CLIENT BOOKKEEPING SOLUTION PAYCHECK. Getting Started. version 2007.x.x

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CLIENT BOOKKEEPING SOLUTION PAYCHECK

™

Getting Started

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TL 20744 (06/08/09)

Copyright Information

Video display images copyright 1997 – 2009 by Thomson Reuters/Tax & Accounting. All rights reserved. Thomson Reuters hereby grants licensees of CS Professional Suite® software the right to reprint this document solely for their internal use.

Trademark Information

The trademarks used herein are trademarks and registered trademarks used under license.

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1 Welcome!

Client Bookkeeping Solution® (CBS) PayCheck™ is an optional CBS module that adds full-featured calculating payroll to your CBS

CheckWriter® software. It can handle multiple departments, federal, state, and local tax withholdings, as well as special deduction calculations for both salaried and hourly employees, and it offers a number of specialized payroll reports. CBS PayCheck automates both paycheck entry and reporting and allows you to enter fully calculating payroll checks as unprinted or handwritten items.

CBS also offers direct deposit features that can enhance your Client Bookkeeping Solution software package. If your accountant enables the direct deposit feature and you have established a relationship with InterceptEFT, you can use CBS to process and manage electronic payroll check deposits for your employees, as well as make electronic payments to tax deposit agencies, 401(k) plan administrators, and more. At the end of each CBS processing period, you export your transactions to your accountant. You can export your CBS PayCheck transactions along with your CBS CheckWriter data, or you can export them separately.

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Welcome!

Please read each section of this guide and follow each of the steps. As you’re working, use the context-sensitive help to view information about each field or option. For more complete information on using your CBS software, refer to the Client Bookkeeping Solution help topics.

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2 CBS PayCheck Program Features

If you and your accountant decide that the CBS PayCheck module is appropriate for your company’s payroll data-entry and reporting needs, and you add this optional module to your CBS program, you can do the following:

Customize your CBS PayCheck windows and dialogs.

Edit federal, state, or local payroll tax tables (if enabled by your accountant).

Streamline paycheck entry and reporting and enter fully calculating payroll checks as unprinted or handwritten items.

Add new employee records on the fly.

Automatically calculate the necessary tax and withholding amounts required for processing payroll checks, using federal tax tables or any number of state and local tax tables that can handle complex withholding calculations. Using the PayCheck Tax Calculation Diagnostics dialog, you can review exactly how CBS calculates an unprinted paycheck.

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CBS PayCheck Program Features

Easily view an employee’s earnings and withholdings / deductions detail for a month, quarter, or entire year.

Set up employees to have their paychecks direct deposited to as many as ten different accounts (if your accountant has enabled the direct deposit features for your CBS software and you have established an account with InterceptEFT).

Maintain payroll data for both hourly and salaried employees. You can enter either wage or net pay amounts for each employee or the number of hours worked during each pay period.

Attach an electronic note to any CBS PayCheck transaction to bring it to your accountant’s attention.

Print payroll checks either individually or in batches.

Create mailing labels for employees using the Employee List report. Export your CBS PayCheck transactions to your accountant using a

monthly export frequency, either separately or together with transactions from your other CBS modules.

CBS PayCheck reports

Unprinted Checks and Printed Checks Payroll Journal

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CBS PayCheck Program Features

Deductions List Employee Benefits PayCheck Items List Data Entry Worksheet

For more information about each report, search on PayCheck reports from the Index tab of the Help Topics dialog, and then select a report from the list.

CBS direct deposit feature

If your accountant has enabled the direct deposit feature for your CBS program and you have established an account with InterceptEFT, you can take advantage of the direct deposit capabilities for payroll checks entered in CBS PayCheck and vendor checks entered in CBS

CheckWriter.

InterceptEFT (www.intercepteft.com) is a third-party processing agent that specializes in transferring funds electronically through the

Automated Clearing House (ACH) network. InterceptEFT provides a service that converts electronic payment system (EPS) records

generated in CBS into ACH-format files and then transmits the ACH files to the appropriate financial institutions. You must first establish an account with InterceptEFT before you can submit EPS records to InterceptEFT.

