This article will help with setting up a company for live, or after-the-fact payroll processing, including company information and payroll templates.
- Before setting up individual employee records, use the Default Payroll Information and General Ledger Account Posting screens to setup the employee templates.
- This default payroll setup will only flow to new employees added, therefore it's important to set up the templates first, then the Employees.
- If employees are setup up before the default templates, then each employee must be set up separately.
- For instructions on setting up employees, pay or withholding items, refer to Setting Up Employees in EasyACCT.
Company Information screen
- Go to Write-Up > Update Company Files, and select Company Information.
- Make sure the last Payroll Year-end date is entered.
- If processing live payroll, select a Default Bank Account for Payroll Checks.
- Select SUTA Rates/Limits and complete the information in the table.
- Select State Tax IDs and complete the information in the table.
- Select Local Tax IDs and complete the information in the table.
- Select Other State IDs and complete the information in the table.
Payroll template screens
There are two payroll setup templates in EasyACCT. Using them makes the employee set up process quick and easy. These screens are the Default Payroll Information screen and the General Ledger Account Posting (also called Payroll Posting screen). The Default Payroll Information screen is the template for the Employee's Wage/Withholding screen, and the General Ledger Account Posting screen is the template for the employee's Earnings Records screen. Note that changes can be made to each employee.
Default Payroll Information
Set up pay and withholding items common to all employees on this screen.
- Go to Write-Up or Batch Payroll > Update Company Files > Company Information. Switch to the Default Payroll Information tab.
- For Items GP1-GP10, setup common pay categories (regular pay):
- Enter a description.
- If the amount is separately reported in W-2 boxes 8-14, select the appropriate code from the dropdown menu.
- For W-2 boxes 1, 3 and 7: if the amount is included in these boxes, include a checkmark in the field. Only use box 7 for tipped employees.
- Applicable taxes:
- FWT: for pay items subject to federal withholding tax, place a checkmark in the box.
- FICA: for pay items subject to FICA and Medicare taxes, place a checkmark in the box.
- FUTA: for pay items subject to FUTA, place a checkmark in the box.
- SUTA: for pay items subject to SUTA, select the SUTA code from the dropdown menu. SUTA codes are set up in Company Information screen Main tab.
- State: for pay items subject to state withholding, select the appropriate code from the dropdown menu.
- Local (1-3): for pay items subject to local withholding, select the appropriate code from the dropdown menu.
- OST (1-3): for pay items subject to employer-only taxes, select the appropriate code from the dropdown menu.
- For Items WH1-WH10, setup common withholding items (for example, insurance):
- Enter a description.
- If the amount is separately reported in W-2 boxes 8-14, select the appropriate code from the dropdown menu.
- For W-2 boxes 1, 3 and 7: if the amount of the withholding (WH) isn't included in the calculation for these boxes, include a checkmark in the field.
- Applicable taxes:
- FWT: for WH items not subject to federal withholding tax, place a checkmark in the box.
- FICA: for WH items not subject to FICA, and Medicare taxes, place a checkmark in the box.
- FUTA: for WH items not subject to FUTA, place a checkmark in the box.
- SUTA: for WH items not subject to SUTA, select the SUTA code from the dropdown menu. SUTA codes are set up in Company Information screen's Main tab.
- State: for WH items not subject to state withholding, select the appropriate code from the dropdown menu.
- Local (1-3): for WH items not subject to local withholding, select the appropriate code from the dropdown menu.
- OST (1-3): for WH items not subject to employer-only taxes, select the appropriate code from the dropdown menu.
The Default Payroll Information tab accessed through the Batch Payroll Module has additional fields compared to the same tab accessed through Write-Up:
- Calculate overtime automatically (Posts to Gross Pay #2)
- OT Pay Factor
- Compute allocated tips using hours
- WH fields to use for uncollected tax on tips: FICA and Medicare
General Ledger Account Posting (Payroll Posting)
This screen controls how payroll items are posted to the general ledger.
- There are two ways to access the screen:
- Go to Write-Up > Update Company Files then Automatic Journals >Payroll Posting; or,
- Go to Batch Payroll > Update Company Files > G/L Account Posting.
- This screen includes every gross pay (GP), withholding (WH), employee tax, and employer tax affected by a payroll check. Complete each field by selecting a General Ledger account number from the dropdown menu.
- It's required that every field is completed even if it's not used.
