PR-H  Transfer Liabilities to AP

Purpose of Program

Use this program to transfer the payroll taxes held in the payroll liability accounts to Accounts Payable.  The amounts transferred will then be available to be selected for payment by AP check.  These amounts include all of the liability accounts set up in PR-M  Payroll Defaults, including:

Federal Income Tax

FICA withholding (Social Security)

FICA withholding (Medicare)

Federal Unemployment Tax

State Income Tax

State Unemployment Tax

SDI

Workman's Compensation

Miscellaneous Deduction

Special Deduction

User-Defined Deductions (1-15)

The outstanding withholding amounts are updated every time paychecks are printed, and with every transfer.  You may choose which amounts and what portion of each amount to transfer.

Before running this program, you must have specified the Accounts Payable account in AD-A  General Ledger Defaults, you must have specified the payroll liability accounts in PR-M  Payroll Defaults, and you must have entered appropriate vendors for your payroll withholding in AP-A  Enter Vendors.

Field Descriptions

PR Division:

If you are using multiple payroll divisions (originally set up in PR-M  Payroll Defaults), you must run this program separately for each division.

State Code:

The state code associated with the selected division is displayed.

Trans Date

The transaction date of the transfer.  This will be the General Ledger posting date used when your payroll liability accounts are debited and your Accounts Payable account is credited.

General Program Operation

Identify the payroll division you want by typing in the division, selecting from a lookup window using the F2 key (or clicking on the Lookup button), or using the standard record search keys.

Accept the default transaction date, or enter one of your own.  The cursor is then placed in the Amt to Pay column, opposite the first Outstanding amount.  The entire outstanding amount is offered as a default.  You can press <Enter> to record the default amount for transfer, or type in an amount to transfer and then press <Enter>.  Repeat this operation for each amount you want transferred.

When you have recorded the amounts you want transferred, press F10 (or click on the Save button) to save your choices.  The amounts are automatically transferred to Accounts Payable, against the vendor accounts you defined when setting up your payroll defaults.  

You do not need to transfer all amounts; you can press F10 (or click on the Save button) at any time to save and transfer only the amounts you want.  When you transfer payroll taxes, the next AP invoice number is updated, appropriate invoice line items are added to the AP transaction file, the outstanding amounts in the vendor record are updated, the transaction is posted to the General Ledger and the Purchases journal, and the outstanding taxes in PR-M  Payroll Defaults are updated.

Once the amounts are transferred, the program returns you to the Payroll menu.  If there are no outstanding amounts to transfer, a message to that effect is displayed and the cursor puts you back at the PR Division field.

Remember that you must run this program separately for each payroll division.