For detailed information on setting up and using the direct deposit feature in CBS, please refer to the help topics in the program and to the direct deposit guide. To view or print this guide in PDF, choose

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3 Program Overview

This chapter of the getting started guide provides a brief overview of the main features in the CBS PayCheck software.

Menu options

When a company database is open, the menu bar across the top of the CBS application window includes options that allow you to perform various tasks or access different program features. The following table lists the CBS functions that are accessible from the menu commands.

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Program Overview

Edit menu Searching through a drop-down list or listview pane; cutting, copying, and pasting text; specifying fields to skip; restoring information in the current field or record; deleting, adding, copying, and pasting selected text; specifying filters; adding a note to your accountant to attach to any transaction; finding a specific record within a data-entry window; switching to Quick Add mode.

For CBS PayCheck: Viewing tax calculation diagnostics for a

selected paycheck; recalculating a selected paycheck; calculating paychecks using the net-to-gross method; deleting overrides; changing data-entry and calculation options.

Checkbook menu

Opening a checkbook to enter checks, deposits, other bank items, and checkbook adjustments (if directed by your accountant to do so); setting up a new checkbook, including checkbook-specific security; consolidating regular checks when multiple checks exist for a single payee or vendor; choosing a default checkbook for each licensed module; viewing bank transactions downloaded from your financial institution (if enabled by your accountant).

For CBS PayCheck: Opening the PayChecks window. Tasks

menu

Recording journal entries; voiding / deleting checks; creating on-demand transactions; submitting transactions to your financial institution and updating the transaction submit status (if enabled by your accountant).

If your accountant has enabled the direct deposit feature: setting up and transmitting electronic payment system (EPS) records to InterceptEFT.

For CBS PayCheck: Creating salaried paychecks; transferring

changes to employee records; updating employee qualified plans.

Setup menu

Adding or updating information for the Chart of Accounts, employees, vendors, memorized transactions, and financial institutions; defining filters, user-defined lists, and report groups.

For CBS PayCheck: Setting up accruable benefit items,

PayCheck items, departments, employee templates, and PayCheck employees; viewing federal, state, and local tax tables.

Utilities menu

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Program Overview

Window menu

Arranging the open windows in your CBS workspace; switching between open data-entry windows.

Help menu Opening the Client Bookkeeping Solution help topics; viewing PDF guides; viewing custom help from your accountant (if provided by your accountant); accessing the Adobe website to install Adobe Reader; viewing frequently asked questions; using the Internet to upload data to the software vendor; viewing CBS diagnostic files; viewing information about your CBS software.

Predefined check and form layouts

When you set up a new PayCheck checkbook in CBS, you must select the default layout to use for each transaction type for each CBS checkbook. You can select layout(s) on the General tab of the Checkbook / Setup window.

A number of predefined check layouts and form layouts are included with your CBS software:

Transaction type Filename extension

CheckWriter vendor checks VLY

PayCheck checks ELY

Noncalculating payroll checks NLY

Deposit slips DLY

To view a PDF with descriptions of each of the predefined layouts that are included with the CBS PayCheck software, choose Help / PDF

Guides / CBS PayCheck / CBS PayCheck Predefined check layouts.

For information on CBS CheckWriter layouts, choose Help / PDF Guides

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Program Overview

Filtering the list of paychecks

You can define filters to limit the list of paychecks that appear in the listview pane of the PayChecks data-entry window. You can open the Checkbook Filters dialog using either of the following methods. Choose Setup / Filters / Checkbook(s).

Choose Checkbook / PayChecks / <checkbook> (where

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4 CBS PayCheck Procedures

If your accountant has customized your Client Bookkeeping Solution software to include the calculating payroll features of CBS PayCheck, many more menu commands and window options will be available for selection, and you may find that the noncalculating payroll features of CBS CheckWriter are not present.

This chapter provides a brief overview of special setup and data-entry procedures that are unique to CBS PayCheck. As you’re reading this section of the getting started guide, it is recommended that you open and work with the CBS Sample Company.cbs database, which is provided with your CBS software and licensed for CBS PayCheck.

