Setup of Overhead Distribution Rule for Shop Burden: When a Shop Employee charges time to a job, that associated shop burden cost follows and accrues on the job

Shop Burden is a dollar amount per hour of work charged to the job

• Shop Burden

• System Management > System Rules > Overhead Distribution Rule Information

1.  Setup a new rule and make the Type ACT (PENTA distributed the overhead to actual job costcodes as defined for the rule)

2. Status as A = Active

3. Distribute Type: Enter B for Both since this rule will be defined with both a "From" and "To" rule. The "From" rule defines which employees this overhead rule applies to and the "To" rule identifies which Jobs the rule applies to.

   1. See the screenshot below where the "from" rule (based on charges made from) can either be defined based on the employee's Payroll Class level or OU. Recommendation is to have it setup at the Payroll Class level as a User will need to maintain the Employee list.

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4. Navigate to the Calculation tab and enter the per hour rate

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5. Navigate to the Define To Rule and if the Shop Burden is for all jobs enter costcode range 1 to 99999999. If it is only a certain Job Type enter the Job Type. If limited to labor Charges could enter a certain Cost Type.
   Note: If the User defines the from rule by payroll class, that will limit to labor charges only, if the user defines the from rule by OU, they will need to specify the labor cost type or it could also be applied on other charges, ie Equipment usage.

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6. Now when the Shop Employee charged time to a job, the associated shop burden cost follows and accrues on the job.