This chapter contains the following topics:
Section 1.1, "JD Edwards EnterpriseOne U.S. Payroll Overview"
Section 1.2, "JD Edwards EnterpriseOne U.S. Payroll Business Processes"
Section 1.3, "JD Edwards EnterpriseOne U.S. Payroll Integrations"
Section 1.4, "JD Edwards EnterpriseOne U.S. Payroll Implementation"
To understand how payroll affects the organization and the reasoning that underlies the tasks that you perform, you need to be aware of the critical role that payroll plays in the business environment.
A payroll department's customers include not only employees, but also other departments in the company, upper management in the company, and the federal, state, and local government agencies to whom withholdings from employee earnings must be paid and reported. In payroll, customer satisfaction depends on compliance with company policies for compensating employees, record keeping and accounting, upper management's business and cost-saving objectives, and with federal, state, and local government taxation and reporting requirements. A successful payroll system must:
Comply with federal, state, and local withholding, depositing, and reporting requirements.
The JD Edwards EnterpriseOne solution is Quantum by Vertex, which calculates tax withholding amounts for each payment, based on the current tax rates for each taxing authority.
Issue timely and accurate paychecks, direct deposits, and other disbursements.
You can define the pay dates for employees, calculate numerous voluntary deductions (such as life insurance deductions), and calculate involuntary deductions such as tax levies, child support, and other garnishments. In addition, you can calculate bonus and commission pay, overtime pay, and numerous other types of pay.
Maintain adequate records of all data and transactions.
You can retrieve data about gross-to-net payment and tax calculations, which you can use for depositing and reporting tax information. Additionally, you can set up history tracking on selected employee master fields. Doing so enables you to maintain an audit trail whenever data is changed.
Prepare reports based on company policy and management requirements.
A number of standard payroll reports contained in the JD Edwards EnterpriseOne Payroll system can be generated automatically during any step in the payroll cycle. In addition, you can easily create custom reports to meet the reporting needs, based on the data stored in the system.
Be secure.
Payroll-related data is proprietary information of the company and should be viewed by only authorized personnel. The system must prevent unauthorized personnel from viewing payroll data. The JD Edwards EnterpriseOne Payroll system provides a variety of security options, such as field-level or form-level security, to prevent unauthorized users from viewing or changing payroll data. In addition, security can be set up to specify those users who are allowed to perform the various steps in the payroll cycle, including a reset of the cycle. JD Edwards EnterpriseOne Payroll security features ensure the privacy of all payroll records.
Processing payroll internally enables the organization to eliminate costly service bureau charges and to gain complete control of the payroll functions. The JD Edwards EnterpriseOne Payroll system offers simple yet complete solutions for the entire payroll processing needs. You can use this flexible system to efficiently manage the unique payroll needs of the organization, even as the business grows and the requirements change.
This process flow illustrates the U.S. Payroll business processes:
Figure 1-1 U.S. Payroll business processes: (1 of 2)
Figure 1-2 U.S. Payroll business processes: (2 of 2)
We discuss these business processes in the business process chapters in this implementation guide.
The JD Edwards EnterpriseOne U.S. Payroll system integrates with these JD Edwards EnterpriseOne systems from Oracle:
JD Edwards EnterpriseOne Asset Lifecycle Management
JD Edwards EnterpriseOne Financial Management
JD Edwards EnterpriseOne Human Capital Management
JD Edwards EnterpriseOne Project Management
JD Edwards EnterpriseOne Supply Chain Management
We discuss integration considerations in the implementation chapters in this implementation guide. Supplemental information about third-party application integrations is located on the JD Edwards Customer Connection website.
Payroll integrates with the Asset Lifecycle Management applications to streamline processes, improve operational and performance management, and enable the tracking of time and labor costs related to managing assets.
The JD Edwards EnterpriseOne Payroll system automatically creates vouchers for payroll taxes, insurance premiums, and other payroll liability amounts that must be paid to third parties. JD Edwards EnterpriseOne Accounts Payable integration automates the tasks of calculating the payments due to each third-party and of generating the associated accounts payable vouchers.
JD Edwards EnterpriseOne Payroll integrates with JD Edwards EnterpriseOne General Accounting to automatically update general ledger transactions and account balances. JD Edwards EnterpriseOne Payroll can create and post transactions to the general ledger using the automatic accounting instructions (AAIs) that you define. You can use full detail on the labor accounts and run a summary of the liabilities and cash accounts.
Payroll uses employee names and addresses that are stored in JD Edwards EnterpriseOne Address Book.
Payroll integrates with the other JD Edwards EnterpriseOne Human Capital Management applications so that changes to employee human resource and benefit information are immediately reflected throughout the system, ensuring that each paycheck and report is up to date.
Project Management and Payroll integrate to recognize labor and overhead expenses as they occur, for precise planning and variance analysis.
This section provides an overview of the steps that are required to implement the JD Edwards EnterpriseOne U.S. Payroll system.
In the planning phase of the implementation, take advantage of all JD Edwards sources of information, including the installation guides and troubleshooting information.
When determining which electronic software updates (ESUs) to install for JD Edwards EnterpriseOne U.S. Payroll, use the EnterpriseOne and World Change Assistant. EnterpriseOne and World Change Assistant, a Java-based tool, reduces the time required to search and download ESUs by 75 percent or more, and enables you to install multiple ESUs at one time.
See JD Edwards EnterpriseOne Tools Software Updates Guide.
This table lists the suggested global implementation steps for JD Edwards EnterpriseOne U.S. Payroll:
Set up companies, fiscal date patterns, and business units.
Set up accounts, and the chart of accounts.
Set up the General Accounting constants.
Set up multicurrency processing, including currency codes and exchange rates.
Set up ledger type rules.
Enter address book records.
Set up Human Capital Management fundamental information.
This table lists the core implementation steps for JD Edwards EnterpriseOne U.S. Payroll system:
Set up the Payroll Cycle Workbench.
Set up Master Pay Cycles.
Create a payroll ID.
Attach a Master Pay Cycle to a payroll ID.
Set up payroll cycle control parameters.
Set up pay cycle reports.
Set up payment information.
Set up payment types.
Set up debit account information for automatic deposits.
(Optional) Set up multiple version processing.
(Optional) Attach multiple version information to a payroll ID.
Set up the Interims Workbench.
Create an interim payroll ID.
Roll pay period dates forward for an interim ID.
Set up reports for an interim ID.
Set up unemployment insurance rates.
Set up workers' compensation insurance-basis tables.
Set up workers' compensation insurance rates.
(Optional) Set up job step progression information for employees.
(Optional) Set up job step progression parameters.
(Optional) Set up timecard automation for stand-alone job step progression.
(Optional) Set up rule sets for job step progression processing.
Set up garnishment tables.
Set up standard annual exemption amounts and additional exemption amounts for disabilities.
Set up exemption calculation tables for exemption rules.
(Optional) Set up ADP integration.
See Integrating with ADP.