All of the windows, dialogs, and procedures available in CBS PayCheck are fully documented in the Client Bookkeeping Solution help topics.

Viewing company properties for CBS PayCheck

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CBS PayCheck Procedures

When setting up CBS PayCheck for your own company, use the

PayCheck tab of the Company Properties dialog to select all of the states for which CBS will calculate state withholding and SUTA information. Enter the states and the SUTA rates and limits in the State tax

information group box.

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For details about using the fields in this dialog, search on Company

Properties:PayCheck tab from the Index tab of the Help Topics dialog.

Setting up PayCheck items for calculating

payroll checks

Typically, your accountant will set up all of the pay, withholding, and deduction items that you’ll use in CBS PayCheck and include them in the accountant’s transfer files that you import during the initial company setup process. If you need to set up a new PayCheck item, you can do so by choosing Setup / PayCheck Items.

Pay items

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Note: Your accountant selects the applicable earned income credit table based on your EIC status. CBS does not allow you to edit the EIC Table field.

Deduction items

To set up a deduction item, select Deduction Item from the drop-down list in the Payroll Type field. Deduction type items include such things as union dues, employee loan payments, direct deposits, employee

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Withholding items

To set up a withholding item, select W/H Item from the drop-down list in the Payroll Type field. Withholding type items include such things as FICA–Social Security and FICA–Medicare, federal tax withholding, state tax withholding, state disability insurance, state unemployment

insurance, and local withholding.

You cannot modify the following default tax withholding items in CBS PayCheck.

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Setting up accruable benefit items

Your accountant may have already set up all of the benefit items that you will need when processing calculating payroll checks for your company’s employees. However, if you need to create additional benefit items, choose Benefit Accruals from the Setup menu.

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Using employee templates in CBS PayCheck

CBS PayCheck allows you to set up templates that provide default information for the different types of employees in your company — for example, Officers, Salaried Employees, Hourly Employees, and so forth. When setting up new employees you can select an employee template, and CBS automatically enters all applicable information from that template. If necessary, you can edit the information for an individual employee in the PayCheck Employees window.

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Tips

For each template, enter only the data that you want CBS to automatically fill in when you select that template for an employee. If you modify the information that is recalled from a template in the employee’s record, it will not affect the data saved in the template. You can use the Tasks / Transfer Changes to Employees command

to add, modify, or delete department, SUTA, benefit accrual, or PayCheck item information and then transfer these changes to all departments for selected employees or to a single department for all employees.

If you modify a saved employee template, CBS will not update any employee records that had already been created from that template. For more information, search on Overview:employee templates in

CBS PayCheck from the Index tab of the Help Topics dialog.

Using PayCheck departments

CBS uses departments to categorize groups of employees for reporting purposes. If enabled by your accountant, you can use the Setup /

PayCheck Departments window to add new or modify existing

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Tips

For each department, enter only the data that you want CBS to automatically fill in when you select that department for an employee. If you modify the department information that is recalled when you

select a department in the employee’s record, it will not affect the data saved in the department record.

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Setting up employees

Use the Setup / PayCheck Employees window to enter and maintain general information about each of your company’s employees and to enter information necessary for creating employee payroll checks and keeping track of benefit accruals.

When you print the payroll checks, CBS automatically updates the earnings information in this window for each employee. When you export data to your accountant at the end of each month, CBS the includes information for each employee.

Tips

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You can add an employee on the fly during PayCheck data entry in the PayChecks data-entry window. Simply enter a unique name or ID number for the new employee in the appropriate field. CBS will display a message prompt asking if you want to add the employee to the system. If you click Yes, the program automatically opens a new record in the PayCheck Employees window. Enter the appropriate information for that employee and save the record.

If you enter a date in the Inactive date field on the Personal tab, the program considers that employee inactive and automatically excludes that employee from data-entry lists when the next export date is after the employee’s inactive date. (Note that CBS does not allow you to delete the record for any employee for whom there are any current-year earnings or unprinted check records.) During the year-end export, you will have the option to delete all inactive employees.

