Setting up pays (in-house payroll)

Type the name of the pay. This name appears on lists and reports in Ajera.

Select the type of pay you are setting up:

Sick

Pay for sick time

Vacation

Pay for vacation time

Other

Additional pay you can set up, such overtime

Other in and out

Pay that needs to be included in an employee's gross pay but not included in the employee's net pay (such as a car allowance or a clothing allowance)

An in/out pay is entered as an earning for applicable employees but is subtracted as a deduction from the employee's net pay after taxes have been taken.

Accrual

Used for accruing hours, such as vacation time. For example, when the employee enters vacation time, the hours for this pay are reduced.

Cash fringe

Pay in cash for benefits not provided as a fringe benefit on certified jobs

Not applicable to a pay type of Accrual.

Leave this check box selected if you want to enter hours and units for this pay.

• Select this check box to include hours for this pay, along with regular and premium hours, on the quarterly report. Amounts for the pay are always included on the quarterly report.
• Clear this check box to exclude hours for this pay from the quarterly report. For example, you set up this pay for vacation hours, which should not be included in government reporting as hours worked.

For a pay type of Sick, Vacation, Other, or Other In and Out.

Select this check box to include the amount of this pay in the basis when the calculation method is Percent of Regular Pay or Percent of Regular Pay Plus Premium Pay for pays, deductions, or taxes.

Examples:

This pay is for a bonus. Select this check box so it is subject to regular taxes and deductions.

This pay is for an automobile allowance. Clear this check box so it is not subject to regular taxes and deductions, such as 401(k).

For a pay type of Sick, Vacation, or Other. Only available if you select the Track hours/units check box.

• Select this check box to include the pay amount as part of the salary amount.
• Clear this check box to exclude the pay amount as part of the salary amount.

For a pay type of Sick, Vacation, Other, or Other In and Out.

Select the calculation method for calculating the pay.

Not available for Premium Pay 1, 2, or 3.

Change the pay rate, as needed. For example, if you are setting up an accrual type of pay or a pay that has a different rate from the regular rate established for the employee, enter the rate here.

If you selected a calculation method of Flat Amount, use this field to enter the amount instead of a rate.

For pay type of Sick, Vacation, Other, or Cash Fringe.

Select the expense account for amounts entered to this pay.

For a pay type of Sick, Vacation, and Other, if the hours are entered on the paycheck, the expense account is debited with the employee's cost amount (hours x standard hourly rate).

If hours are entered in the Overhead area of the timesheet, Ajera retrieves the expense account in the following order:

1. Account entered on the Overhead Group item
2. Expense account entered on the pay specified on the Overhead Group item
3. Overhead account entered in company preferences

For a pay type of Sick, Vacation, and Other. Only available if you selected the Track hours/units check box.

Select the pay, which has a type of Accrual, that you want to reduce.

For example, you can set up a pay with a type of Accrual to accumulate employees paid personal leave hours. You can then reduce the accumulated hours when other pays for vacation or sick are entered. More on setting up pays to accrue hours

For a pay type of Accrual.

Ajera accrues hours continuously unless you instruct it to do otherwise.

To set the accrued hours to zero or reduce them at a specific time (such as at year-end), select the Auto Reduce check box and do the following:

• In the Reduce To field, type the maximum number of hours to carry over. You can enter 0 to carry over no hours.
• In the Reduce Month/Day field, enter the month and day when you want to reduce the hours. Ajera reduces the hours when you create a payroll that includes the month/day within its period beginning and ending dates.

To report the amounts for this pay in boxes 10-20 on Form W-2, make a selection.

Otherwise, leave the Not Reported option selected.

For box 14, 18, or 19, identify the pay by printing a description for it in the box. Enter this description in Ajera in the W-2 box description field.

For more information, see About Form W-2.

If you selected to report this pay in box 14, 18, or 19, identify it by printing a description for it in the box. Type the description you want to print, entering up to five characters.

Select the check box for each tax that the employee is exempt from withholding.

For example, when setting up a pay for sick time, select the State Unemployment Employee Tax Exempt check box to exclude the pay from state unemployment taxes.

Select the check box for each tax that the employer is exempt from withholding.

For example, when setting up a pay for sick time, select the State Unemployment Employer Tax Exempt check box to exclude the pay from state unemployment tax.