Test Your Knowledge 4:

PAYROLL CYCLE
Members
Andrada, Lara Nicole
Bueno, Fatima Jean
Donguila, Shian Aubrey
Lapada, Monica Ingrid
Molina, Krisha Khate

Process Person or Input Output Accounting

Department Documents Documents Records
in Charge

Payroll

1 Update Payroll Master Payroll ● notification of ● payroll master

Database Department changes from database
various update
government
units and
insurance
companies

2 Validate Time & HR department ● Time card ● Time sheet

Attendance Data ● Job time ticket

3 Prepare Payroll Payroll clerk, ● employee ● Paychecks

Computer payroll records ● payroll
Operations, ● Payroll register
Cashier transaction data ● Deduction
register
● Earning
statement

4 Distribute Payroll Paymaster ● paychecks ● Distribution of

paychecks
● Disbursement
Voucher

5 Calculate & Disburse ● Flexible benefit ● Disbursement

Employer-paid Benefits, plan voucher
Taxes, & Voluntary
Employee Deductions

6 Prepare Accounts Payable AP clerk ● Distribution of ● Disbursement General Ledger

paychecks voucher

7 Prepare Cash clerk ● Voucher pocket ● Check (copy) General Ledger

Disbursement

8 Update General Ledger clerk ● labor distribution ● General General Ledger

summary Ledger
● Disbursement
 voucher
● Journal voucher

Human Resource Management (HRM) System

1 Personnel HRM ● internally ● Employee file

Department initiated
changes related
to employment

2 Cost Accounting HRM ● Job cost data ● Labor usage

Department file

3 Time-Keeping Time Keeping ● Time cards ● Attendance

Department file

4 Data Processing HRM ● Attendance file ● Labor

Department ● Employee file distribution
summary file
● Disbursement
voucher

5 Prepare Accounts Payable AP clerk ● Distribution of ● Disbursement General Ledger

paychecks voucher

6 Prepare Cash clerk ● Voucher pocket ● Check (copy) General Ledger

Disbursement

7 Update General Ledger clerk ● labor distribution ● General General Ledger

summary Ledger
● Disbursement
voucher
● Journal voucher