CBS allows an unlimited number of pay item ID and account number combinations for each employee. (A pay item ID can be repeated, with each repetition using a different description. The same GL account number may be required.)

Example: Wages 600

Wages 602

You can select a combination of both hourly and salaried pay items for an employee, depending on the individual pay item settings in the employee record.

To view an employee’s year-to-date earnings information, select the employee record and then click the Details button in the Setup / PayCheck Employees window.

For more information, search on Overview:employee setup in CBS

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Entering PayCheck checks

Use the PayChecks data-entry window to create, edit, view, or delete calculating PayCheck checks. Choose Checkbook / PayChecks and then choose the PayCheck checkbook you want to work with. In order to use a checkbook for CBS PayCheck transactions, the PayCheck Checks checkbox must be marked and an appropriate check layout must be selected for that checkbook on the General tab of the Checkbook / Setup window.

Creating PayCheck checks for hourly employees

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Note: During PayCheck data entry, the following employees and pay items are available for selection based on the payroll frequency selected in the Checkbook Data Entry Options dialog (accessed by clicking the Options button).

 Employees with at least one pay item matching the selected payroll frequency and those with a valid employee template selected in their employee record.

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Note: By default, the program uses the default PayCheck checkbook selected in the Checkbook / Default Checkbook dialog. However, you can select a different checkbook from the Checkbook drop-down list in the Create Salaried Checks dialog. The drop-down list includes only those checkbooks for which a PayCheck layout has been selected and for which you have security rights to access.

Tips

During the automatic salaried check creation process, CBS creates checks for only those salaried employees with at least one pay item that matches the frequency selected in the Payroll frequency field. If you specify an inactive date for an employee, CBS will remove that

employee from the Create Salaried Checks process only if the next export date is after the inactive date in the employee record. To specify the withholding, deduction, or benefit accrual items to

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tab, and then mark the checkbox associated with the items to exclude.

You can use the Tax Calculation Diagnostics dialog (accessed by choosing Edit / Tax Calculation Diagnostics in the PayChecks data-entry window) to verify the withholding calculations for an unprinted check before you print the check.

If you know the final check amount but do not know the gross wage amounts, you can use the Edit / Net-to-Gross calculation feature to have the program back-calculate the correct tax amount for the check.

To print a check dated for a future year, you must enter the check date in the PayChecks data-entry window.

You must specify a period end date if you will calculate deductions for which a special timing (on the Deduction Item tab of the Setup / PayCheck Items window) is specified.

Updating payroll tax tables

Depending on how your accountant has configured your CBS software, you may be able to update your tax tables in CBS using any of the following methods.

 Import updated tax tables from your accountant. Your accountant will update the tax tables and then provide you with an updated accountant’s transfer file. To update the tax tables in your CBS program, choose File / Import / Payroll tax data from your

accountant. If you are licensed to use CBS for more than one

company, you must complete this import for each company licensed for the CBS PayCheck module.

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Printing PayCheck checks

The procedures for printing checks in CBS PayCheck are similar to the procedures in CBS CheckWriter. If your company’s CBS software has been licensed to include the CBS PayCheck module, you will see a PayCheck tab in the File / Print Checks dialog.

For more information, search on Checklist:for printing checks and

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Printing PayCheck reports

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You can preview the selected reports (but not checks) by clicking the

Print Preview button. From the Preview window, you can save these

reports in a variety of file formats or save them as attachments to email messages by clicking the Export button on the toolbar. For details on viewing and printing reports, search on Checklist:for

previewing or printing reports from the Index tab of the Help Topics

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5 Exporting Files to Your

Accountant

CBS PayCheck uses a monthly export frequency. The program allows you to export transactions from all CBS modules at one time, or you can export CBS PayCheck data separately.

Each time you export CBS PayCheck transactions, the program zeroes all current-period earning amounts for each employee. The program also adds and designates as current any checks dated within the new period. The export process also triggers the program to update automatic benefit accruals (for example, at month end for benefits that use a monthly accrual method or at year end for benefits that use a yearly type of accrual calculation).

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CLIENT BOOKKEEPING SOLUTION PAYCHECK. Getting Started. version 2007.x.x