If you are new to Payroll, you may find it helpful to review an example of how to set up Payroll to implement the
Follow Project Locale option.
Lisa Smith's company has contracts in both Massachusetts and Maine. In this example, Lisa works on the ABC Plaza Study, located in Massachusetts, and the HiFi Recreation Center project located in Maine. You want to track her wages and withholdings based on where she's working.
To track wages and withholdings by project locale:
-
On the Navigation menu, click
.
-
On the Projects hub form, establish a default project locale for all necessary projects and WBS levels.
In this example you establish the following locales:
- Select
MA for the
Payroll Tax Locale at the project level of the ABC Plaza Study.
- Select
ME for the
Payroll Tax Locale at the project level of the HiFi Recreation Center.
Both of these projects have a second level (phase) of WBS. We want the entire project to use the same locale. However, when employees charge time, they must charge time to the lowest level of the WBS. So we have to verify that the
Payroll Tax Locale field is blank for all phases of the project. This way Payroll will use the locale set at the project level. The default value of the Payroll Tax Locale for all levels is blank, which means that all phases should be set to blank.
-
Verify that the
Payroll Tax Locale field is blank for all phases of both projects.
-
On the Navigation menu, click
and click the Payroll tab of the Employees hub form.
-
Open the employee record for Lisa Evans.
-
On the Withholding grid, set withholdings for Massachusetts and Maine to
Active and select
System as the
Method, so that
Vantagepoint refers to tax tables when making tax calculations.
-
Set the
Locale Method field to
Follow Project Locale.
Both MA and ME display in the State/Local/Tax Jurisdictions grid.
-
Select
MA as Lisa's
Default Project Tax Locale.
If Lisa charges time to a project that has no
Payroll Tax Locale, or to a project whose locale does not appear in her Withholding grid,
Vantagepoint populates the timesheet with this Default Project Locale. For this example, both projects that Lisa will be charging time to do have Payroll Tax Locales and both locales do exist in Lisa's Withholding grid. Therefore
Vantagepoint ignores the
Default Project Tax Locale field in this example.
-
Save the employee record.
Lisa Smith fills out her timesheet.
- Lisa charges 40 hours to the ABC Plaza Study and leaves the default
Payroll Tax Locale of
MA selected.
- Lisa also charges 48 hours to the HiFi Recreational Facility, leaving
ME selected as the default
Payroll Tax Locale for this project.
Lisa could override either of these defaults by selecting a different locale from the Payroll Tax Locale field. For this example, she keeps the defaults.
-
Submit, approve, and post the timesheet.
-
From Payroll Processing, select payroll run options and make sure that Lisa Evans is selected for the run.
-
Run a draft Payroll Journal.
Notice how withholdings are broken out between Massachusetts and Maine.
-
Process payroll.
-
Print checks.
-
Preview the check.
Notice how withholdings are broken out between Massachusetts and Maine.
-
Assign check numbers.
-
Post payroll.
-
Run the Payroll Posting Log.
Notice how taxable wages are broken out between Massachusetts and Maine.