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If I have an employee’s compensation entered under the compensation tab of Employee Payroll Settings, do I still have to go add the same information in Labor Rate table in order to push labor cost to the project? 

 

I rec’d an error when releasing a Time Activity and the only way I could get it to work was to go add that exact same information in the Labor Rate table.

 

yes project will pull the rate from the labor rate table. a lot of people will burden that rate so be careful if you do because if you process a special check or an hourly check it will pull the rate from the labor rate table


Thanks Patricia.  

 


This behavior is dependent on the setting in the Payroll Preferences for “Time Posting Option” field.  If only posting from Payroll (last option), then I believe the system ignores the Labor Rates.

 

I have had some clients that wanted the Labor Rate to be an “average” rate.  Be aware that if you enter a value in the Wage Rate column on the Labor Rate screen that is higher than an employee’s compensation entered on the Employee Payroll Setting screen, the Payroll Batch screen will pull in the higher Labor Rate!  The work around is to put an average rate in the Cost Rate column of the Labor Rate and $0 in the Wage Rate.  This setup still Costs the right rate to the job but will not use the wrong compensation rate in payroll.


@WoodyGilbert i noticed the same thing when implementing payroll with construction.  in order for the costs to hit the project, i was told we have to enter the labor cost rate (unless like Tammy stated, the preferences are set up to post from payroll only)

 


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