How to use Core Payroll?

Payroll administration can be the greatest overhead and most complicated process of your business. Core Payroll simplifies this process by calculating the wages and tax withholdings of your employees and also helping you pay the relevant state and federal taxes. You can access different Payroll features based on your role and security permissions, say:

  • Payroll Administrative User

Here are the important steps for setting up and using Payroll in your Core company:

  1. Setting Up Company Profile: You can start by making sure your company address, including Zip and State (say CA for California and NY for New York) are filled in the Company Profile screen (main company menu > Settings). This prefills all the defaults in Core based on the address provided.
  2. Creating Payroll Lists: As a Payroll Admin, you can start by creating the following lists for your company under Lists > Payroll:
      • Taxes: If you have added your company address in Company Profile, then you do not have to enter any tax information. Please ensure you have provided the correct tax percentage for FUTA and SUTA.
      • Withholding Categories: You can add or delete any default withholding categories.
      • Pay Item Categories: You can add or delete any default pay item categories.
      • Workers' Compensation: You can add workers’ compensation, if required in your state.
      • Payroll Frequencies: You can add multiple payroll frequencies.
      • Withholdings: You can add all the relevant withholdings like 401k and 125 Cafeteria.
      • Pay Items: You can add or delete the required pay items, ensuring that proper withholdings are assigned to each pay item. You must also ensure that the Default and Time Entry Dependent options are selected as per your requirement.
  3. Setting Up Employees: Next, you have to update the Employees profile to ensure the address is filled in, including Zip and State. This prefills all defaults in Core Payroll based on the address provided. You also need to enter the required information on its Payroll tab:
      • Details: You must ensure to set the Position Type of employees (whether Hourly or Salaried). Also, enter the Tax Details if you haven't added the employee address. Core Payroll prefills the defaults based on the employee address. 
      • Pay Items: The default pay items are pre-filled, but you can delete them or add more. 
      • Withholdings: You can add or delete withholdings. 
      • Taxes: The taxes are pre-filled based on W4, but you can update them or add more. 
      • Bank Accounts: You can add or delete bank accounts. 
      • Recurring Payments: You can add or delete recurring payments. 
      • Dependents: You can add or delete dependents. 
  4. Reviewing Payroll: Using the Payroll Reviewer, you have to review the time, expenses and pay items of the employees before processing the payroll. In case of salaried employees, you have to approve the relevant pay items and expense entries. In case of hourly employees, you have to approve the relevant time and expense entries. Only items that are approved for payroll become a part of the payroll process.
  5. Processing Payroll: Using the Payrolls screen, you can create a new payroll or a manual paycheck based on the selected payroll frequency and pay period. Based on the current payroll workflow, only approved time, reimbursable expenses and pay items show up for payroll. It is recommended to preview the Payroll Register report for detailed wages, taxes and withholdings.
  6. Printing Paychecks: The Payroll Admin can print all the paychecks from the Checks screen (Accounting menu).
  7. Paying Agencies: After the payroll is generated and employees are paid, the Payroll Admin can pay all the relevant agencies using the Agency Payable screen (under the Payroll menu). The mandatory withholdings that you take from the employee paychecks remains a liability until you submit that payment to your payroll agency. 
  8. Running Payroll Reports: You can run various payroll reports to check the accuracy of the payroll and get a deeper insight into the business. These reports can be run from the Reports screen as well as the individual Payroll screens. You can also create a dedicated Payroll Dashboard by adding various relevant widgets to it for HR managers and payroll administrators. This can help track the entire payroll process. 

This completes your payroll cycle!

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