Create and Post the Labor Distribution | Scribe

    Create and Post the Labor Distribution

    • Mark Vieno |
    • 25 steps |
    • 2 minutes
    1
    Click the "Labor Distribution" module on the left-hand menu bar.
    2
    Set up your pay cycles. You will need at least one pay cycle that matches the pay cycle used to run your payroll. You may have as many different pay cycles as required. Click "Pay Cycle".
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    Tip! You may have as many different pay cycles as required.
    3
    Click "Add New Pay Cycle" if you need to add a new pay cycle.
    4
    To add a new pay cycle, click in the empty "Pay Cycle Type" field.
    5
    Display the Pay Cycle Type options by clicking the down arrow. GovBooks supports 4 standard pay cycles; Weekly, Bi-weekly, Semi-monthly and Monthly. It is important to select the correct Pay Cycle Type because your selection will affect the labor distribution calculation. You may have more than one pay cycle for any given Pay Cycle Type as long as the Pay Cycle Name is unique. Click the desired Pay Cycle Type.
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    Tip! You may have more than one pay cycle for any given Pay Cycle Type as long as the Pay Cycle Name is unique.
    6
    Give the new pay cycle a name by entering it in the Pay Cycle Name field.
    7
    When you have completed your entry, click "Save changes". You have now created a new Pay Cycle. This new Pay Cycle has been saved for use with labor distribution calculations.
    8
    Your next step is to set up employees. Click "Employees" in the Labor Distribution module.
    9
    To add a new employee, the down arrow in the "Employee" field. You will see displayed a list of employees and vendor names from QuickBooks Online. Vendors are included in the list to allow you to use this field for employees if you would like, or to do a labor distribution for 1099s or subcontractors in special cases.
    10
    Select the employee or vendor you would like to set up.
    11
    Next, click in the "Pay Type" field.
    12
    Choose between "Salary" and "Hourly" for this person. It is important to select the correct Pay Type and reflect how the person is actually paid because this selection will affect the labor distribution calculation. For purposes of GovBooks, a person is paid a "Salary" when they receive a fixed wage payment for a given Pay Period regardless of the number of hours they work. A person is paid "Hourly" when they receive a wage payment for a given Pay Period determined by the number hours recorded on their timesheet multiplied by an hourly wage rate.
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    Alert! It is important to select the correct Pay Type and reflect how the person is actually paid because this selection will affect the labor distribution calculation.
    13
    Next, click in the "Pay Cycle" field.
    14
    Select the "Pay Cycle Name" that is associated with the person.
    15
    Next, enter the person's actual compensation received for the pay cycle. If the person's compensation is "Salary" then enter the annual amount. If the person's compensation is "Hourly" then enter the hourly wage paid to the person. The compensation data will be saved for future labor distributions until you change it. If you forget to update the compensation data, you will notice a payroll variance between the labor distribution calculation and your payroll service's payroll register or journal entry. If this occurs, simply update the compensation here in GovBooks are re-calculate and re-post the labor distribution. Note: GovBooks intentionally does not connect to outside payroll systems to pull in compensation data. The labor distribution is commonly calculated at month-end close, the following month or later, and compensation data imported from a payroll service may have changed since running the previous payroll. In addition, many companies use the Labor Distribution module in GovBooks to update or correct historical labor distributions from months or years prior.
    16
    When you have completed the setup for an employee, click "Save & New".
    17
    Now you are ready to compute and post the labor distribution. Click "Export Labor Distribution" in the Labor Distribution module in the left-hand menu.