This article is an overview of the steps needed to complete a full Pay Run, including reviewing and approving associated journal entries.
Step | Pay Run & Paycheck Run | Journal Entries |
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1 | Pay Run is created
System Generated Pay Runs are automatically created at the end of each pay period.
One-Time Payments can be used to manually create Pay Runs before the end of the pay period. | |
2 | Salary earnings are automatically added to scheduled Pay Runs | |
3 | Hourly earnings are reviewed on the DSS | |
4 | Hourly earnings are reviewed utilizing the R365 Payroll Preview Report | |
5 | If needed, punches are adjusted by either: | |
6 | DSS is approved | Estimated Labor Journal Entry is automatically created, including: |
7 | Hourly earnings are pulled from the DSS and imported into the scheduled Pay Run | |
8 | Additional earnings are added via One-Time Payments or imported via a Payments Import, if needed. | |
9 | Pay Run is Calculated | |
10 | Pay Run is reviewed using the Payroll by Pay Period Report or Payroll by Pay Date Report | |
11 | Pay Run is approved Once approved, Pay Runs cannot be unapproved. When approved, funds will be automatically disbursed to direct deposit recipients and Payroll Journal Entries will be created. Additional imports and adjustments will not be possible. Ensure Payroll is complete and accurate for all employees before approval.
Approval Deadline Pay runs must be approved before 11:00 am MT two days prior to the selected pay date to allow adequate time for processing and fund transfers. Funding for pay runs will be withdrawn from the funding bank account two days prior to the selected pay date. All pay dates must be at least two business days after the pay period end date, unless a one-business-day submission schedule has been approved. To avoid delays and potential issues with payroll disbursement, ensure that funds are available in the funding bank account on file before submitting payroll. Example A pay run with a Friday pay date must be approved before 11:00am MT on Wednesday. Funding for the pay run will be pulled from the funding account on file on that Wednesday. If the funding transaction cannot be processed due to insufficient funds, payments to employees cannot be processed and the pay date will be delayed.
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12 | Paycheck Run is created | Payroll Journal Entry is created, including: BETA Employee earnings across multiple locations are handled based on the selected payroll clearing setting—Per Location, Per legal entity, or Per Common Payer. These settings determine how paychecks and journal entries are generated to ensure accurate payroll and financial reporting.
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13 | Physical Paychecks are printed either manually or through Print & Ship Once all Paychecks are printed, the Paycheck Run will change to the status of 'Paid'. If no Paychecks need to be printed for the Paycheck Run, it will automatically move to the 'Paid' status.
| Funding Journal Entries are created, including: |
14 | | Payroll Journal Entry is reviewed and approved
Learn more about Estimated and Actual Payroll Journal Entry Clearing here. |
15 | | Funding Journal Entries are reviewed and approved |
A scheduled process in payroll systems to calculate and distribute employee payments for a specific period.
A software platform designed for restaurant management, encompassing various functionalities including accounting, scheduling, and reporting.
POS stands for Point of Sale, a system used by businesses to process sales transactions and manage customer payments.
A record used in accounting to document financial transactions that are not automatically captured, allowing adjustments to the general ledger.
A legal entity is an organization that has legal rights and responsibilities, including the ability to enter contracts, sue, and be sued. In accounting, it refers to a distinct organization for financial reporting.