Posting payroll from outside source

[gailg]

I am a new user of Peachtree and also a neebie to the whole world of accounting.

We use an outside source for payroll. How do I "key" the checks generated for payroll? I have looked all through the "Peachtree for Dummies" and can't find an answer.

[Robert Walraven]

Not sure what you mean by "key". Can't you simply enter the checks in manually through Payroll? Can you be more descriptive about exactly what you are trying to accomplish?

[gailg]

I have not set up the payroll portion of Peachtree since we use an outside source. If I do that, can I manually enter the checks so that we track them? I need to be able to reconcile with the bank and would not be able to if I can't reflect the payroll checks in Peachtree.

[Robert Walraven]

Yes. As long as you don't have too many payroll checks to enter that may be the easiest thing to do.

[DawnL]

If you have a standard service that generates a payroll journal and related reports that are sent to you with your checks, all you need to do is post each check from the payroll journal in the "Payments" screen. First set up each employee under the Maintence menu and then "pay"each employee using the actual check number issued to them. That way Peachtree will not print a check, it will just post it to the GL. Be sure to record all the payroll taxes etc to the appropriate payable (entered as a negative when recording the payment), You will also need to record the employer's share of FICA and FUTA and SUI. I can give you the actual entry if this is not enough info to get you going. The payment will get posted to the account that you designate in the "Payments" screen for reconcilliation purposes.

Dawn

P.S. This will be more complicated if you are using job costing so consider that before you begin.

[gailg]

Thanks for all the help so far!

I think I can get started from there. I do get a payroll journal and understand what you are saying about "paying" each employee. I am a little confused on the taxes though. I assume that I pay each employee net pay with the check number associated. Then is it a separate entry for their deduction, taxes, insurance, etc?

I understand how to do the company match.

Luckily we are not using job costing.