Payroll Setup Tasks to Transfer Costs to General Ledger

Payroll accounts capture the account information required to generate journal entries for the ledgers used by your legal entities. If you create accounting results, you must generate and assign data roles required by Subledger Accounting. If you transfer your payroll costs from Subledger Accounting.

Set Up Accounts for Payroll and General Ledger

As a best practice, set up accounts in payroll for the equivalent account combinations maintained in General Ledger. By using a similar structure, you avoid discrepancies, minimize maintenance, and improve communication between departments when resolving questions about journal entries.

For example, specify the same natural account segment for the payroll Cash account as used in General Ledger, to reconcile the Cash account and bank balance for transactions that share the same bank account.

Transfer Costs to General Ledger

If you plan to transfer payroll and payment costs to General Ledger, complete these steps.

1. Select the Transfer to General Ledger option on these setup pages.

   Costing Setup Page	Costs Transferred
   Costing of Elements	Payroll run costs
   Costing of Payments	Payment costs

2. Review the configuration parameters on the Payroll Process Configuration page that control which accounting date to use when you transfer and post journal entries to General Ledger.

   Parameter Name	Parameter Description	Default Value
   Accounting Date for Transfer to General Ledger	Accounting Date, which uses one of these dates: P Process Date of the payroll run (P) This is also the date used to transfer and post journal entries for costing results to General Ledger. E Date Earned DP Date Paid from payroll time periods for calculate payroll and QuickPay only EVE For the accounting date of the Partial Period Accrual Reversal process, Date Earned specified on the Payroll Definition page on the Time Periods tab is used. If the Date Earned isn't defined, the payroll period end date is used. For the actual payroll run costs, the process date of the payroll run is used.	P
   Reversal and Balance Adjustment Accounting Date	Accounting date, which uses one of these dates: Process date of a reversal or a balance adjustment (P) Process end date of the Transfer to Subledger Accounting task (T) This is also the date used to transfer journal entries for costing results to General Ledger.	P

3. Accounting Date for costing of payments is as follows:

   1. Unreconciled Payments: The effective date of prepayments is the Accounting Date to transfer the costing of payments to subledger accounting.

   2. Reconciled Payments: The effective date of prepayments is the

      Initial results of costing of payments process where it debits the liability account and credits the cash clearing account. The Cleared Date in Cash Management is the Accounting Date when you transfer the costing of payments after reconciliation is done in cash management.

   3. Void Payments: When a payment is voided and the results are costed, the effective date of Void process is the Accounting Date while transferring the results to subledger accounting.