Edge/Payroll: Post Gross Pay/Employer Expenses on one date and Checks/Deductions by check date

We use modified accrual instead of cash basis for our bookkeeping. Fundware allows us to post payroll how we want with entries to the general ledger on the dates we specify.

Example: Payroll period of Jan 16-31 to be paid to employees on Feb 10.

(1) Employee gross pay and employer expenses (employer share of Social Security, Medicare, retirement, workers comp, etc.) to the general ledger with a posting date of Jan 31.

Journal Entry to GL: Debit department salaries expense and benefit expense accounts; Credit to accrued payroll liability.

(2) Checks/EFT's and employee deductions on Feb 10.

Journal Entry to GL: Debit accrued payroll liability and credit cash for checks/efts and credit various accounts for the deductions taken from employee paychecks. The accounts that will be credit are assigned in the setup of the deduction codes.

  • Guest
  • Jul 13 2016
  • Will not implement
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  • Admin
    Eddie Barker commented
    26 Jun, 2019 10:19pm

    As IOIPay is our premier payroll provider, and we will not be doing any further feature development to Payroll 7, this is being passed along to them for evaluation. On 6/18/2019 we announced that the end-of-life for Payroll 7 is estimated to occur in early 2021.