Issue/Symptom/Question

Is PENTA able to charge the fringes to the Job or WO the employee worked on?

Applies To

Direct Charging of Reimbursements

Non-Taxable Fringes Payroll Class setup

Resolution/Fix/Answer

PENTA has the functionality to charge the Company paid Non-Taxable Fringes to where the Employee charged their time.

If the Fringe is setup as an offsetting Deduction and Reimbursement, the Reimbursement can be set to Direct Charge:

If all Pay Classes should be charged the same, use the % symbol.  The Applied Acct# is the Credit Account when the amount is charged to the Job or WO.  The Distribution Types are 1 (Add-On) and 2 (Allocate).  If allocating, assign the Account, Expense Category, Cost Type and/or Costcode to allocate the cost amount.  Don't forget the popup Up for WOs.  The Gross To Net process calculates and charges this expense out, similar to Direct Burden Taxes (FICA, FUTA, SUTA, etc.)

If the Fringe is setup as a Payroll Class Fringe, the Non-Taxable Fringe Distr. tab can be set to charge the Job or WO:

Enter the Fringe Benefit #.  The Applied Acct# is the Credit Account when the amount is charged to the Job or WO.  The Distribution Types are 1 (Add-On) and 2 (Allocate).  If allocating, assign the Account, Expense Category, Cost Type and/or Costcode to allocate the cost amount.  Don't forget the popup Up for WOs.  The Gross To Net process calculates and charges this expense out, similar to Direct Burden Taxes (FICA, FUTA, SUTA, etc.)

Here is an example of the impact of Direct Charging on the Financial Statements:

Here is an example of the entries made, and what adjustment to make if the Applied Account was setup with an incorrect Account #: