Integrating with PeopleSoft Enterprise General Ledger

This chapter provides an overview of the General Ledger interface and discusses how to:

• Integrate Global Payroll with General Ledger.

• Run the General Ledger process and send data.

• Define retroactive processing for General Ledger.

Understanding the General Ledger Interface

Sending payroll data to General Ledger is one of the final steps in the payroll cycle. When you integrate Global Payroll and General Ledger, you can automatically post earnings and deductions that are associated with a finalized calendar run to your General Ledger system.

Common Elements Used in This Chapter

Integrating Global Payroll with General Ledger

To integrate Global Payroll with General Ledger, use the Chartfields (GP_GL_CHARTFLD), Element Groupings (GP_GL_GROUP), and Account Mapping (GP_GL_MAP) components.

This section provides overviews of integration points for the Global Payroll and General Ledger interface and integration steps for Global Payroll and General Ledger and discusses how to:

• Identify a General Ledger unit for your business unit on the Business Unit Reference page.

  See Defining Business Units.

• Select chartfields for allocating costs to General Ledger.

• Group earnings, deductions, or accumulators for General Ledger processing.

• Map chartfields and grouping codes to General Ledger accounts.

• Override chartfield values for a payee.

• Override chartfields at the Positive Input level.

See Also

PeopleSoft Enterprise General Ledger PeopleBook

Understanding Integration Points for the Global Payroll and General Ledger Interface

Integration points are interfaces between PeopleSoft applications. They enable the transfer of data from one database to another.

The Global Payroll and General Ledger interface uses integration points to retrieve account number and business unit information from General Ledger and to send payroll results to General Ledger.

Note. To research the technical details of an integration point that is used by PeopleSoft applications, see the Interactive Services Repository in the Implementation Guide section of My Oracle Support.

Retrieving Account Data from General Ledger

When you set up the integration with General Ledger, Global Payroll must receive the following integration point messages:

ACCOUNT_CHARTFIELD_FULLSYNCH

BUS_UNIT_FS_FULLSYNC

BUS_UNIT_GL_FULLSYNC

JOURNAL_GEN_APPL_ID_FULLYSYNC

Later, as changes to account codes and business units are made in General Ledger, Global Payroll retrieves the changes by subscribing to the following integration point messages:

ACCOUNT_CHARTFIELD_SYNC

BUS_UNIT_FS_SYNC

BUS_UNIT_GL_SYNC

JOURNAL_GEN_APPL_ID_SYNC

Note. If you are using the standard chartfield configuration between PeopleSoft Enterprise HRMS and PeopleSoft Enterprise FMS, you also need to run the import for those chartfields.

See Enterprise PeopleTools PeopleBook: PeopleSoft Integration Testing Utilities and Tools

Sending Payroll Results to General Ledger

The Global Payroll results integration point uses PeopleSoft Integration Broker to send payroll results to the Global Payroll Accounting Line Stage Record (GP_ACC_LINE_STG). The data is sent using the General Ledger Transaction Prep application engine process (GP_GL_PREP), and uses the Post Global Payroll to General Ledger batch rule (GP_POST_GL).

After Global Payroll sends the data, General Ledger can receive the data and incorporate it into its own data.

Understanding Integration Steps for Global Payroll and General Ledger

To set up Global Payroll for integration with General Ledger, you:

1. Synchronize Global Payroll and Human Resources with your PeopleSoft Enterprise Financials database.

   To ensure that Global Payroll retrieves the correct account numbers and business units from the Financials database, activate and receive the following integration point messages: ACCOUNT_CHARTFIELD_FULLSYNCH, BUS_UNIT_FS_FULLSYNC, BUS_UNIT_GL_FULLSYNC, JOURNAL_GEN_APPL_ID_FULLYSYNC.

2. On the Business Unit Reference page, add a General Ledger Unit.

3. Indicate which system and variable elements can be used as chartfields:

   1. For system elements, select the Use As Chart Field check box on the Source and Use page and select a prompt view. For variables, select the Use As Chart Field check box on the Variables - Definition page and select a prompt view.

   2. On the Element Name page, select the Store check box.

   3. Include the chartfield elements in your payroll process list.

4. On the ChartFields page, select up to eight chartfield elements that apply to a specific business unit and pay entity.

5. On the Element Groupings page, place earning, deduction, and segment accumulator elements into groups.

6. On the Mapping page, map the groups and chartfields to their corresponding General Ledger accounts.

The following diagram illustrates the General Ledger setup steps and batch process in Global Payroll:

General Ledger process flow

Note. The Source and Use page, the Variable - Definition page, and the Element Name page are discussed previously in this PeopleBook.

See Also

Pages Used to Modify and View System Elements

Pages Used to Define Variable Elements

Pages Used to Define Element Names

Pages Used to Integrate Global Payroll with General Ledger

Selecting ChartFields for Allocating Costs to General Ledger

Access the ChartFields page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Integration, Chartfields, Chartfields).

Chart Fields

Select up to eight chartfields for which you want Global Payroll to send values when you allocate costs to General Ledger accounts for this pay entity and business unit. You can select only from the system elements and variable elements that are designated as chartfields for the country of the pay entity that you selected to access this page.

Complete Chart Field 1 through Chart Field 8 in the order listed. You must list these fields in hierarchical order. Do not skip any fields.

Grouping Earnings, Deductions, or Accumulators for General Ledger Processing

Access the Element Groupings page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Integration, Element Groupings, Element Grouping).

A grouping code is an attribute of an earning, deduction, or accumulator element. Elements must be in groups before they can be processed by General Ledger.

Earning, Deduction and Accumulator Elements

For each accumulator, deduction, or earning element to include in the group, select the entry type and element name.

Note. You can select accumulators only where Segment is defined as the accumulation period (on the Accumulator - Period page).

Mapping ChartFields and Grouping Codes to General Ledger Accounts

Access the Mapping page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Integration, Account Mapping, Mapping).

For an earning, deduction, or accumulator amount to be sent to General Ledger, you must map the combination of chartfield values that are associated with the amount to a General Ledger account.

Chart Fields

Setting Up Default Accounts

When an amount is associated with a combination of chartfield values that is not mapped to a General Ledger account, the system cannot send the amount to General Ledger. Setting up a default account is appropriate in some cases.

Let's say that you've set up the following information and that you have payees who work in departments A, B, C, and D:

Because account 3 does not have a chartfield value assigned at the DEPTID level, it serves as the default for deductions that can't be charged to DEPT A or DEPT B. Deductions for payees who work in departments C and D are charged to account 3.

This default feature enables you to use a single row to assign numerous departments to the same account. However, because (in this example) no similar default account is set up for earnings, the earnings for payees in departments C and D are not charged to any account.

When mapping to accounts, be sure to set up either a default account or specific accounts for all earning, deduction, and accumulator elements that will be transferred to General Ledger accounts.

See Also

PeopleSoft Enterprise General Ledger PeopleBook

Overriding ChartField Values for a Payee

Access the GL Distribution Overrides page (Global Payroll & Absence Mgmt, Payee Data, Create Overrides, GL Distribution Overrides, GL Distribution Overrides).

The data that you enter on this page overrides the values on the respective chartfields on the Job record or other source record.

Chart Field Overrides

Chart values 1−8 are enabled based on how many chartfields are defined for the pay entity and the business unit that the payee belongs to in this job. Field names match the prompt views that you selected for the chartfield elements.

Enter the chartfield values to use for the selected payee's job.

Overrides by Element

Designate the earning, deduction, and segment accumulators for which you want to override chartfield values. You can also specify the percentage of the earning, deduction, or accumulator amount that you want to take on the override values.

For example, an earning element named OVERTIME has a value of 1000. If you specify 25 percent to allocate for the OVERTIME element, the system associates the chartfield override values that you entered in the Chart Field Overrides group box with an earning amount of 250. You must then associate the default chartfield values with the remaining 75 percent.

Note. Do not allocate more than 100 percent to the same element.

Overriding Chartfields at the Positive Input Level

To override the value of a chartfield for a particular instance of an element, use the Positive Input - Details page.

See Also

Entering Positive Input

Running the General Ledger Process and Sending Data

This section provides an overview of the process of sending payroll data to General Ledger and discusses how to:

• Send payroll data to General Ledger.

• View transactions without General Ledger accounts.

• Reset the Global Payroll accounting transactions.

Understanding the Process of Sending Payroll Data to General Ledger

Finalizing the General Ledger process causes earning, deduction, and accumulator amounts to be sent to General Ledger.

To send payroll data to General Ledger, you:

1. Access the Send Costs to GL page.

2. Select the calculate option for the calendar group (and stream, if applicable) that you want to process.

3. Select the posting date.

4. Select the finalize option after running the calculate option for the entire calendar group.

Note. Before you run the Finalize process, review the Review GL Costing w/o Account page to see if any amounts there are not associated with accounts. These amounts will not be transferred, which could result in an unbalanced GL.

Note. If you have installed Payroll to SAP General Ledger Integration Packs (PPS), the finalize option is not available. Instead, the General Ledger prepare process performs an additional check which does not call the finalize process.

Pages Used to Run the General Ledger Process and Send Data

Sending Payroll Data to General Ledger

Access the Send Costs to GL page (Global Payroll & Absence Mgmt, Time and Labor/GL Costs, Send Costs to GL, Send Costs to GL).

