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9. Running Prepayments

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10. Check Writer

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11. Corrections (Rollback, Retry, Reverse)

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12. Void Payments

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13. Costing Process

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14. Transfer to GL

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15. Absence Management (Absence, Accruals)

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PAYROLL AND PAYROLL METHODS


Payroll: List of employees whose pay is processed with a single
frequency.
We can have different payrolls
E.g. for 1000 employees we can have
500-Monthly
200-Weekly
300-Daily
This three group together called as Consolidation Set
Consolidation Set: It is a name or label given to represent different
payroll run result.
Payroll has got 3 methods. They are as follows
1. Pre-processing
2. Processing
3. Post-processing

Payroll Setups
Create payment methods
Navigation: Payroll: Payment methods

Click New

PAYROLL CREATION
Creation of Payroll
Navigation: Work Structure: Organization: Description
Select your name and click on Find

Click on others and select Tax details references, enter the details and
save

Navigation: Payroll: Description


In consolidation field click Ok twice and in statutory information enter
the fields save and click on period dates and check the status of 3-year
calendar, default all the periods will be open
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Click on Valid Payment methods and create some new names

CONSOLIDATION SET
Create Consolidation Set
Navigation: Payroll: Consolidation
Query with your name, create new consolidation set and save

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ELEMENTS
Types of Elements: This are of three types
1. System defined
2. Pre defined
3. User defined
Elements Classification
Earnings
Deductions
Information
Tax Elements
Processing Type of Elements
1. Recurring: which reflects in each & every month payroll
E.g. BP, HRA, Allowances etc
2. Non- Recurring: regularly they will not pay every month, they will
pay intermediately
E.g. Bonus, OT
Deducting elements: PF, ESI
Element Termination Rules: It gives the behavior of the rule when the
employee is terminated
Actual Termination
Last Standard Process
Final Close
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Creating Elements
Navigation: Total Compensation: Basic: Element Description
Click on Input Values

Disable User enterable in first row and create new one

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Create new Element and follow the same procedure

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Establish eligibility criteria for each element we created using element


link window
Navigation: Total Compensation: Basic: Link

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All the Recurring elements can be made as standard elements except


basic pay.

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Navigation: Total Compensation: Basic: Salary Basis


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Navigation: Total Compensation: Basic: Write Formulas


Click on Edit

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Click on Verify

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Establish link between the elements and formula using Formula result
Navigation: Total Compensation: Basic: Formula results

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Attaching elements to employee


Giving values for the elements
Navigation: People: Enter and Maintain

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Click on Assignments

Attach Salary Basis and Payroll, save and click on Salary

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If we want to increase the employee salary after two months enter the
amount in change value and save it will not approve, click on Entries

Click New and Add Bonus and select each one simultaneously and click
on entry values

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Select Basic Pay and click on Entry Value It will show the amount

Select ESI and enter the amount

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Select PF and enter the amount

Select Bonus and enter the amount


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For CCA, HRA it will not show any value because we have not selected
User enterable

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INDIVIDUAL MODE
Query your employee and go to assignments->others and select Quick
pay

Save and Click on Start Run and check status


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Click on View Results and select SOE Report, Standard Run

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You can see that Basic Pay, HRA, CCA is calculated from the formula

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Check the Status and click on View Results and select Payment methods

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Click on External Payments

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BATCH MODE
Create a New Employee

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Click on salary enter the amount and save

Create a New Employee

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Create one more Employee

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BATCH ELEMENT ENTRY (BEE)


If any element is column it should be distributed amongst all employees
Navigation: Mass Information exchange: Mix: Batch Element Entry
Enter the Batch name and enable Purge after Transfer
Click on Element Lines

Click on Find nothing will be displayed

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Save and close the form

Click on Process, Start

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If you have not selected purge it would have change status to


transferred automatically Bonus will come

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Assignment Set: Grouping of Assignments


First take two existing employees

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Navigation: Payroll: Assignment Set


Click on Amendment

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ELEMENT SET
Navigation: Payroll: Element Set
Click on Include Element
Select BP, HRA, CCA, PF, ESI, and Bonus one by one and save

