Paycheck Runs

Paycheck Runs Overview

Paycheck Runs are used to create Paychecks for Employees that have chosen to be paid via check instead of direct deposit. Paystubs for all Employees are included in each Paycheck Run, regardless of the payment method selection of the Employee. 

When a Pay Run is approved, a corresponding Paycheck Run is automatically created, containing the associated Paychecks and Paystubs. Each Pay Run can be included in only one Paycheck Run. Learn more about calculating and approving Pay Runs here. 

Payroll journal entries and funding journal entries are linked to the paycheck run. These journal entries can be viewed as well as manually created from the Paycheck Run Details sidesheet.

When a Paycheck Run is created, Paychecks for associated Employees will be created and numbered in sequence with the checks for the associated Bank Account. These Paychecks can then be printed manually using the same check stock used to print AP checks. 

If 'Print & Ship' is enabled, Paycheck Runs can be submitted for printing, where the checks will be printed in bulk and shipped to the appropriate Location(s).

Voiding a paycheck inside of a paycheck run will void the check in R365 Accounting and provide an option to reissue the paycheck with a new check number. Reissued paychecks can be printed from within the paycheck run.

More information about Paycheck Runs can be found in the following articles:

• Paycheck Runs Page

• Paycheck Run Details Sidesheet

• Creating Paycheck Runs

• Manually Printing Paychecks and Paystubs

• Print & Ship

Setup

Before Paycheck Runs can be utilized, Employee Records and System Preferences for Payroll Clearing must be configured. 

Employee Record Configuration

Only Employees that have chosen to be paid 'By Check' will have Paychecks created. Employees can change this setting themselves through the 'My Pay' section of the R365 Red App. If needed, Users can change the 'Pay Preference' setting for an Employee on the 'Payroll' tab of that Employee's Employee Record. 

Employees that have chosen to be paid 'By Check' will not be able to elect 'Daily Pay' as their pay frequency. 

Payroll Clearing

The 'Payroll Clearing' setting on the 'Miscellaneous' tab of System Preferences determines how Locations and Legal Entities are grouped into Paycheck Runs. Each Paycheck Run is then associated with a corresponding Payroll Journal Entry. Learn more about the Payroll Clearing setting and Paycheck Run grouping here. 

When Paycheck Runs are grouped by Location, one Paycheck or Paystub will be created per Employee in the Payroll Batch. If an Employee works at multiple Locations, their Paycheck or Paystub will be included in the Payment Run for that Employee's Default Location.

Automatic Paycheck Runs

The 'Enable Auto Paycheck Runs' setting on the Miscellaneous tab of System Preferences determines if paycheck runs are automatically created when pay runs are approved. If this setting is not enabled, paycheck runs can be manually created on the Paycheck Runs page.

Automatic Journal Entries

The 'Enable Automatic Journal Entries' setting on the Miscellaneous tab of System Preferences determines if payroll journal entries and funding journal entries are automatically created when paycheck runs are created. If this setting is not enabled, payroll journal entries and funding journal entries can be manually created after creating a paycheck run.