The payroll processing has been generalized to accommodate the widest range of options. For the user with very basic payroll needs this may appear to add unnecessary steps to the job. However, when the employees and codes are set up it will prove to be a simple operation and the few added steps just serve as audit controls.
Payroll processing is made up of five functions:
Each assembly function involves:
Generation functions only use previously posted transactions. For example, earnings must be posted before deductions can be generated. Deduction processing goes through at least two cycles. The first is for basic deductions, like health care, and other calculations, like vacation accruals. These are posted and then the government deductions, like income tax, are generated. Finally the cheque itself is generated. In the cases of earnings and deductions, several batches can be used in one pay period for better control. Only one cheque batch is used and it must be named CHEQ. At this time, one batch register is used for all batches - earnings, deductions, and cheques. For ease of operation put only one type of transaction in each batch.