Project Accounting - Fully Burdened Job Costing & Payroll

Background:

• We have UKG Ready for Time & Attendance (old Kronos)
• We have UKG Pro for Payroll (old UltiPro)
• We have IDI Contractor Central for job costing, prevailing wage, and certified jobs
• We use cost over cost (input method) accounting for revenue recognition

Problem: what is the best method for accounting for labor costs and payroll costs in Acumatica?

Solution 1:

• Feed timesheet and payroll data to IDI. Have IDI calculate fully burdened project labor costs.
• Upload project labor costs from IDI to Acumatica in an off balance account group that doesn’t hit the G/L
• Upload direct labor payroll and benefit costs from UKG Pro to Direct Labor accounts as journal transactions, NOT project transactions.
• Upload indirect labor payroll and benefits costs from UKG Pro to SG&A via journal transactions.

Solution 2:

• Feed timesheet data (including project / task) to UltiPro for payroll run.
• Upload payroll and benefit costs to SG&A accounts as journal transactions.
• Secondary journal transactions to move from indirect accounts to direct labor accounts. This would include Project / Task to account for Direct Labor to the correct projects.
• Each project would have detailed transactions, including wages, employer burden, and benefit costs.
• No off balance accounts required

Anyone have any experience that they could share? I’m interested in learning what others are doing when they have 3rd party Time / Payroll systems in the mix.

Thanks in advance for any insights.

Colm