Posting PTO/Vacation to the general ledger

Posted By DCH.ROD on 03/19/2009 11:17 AM

Does anyone out there post their PTO/Vacation accruals departmentally and expense them against the accrual?

As far as I know, that is a standard accounting practice: when the employee earns the accrual, it debits expense, and credits leave liability. Then when they take the leave, debit the liability and credit salaries payable.

Ah-ha! A BITE! Thanks for responding.

Yes, I agree with the concept but how do I get Lawson to do it? We've been on Lawson a little over two years and when employees accrue leave it debits our general (not departmental) leave expense and credits Accrued Leave. When they take leave it debits the departmental leave expense and credits Payroll Payable. We now want to change to the standard accounting practice you described in your reply.

HELP!

Assuming you're using 8.x TA (not Absence Management), and without knowing your setup:

1. On TA20, enter 'Y' for Post Liability and either E or B for Liability Calculation. Enter the balance sheet accounting unit and your leave liability account for the accrual account, and just the expense account (without the accounting unit). That will default in the employee's accounting unit on the expense side.

2. On PR20.4, enter the leave liability as the 'Wage expense' (debit side).

What about if you are using LP (Absence Management) and not TA?

On the LP side, the LP198 will only do what the plan tells it to do (via tables such as the LP04.5).  I'm not completely sure about what you want to do and, given the open involved nature of LP plans, am not sure if Lawson will do what you want based on your description.  This might not be a quick conversation.

Posted By mondrar on 03/23/2009 10:36 PM
What about if you are using LP (Absence Management) and not TA?

Are you using Absence Management, or are you just curious?

We are using Absence Management:
We are paid on a bi-weekly basis. We would like the PTO that employees accrue each pay period to debit their respective departmental salary account and credit the accrued PTO account. For example, I work for company 10, department 8218 and I accrue 8 hours of PTO that is worth $80.00, I would like the $80 to post to 10.8218.40300.

We have setup the lp03.6. We do see a pay period accrual of hours only broken in the lp197, but the value of each pay periods accrual is lumped in with each pay periods usage and comes out as one number in the lp198's...We guess this may be due to setup.