Labor Expense Allocation
Use the Labor Expense Allocation SuiteApp to allocate payroll costs to benefiting target programs or functional areas.
Most organizations need to classify all expenses into functional areas, and they are fundamental to the organization's financial management and reporting.
In an organization, employees commonly work on tasks in different functional areas. Therefore, the salary expenses must reflect the functional areas where the employees worked.
Using the Labor Expense Allocation SuiteApp, you can allocate labor expenses either by employee rates or by employee pay transactions. With employee rates, you define the employee rates to calculate the labor expense allocation. Whereas, with employee pay transactions, you create employee pay transactions and use these transactions for labor expense allocation.
Benefits of Using Labor Expense Allocation
The key benefits of using the Labor Expense Allocation SuiteApp include:
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Allocating payroll costs, including salary and fringe benefits, to benefiting programs or functional areas.
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Viewing and reporting on total direct costs.
Labor Expense Allocation Tasks by Roles
The following diagram illustrates the tasks performed by different roles in the Labor Expense Allocation SuiteApp using employee rates:
The following diagram illustrates the tasks performed by different roles in the Labor Expense Allocation SuiteApp using employee pay transactions:
Labor Expense Allocation Workflows Using Employee Rates
The following is the general workflow for using the Labor Expense Allocation SuiteApp using employee rates:
Refer to the following table for more information about the workflow tasks:
Task |
Help Topic |
---|---|
Create employee pay types |
|
(Optional) Create new employee pay frequencies |
|
Set up labor expense allocation preferences |
|
Set up employee rates:
|
|
Manage labor expense allocation periods |
|
Fetch employee timesheets |
|
Process labor expense allocation period |
|
Review and approve labor expense allocation transactions |
|
Review GL impact |
Labor Expense Allocation Workflows Using Employee Pay Transactions
The following is the general workflow for using the Labor Expense Allocation SuiteApp using employee pay transactions:
Refer to the following table for more information about the workflow tasks:
Task |
Help Topic |
---|---|
(Optional) Create new employee pay frequencies |
|
Set up labor expense allocation preferences |
|
Create employee pay transactions |
|
Manage labor expense allocation periods |
|
Fetch employee timesheets |
|
Process labor expense allocation period |
|
Review and approve labor expense allocation transactions |
|
Review GL impact |