Reckon Accounts Desktop: Splitting Employee Payment Methods

Legacy KB ID: 4917

Question

How can I pay an employee in Reckon Accounts Business in two different methods (eg. Cheque and Bank Online)?

Answer

Reckon Accounts Business can only pay an employee by one method, any second method needs to treated as a Deduction. 

The Deduction should be offset to the account the cash is coming from (for instance, a bank account or a petty cash account). 

If more than one employee is receiving a cash component then you will need to use a Clearing Account to ensure all accounts can be simply reconciled. 

Detailed Instructions

Required Accounts and Items:

1. Create a Bank account called Payroll Clearing Account.
2. Create a Deduction called Cash Payment with the following characteristics:
   1. Name used in payments - Cash Payment.
   2. Account – Payroll Clearing Account.
   3. Tracking Type – none.
   4. Taxes – none ticked.
   5. Calculate based on quantity - Neither.
   6. Gross vs. net - Net.
3. In the Employee Record, add the Cash Payment deduction item with the. regular amount to be paid in cash.
4. Process the Pay.
5. Transfer funds from your Bank Account to the Payroll Clearing Account.
   1. Go to Banking, then select Transfer Funds.
   2. Transfer Funds from:  your normal bank account.
   3. Transfer Funds to:  Payroll Clearing Account.
   4. Transfer Amount: Total amount of cash payments for all employees.
   5. Memo:  Cash component of employee Pays.
   6. Click Save & Close.
   7. Check that the Payroll Clearing Account has been reduced to 0.00.

 Need more help? Reach out to us on the Reckon Community: https://community.reckon.com/