Run Payroll Run UK Program


Click Ok and Submit

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Navigation: View: Payroll Process Results


Click on Find
Click on Assignment Process and select SOE Report

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RUNNING PREPAYMENTS
Run Pre-Payment Program
Click Ok and Submit

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Click on Find and Assignment Process

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CHECK WRITER
Run the Program Check writer
Click Ok and Submit and View Output

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CORRECTIONS
Rollback
Retry
Reversal
First two are done by Post Processing and last one done after post
processing
Rollback: It is a method of correcting the run results, which will allow
us to rollback or remove the complete run results from the system
Use Rollback method when the number of employees affected or more
in number
Retry: It is also a method of correction, which allows us to correct the
affected employees without the necessarily of rolling back the entire
results. Use retry when number of employee affected are small in
number
Post Processing: Making the Payments E.g. Check writer, BACS
Reversal: It is a method applicable to individual employee after post
processing. The reversal process generates negative entries so that the
effect is localized
Void Checks: It will cancel all checks

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ROLLBACK

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If you select Feb month and if you click on find you will not find
anything

RETRY

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For Feb Month

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Click on Assignment Process and enable Retry for the employee and
save and check the status

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Go to Entries Select PF and change the value and save

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Now go to View Process and check PF

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REVERSAL
It will be done only after you run the check writer program

Click on others and select Reverse Run

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Select From date as January Month and click on Find


Click on Assignment Process

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VOID PAYMENTS

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Navigation: View: Assignment Process Results


Click on Find

Click on Payments

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COSTING PROCESS
Setup for Costing Process
Enable costing for all the elements in payroll
Give the corresponding accounts
Do the Flexi field mapping. Mapping is done between two FF
Accounting Flexi field in GL to
Cost Allocation Flexi field in Payroll
Run the Costing Process
Import Journal from General Ledger

Switch to System Responsibility


To see Cost Allocation Flexi field
Navigation: Application: Flexi field: Key: Segments
Query with your application and select title as Cost Allocation
Click on Segments

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Click on Flexi field Qualifiers

Query your Application with General Ledger and select title as


Accounting Flexi field and click on segments and flexi field qualifiers

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Now switch responsibility to UK_HRMS


Query your elements
Navigation: Total Compensation: Basic: Link
Enable to Cost and Map Costing and Balance account for all BP, HRA,
CCA, ESI, PF, and Bonus

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Navigation: Payroll: GL Flexi field Map


Query your Payroll and Map

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Run the Costing Program


Click Ok and Submit

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Run Cost Breakdown Report for costing run program


Click Ok and Submit

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TRANSFER TO GL
Run Transfer to GL program
Click Ok and Submit

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Switch Responsibility to General Ledger


Run Import Journals Program
Click Ok and Submit

Click on assignment->others

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Select Costing

Enter the Cost Code save and close

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Click on Entries, Here also we can change the code because sometimes
the people in high level will know the exact position where the expense
should go but the people dont know so they will give some other
account. For Example an employee is send from USA to London to solve
an issue and another person from Leeds is going to Paris for same
purpose and after sometime they are sending the USA person to Paris
for advisory purpose.

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ABSENCE MANAGEMENT
It is of two types. They are as follows
Absences
Accruals
Absences
No calculations
Initial Balance given
Balance decreases as availed by employees
Accruals
Calculations
No initial balance is given
Leave get accumulated as the employee works
Navigation: Other Definitions: Application Utilities Lookups
Query with your Absence Category type, Click New and create some
leaves

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Query with type as Absence Reason

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Go to Element

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Navigation: Total Compensation: Basic: Link


Enable Link to all Payments

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Click on input values

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Navigation: Total Compensation: Basic: Absence Types

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Select one Employee


Click on Assignment and entry and add new entries to the particular
employee

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Select sick and personal leave and click on entry values and enter
number of days for leave

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Navigation: Mass Information exchange: Mix: Batch Element Entry


Click on Element Lines

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Click on Process and Start

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Absence Details
Select an Employee and click on others and select Absence

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When you start the date number if Running Total Days will reduce

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