Calendar Group	Select a calendar group to run the process. Only calendar groups for which payroll is finalized but not yet sent to General Ledger are available.
Stream Number and Process Streams	Process Streams is selected if stream processing was used during the payroll process and must be used with the Calculate option. Select the stream number to process.
Posting Date	Enter the date on which the entries are posted to General Ledger. Even if you run your process on the fifteenth of the month, you can indicate that you want the entries posted on the thirtieth of the month. Note. The posting date that you select must abide by the closing date of Journal Generator. Posting dates must be coordinated with General Ledger. If Time and Labor is installed and costing has been sent, the posting date defaults to the day the costing was sent. You can change this day in this field to reflect the day that the general ledger is actually sent to General Ledger.

Processing Options

Select a processing option. You can run Calculate and Finalize together if the Payroll process is finalized.

Calendars List

This group box displays information about each calendar in the calendar group.

Streams

Viewing Transactions without General Ledger Accounts

Access the Transactions without Account page (Global Payroll & Absence Mgmt, Time and Labor/GL Costs, Review GL Costing w/o account, Transactions without Account).

The Additional Chart Fields tab lists transactions that are not assigned to a General Ledger account—that is, amounts that are associated with chartfield combinations that are not mapped to an account. General Ledger doesn't balance if you have transactions without an account. All amounts without accounts, including earnings and deductions, are expressed as debits.

Each row that's not specified has a View Mapping button that you can click to access the mapping page for the pay entity and business unit that you specified. These rows are not sent to General Ledger. For example, if you specified a DEPTID for an earning element, the system finds this match. If an earning element is not assigned to a DEPTID, and no default earning account is specified, the earning element is not sent to General Ledger.

See Also

Mapping ChartFields and Grouping Codes to General Ledger Accounts

Resetting the Global Payroll Accounting Transactions

Access the Reset GL page (Global Payroll & Absence Mgmt, Time and Labor/GL Costs, Reset GL, Reset GL).

See Resetting the Global Payroll Accounting Transactions.

Defining Retroactive Processing for General Ledger

This section discusses:

• Double-counting of deltas.

• Countries page.

• Retroactive adjustments to General Ledger data.

Double-Counting of Deltas

Retro presents special challenges in General Ledger, since incorrect setup can cause double-counting of deltas. This section provides an overview of the types of retro and provides information to prevent double-counting of deltas.

There are two types of retro:

• Corrective retro realizes any deltas in the period in which they occur.

• Forwarding retro forwards deltas to the current period.

Although you might use forwarding retro in general, you can choose to have individual accumulators behave in a corrective fashion by selecting the Use Corrective check box on the Level page in the Accumulators component (GP_ACCUMULATOR). If you have selected this check box, then if a contributing member has adjustments brought into the current period, these adjustments will not be added to the accumulator.

The following example illustrates how double-counting could occur. In this example:

• The retro method is forwarding.

• Earning E1 contributes to accumulator E1_YTD.

• The value of E1 is 100.

The following table displays the results for the finalized January payroll:

After the January payroll is finalized, E1 is retroactively changed to 110. When you run the February payroll, Global Payroll also runs a retro revision of January. The following table displays the results of the February payroll:

The YTD amount in February should be 220, not 230. The 230 amount results from double-counting of the delta from January. To prevent this from happening, Global Payroll automatically passes not the V1R2 balance of 110 from January, but the V1R1 balance of 100. E1_YTD in February then equals the incoming balance of 100 plus 110 (current value of E1) plus 10 (adjustment to January amount), for the correct total of 220. In this case, the January E1_YTD value of 100 is the forwarded value, while the value of 110 is the calculated value. Both of these values are stored on the Accumulator results table, with the forwarded value stored in the field CALC_RSLT_VAL and the calculated value stored in the field CALC_VAL.

Note. The passing of the first revision accumulator balance only occurs if the retro method defined for the accumulator is forwarding. If the retro method for the accumulator is corrective, the forwarded value is equal to the calculated value. Adjustments are not brought into the current period, so no double-counting occurs.

Since Global Payroll automatically handles the potential double count in forwarding retro, and since corrective retro does not pose the same sort of double-counting possibility, how could double-counting occur? The answer lies with segment accumulators. All other accumulators pass their ending balance along to the next segment processed to be used as a new starting balance. Segment accumulators exist only for the duration of the segment in which they are created. Therefore, the concept of a forwarding balance is not applicable to them; they only have a calculated value.

In the previous example, double-counting was prevented because the E1_YTD balance forwarded was the 100 taken from V1R1, not the calculated value of 110. If earning E1 also contributes to segment accumulator AC1_SEG, the substitution of the forwarded value for the calculated value would not take place, since forwarding is not applicable to segment accumulators. For AC1_SEG, both CALC_RSLT_VAL (forwarded value) and CALC_VAL (calculated value) equal 110. If the January value of 110 was added to AC1_SEG's February value of 120, the delta would be double-counted.

Therefore, if you pass a segment accumulator to General Ledger, you should define the segment accumulator as corrective. In the previous example, defining AC1_SEG as corrective would result in values of 110 for both January and February, with a combined correct total of 220.

Countries Page

On the Countries page, you'll define retroactive processing for General Ledger, using the Use Current Results + Adjustment for General Ledger group box.

Note. The Countries page is discussed in another chapter in this PeopleBook.

See Defining Country-Level Setup.

Use Current Results + Adjustment for General Ledger

Most organizations that implement Global Payroll choose to use the default method to process the chartfields and element groupings that are posted to the General Ledger when retroactive processing occurs in a finalized payroll. These organizations only need to specify on the Countries page the default retro method, either forwarding or corrective, that is used by their organization, or that is most appropriate for their country extension of Global Payroll.

Other organizations prefer to post only V1R1 results to General Ledger. The To Process General Ledger check box is an additional option that addresses this business requirement, and permanently changes the way that the system handles General Ledger postings in relation to retroactive processing that has occurred in the payroll system.

The default setting for the To Process General Ledger check box is deselected. When you select it, you are telling the system not to reverse previous postings of chartfields and element grouping amounts to the General Ledger and to skip all sections and steps responsible for retro calculation (reversing) and instead send results from V1R1 and adjustments only. If you select the To Process General Ledger check box, the effect depends on the default retro method you use:

• If the Default Retroactive Method is Corrective, then selecting the To Process General Ledger check box does not affect the way that retro is processed for General Ledger.

• If the Default Retroactive Method is Forwarding, retroactivity changes as follows:

  • The system does not reverse prior chartfields and amounts associated with element groupings that have been mapped to General Ledger accounts.

  • The system does not post recalculated amounts to the General Ledger that result from retroactive processing in payroll. Instead, the payroll system sends current results (V1R1) plus adjustments to the General Ledger.

Note. If your retro method varies and you select the Use Current Results+Adjustment check box for General Ledger, you will see both retroactive methods, corrective and forwarding, in General Ledger results. Any forwarded element will include the amount of the delta or adjustment; the corrective method will reverse and correct previous entries.

Note. Do not enable either setting in the Use Current Results + Adjustment group box if you are satisfied with the way the system currently handles retroactive processing in relation to banking and GL. These settings are not backward compatible.

Note. Once you enable one or both of the Use Current Results + Adjustment settings, you cannot change them back to the default setting. The check boxes become read-only and remain so.

Note. The tables used by and modified in banking and GL are independent. Consequently, you can select the To Process Banking and the To Process General Ledger check boxes independently of one another.

See Defining a Retro Process.

Example: Selecting the Use Current Results+Adjustment Check Box to Process General Ledger When Forwarding is the Default Retro Method

In January a deduction with a payment of 100 is posted to GL account 210003, the account associated with ChartField Department 1. There is a change in payroll that triggers retroactive processing, and you realize that the employee whose payment was posted in January was really in Department 2, not Department 1. Deductions associated with Department 2 should be posted to GL account 210004.

This table summarizes the results that are sent to General Ledger when the Use Current Results+Adjustment check box is selected for General Ledger and forwarding is the default retro method:

In this example, the system does not send the reversal and reinstatement of chartfields and amounts associated with element groupings to General Ledger. It processes only the current period plus adjustment. (The adjustment in this case is 0 because the amount of the deduction does not change.) When using the To Process General Ledger check box, the system uses the current resolved chartfields. The system does not use the original chartfields. This may result in adjustments being posted to a different account.

Note. You must manually correct the January posting, as the amount is posted to the wrong account.

Understanding Retroactive Adjustments to General Ledger Data

Regardless of the payroll system's retroactive mode—which can be corrective or forwarding—the GL calculations are always done in corrective mode. This means that all prior transactions for the retroactive period are reversed and new transactions are created for all entries from the recalculated results. This ensures that not only changes to amounts but also changes to chartfields and account assignments are reflected in the updated transactions. As a consequence, the numbers from the current period are always transferred to GL net of any forwarded adjustments.

This "corrective treatment" of the payroll results are not to be confused with the processing on the GL side. All transactions are posted based on the posting date given by the user when the GL process is kicked off and are not related to the original dates of the retroactive period, as those books are probably closed.

In January a deduction with a payment of 100 is posted to GL account 210003, the account associated with ChartField Department 1. There is a change in payroll that triggers retroactive processing, and you realize that the employee whose payment was posted in January was really in Department 2, not Department 1. Deductions associated with Department 2 should be posted to GL account 210004.

This table summarizes the results that are sent to the General Ledger . The system will reversal original posting and post the correct account for the January Run.

In case of segmentation mismatch, the system always uses current results plus adjustments and posts results to the last available segment.