Is payroll variance automatically posted in Revenue Recognition?

No. BQE CORE does not automatically post amounts to the Payroll Variance account. The option to assign a Payroll Variance account is provided in the Revenue Recognition settings because there may be differences between the amounts posted to the Salaries Payable account and those recorded in Payroll accounts. A Payroll Reconciliation report is on the roadmap to help you identify and reconcile differences between Salaries Payable and Payroll accounts