Payroll Journal Entry Record

Payroll journal entries record payroll-related financial transactions, including wages, taxes and deductions, within the general ledger. These entries reflect payroll data imported from a payroll provider or manually entered to align labor expenses with financial reporting. Payroll journal entries are used to reconcile labor accruals from POS data for each day of the pay period.

For organization accruing labor from POS imports, all Daily Sales Summaries (DSSs) from the pay period must be approved before the associated payroll journal entry is approved.

There are three unique fields on a payroll journal entry transaction that set it apart from a normal journal entry transaction:

Payroll Start Date - Records the start date for the pay period.
Payroll End Date - Records the end date for the pay period.
The Payroll Estimate Clearing tab - Displays the reversing entry of all the labor accrual entries.

From this page, users can:

Approve/Unapprove Payroll Journal Entries
Duplicate Payroll Journal Entries
Reverse Payroll Journal Entries
Memorize Payroll Journal Entries

Beta
The payroll journal entry record has been updated and is currently in beta. All users can access the new experience.
Learn about the new journal entry features and how to switch to the new journal entry.
See documentation for the classic payroll journal entry record.

Security

The following permissions are associated with payroll journal entries:

General Ledger → Payroll Journal Entries → View Payroll JEs
General Ledger → Payroll Journal Entries → Edit Payroll JEs
General Ledger → Payroll Journal Entries → Create Payroll JEs
General Ledger → Payroll Journal Entries → Approve Payroll JEs
General Ledger → Payroll Journal Entries → Unapprove Payroll JEs
General Ledger → Payroll Journal Entries → Approve Payroll JEs

These permissions can be added to custom user roles or individual users. The Permission Access report can be used to determine which user roles or users already have these permissions assigned. For more information, see User Setup and Security.

Navigation

To open a new journal entry:

In the accounting application, hover over Account then select Journal Entry.

To view an existing payroll journal entry, navigate to the Payroll Journal Entries page:

Payroll Journal Entry

Buttons and Fields

	Field	Description
1	Transaction Status	Displays status information and references for the journal entry, including: Current approval status. Link to the account used for bank reconciliation, if applicable. Link to the clearing payroll journal entry, if applicable.
2	Save	Provides the following options for saving the record: Save - Saves the record and remains on the current page. Save and New - Saves the record and opens a new, blank record. Save and Close - Saves the record and closes the page.
3	Approve/Unapprove	Provides the following options for approving the record: Approve - Approves the record and remains on the current page. Approve and New - Approves the record and opens a new, blank record. Approve and Close - Approves the record and closes the page. Once the transaction has been approved, this button is replaced with an unapprove button.
4	Action	Opens a menu of the following options: Reverse: Creates an offsetting reversal journal entry. Memorize: Opens the memorize window where the name and auto-recurrence for the memorized transaction is set. Import: Opens the import window where files are uploaded and attached to the journal entry. Email Link: Opens the email link window there a link to the transaction can be sent to an email address. Spread: Opens the spread transaction window where the spread details are entered. Classic form: Switches to the classic payroll journal entry record. Once the payroll journal entry is saved, the following options are added to the menu: Duplicate: Creates a copy of the journal entry. Delete: Deletes the journal entry. This option is not available for approved entries. This action cannot be undone. Transaction Summary: Generates a downloadable report of the details of the journal entry.
5	Show/Hide Activity	Opens or closes the activity feed for the transaction in a sidesheet, which displays a history of all actions performed on the payroll journal entry and allows users to add notes using the comment field.
General Information
6	General Information Tab	Opens the general information tab.
7	Attachments Tab	Opens the attachment tab where files are uploaded and attached to the journal entry. The journal must be saved to attach a file.
8	Split View	Splits the screen to display the journal entry on the left side and the attachment on the right side.
9	Date	The date of the journal entry. Defaults to the current date. R365 Best Practice For payroll journal entries, this date typically reflects the final day of the associated pay period.
10	Number	A system-generated number used to identify the transaction. This number auto increments based on auto-numbering and is editable.
11	Comment	An optional field for comments about the journal entry.
12	Payroll Start Date	First date of the pay period.
13	Location	Location to which the payroll journal entry is assigned. R365 Best Practice For most payroll journal entries, this is the corporate locate of the legal entity that owns the account from which funds are withdrawn. Individual payroll expenses are broken down by more specific locations in the Details tab. Note: If your organization does one payroll entry per legal entity, then all locations can be cleared for the legal entity in the same entry. To set this preference, navigate to the Miscellaneous tab of System Preferences and set Payroll Clearing to Per Location or Per Legal Entity.
14	Type	The type of journal entry. This field is not editable for payroll journal entries.
15	Payroll End Date	Last date of the pay period.
16	Link to Asset	When selected, items in the details section can be linked to assets.
17	Expand/Collapse	Collapses or expands the general information tab.
Details
18	Details Tab	Opens the details tab where the debits and credits of the journal entry are entered.
19	Statistical Tab	Opens the statistical tab where statistical entries that do not impact the general ledger are entered. Only statistical GL accounts are available for selection in this tab.
20	Distribution	After selecting the Payroll Start Date and Payroll End Date and entering the full journal entry on the Details tab, use the Distribution tab to view the net effect of the payroll journal entry on the GL accounts. This differs from the total values entered on the Details tab because the system also creates a reversing entry for the labor accruals recorded during the period. The Distribution tab shows the net difference between the full payroll entry and the reversal of those accrual entries. If accrual percentages are accurate, the values on this tab should be relatively small. Larger-than-expected values may indicate that job titles are assigned to incorrect GL accounts. Entries are not editable in the distribution tab.
21	Payroll Estimate Clearing Tab	This tab displays the reversing entry of all labor accrual entries made by the POS integrations after the transaction is approved. Individual daily labor accrual entries are not lost. The payroll clearing entry makes a single reversing transaction on the date of the payroll journal entry for the sum total of all the accrual entries for the payroll period.
22	Filter	Opens the Filter Columns window where users can create and apply filters to the table.
23	X	Deletes the row.
24	Add	Adds a row to the details table.

Columns

Button/Field	Description
Account	The GL (general ledger account) for the debit/credit row.
Debit	The debit amount for the selected GL account.
Credit	The credit amount for the selected GL account.
Comment	The comment for the detail row.
Location	The location for the detail row.

Attachments Tab

	Field	Description
1	Split View	Splits the screen to display the journal entry on the left side and the attachment on the right side.
2	Document Link	Opens the View Attachment window where attachments can be previewed or downloaded.
3	Trashcan	Deletes the file from the transaction.
4	Upload	Opens a file selector window.b