Time Entry for Subcontracted Employees
When paying subcontractors, or 3rd party staffing companies there are some important things to remember.
Subcontracted employees will still have time cards in enterprise. These will appear as normal timecards alongside all other timecards within your system.
The difference will be derived with the kind of assignment they derive from and the payroll run type they are pulled into after proofing. To tell if a time card is associated with a subcontractor the "Vendor Name' Column can be added to the time entry area.
Those without a vendor name are not associated with a vendor. Regardless, time is entered normally into these timecards.
In addition these timecards may be proofed normally with all other timecards.
Processing Payroll for Subcontractors
*For more information on processing a payroll run check out The Payroll Wizard.
Processing payroll for subcontractors will be achieved by performing special payroll runs. They are:
- SubPush- This is a payroll run used to take transactions from employees that are setup as belonging to the third party staffing agency or subcontractor and push them out to the Pseudo AIdent created for the staffing agency. Think of them as pretend checks that will be processed and pushed into subpaycon.
- Subpaycons- This is a payroll run used after all subpush payroll runs are complete and after the invoicing for the client is complete to create a consolidated check for the subcontractor. It should be made up of all transactions that were pushed with subpush for that staffing company. The check stub can be viewed on the subcontractor/staffing agencies pseudo AIdent.
First, you need to run the employees transactions through a SubPush payroll. This will create empty-pseudo checks, because you're not actually paying the employee. The money on these checks will be "pushed" or diverted to the subcontractors record and will then be consolidated with all other transactions later.
This check will be a net zero check.
This process creates a record of the check in our back-end tables, and the check is logged in the employee's check history.
*Note* These transactions must be fully posted before you can run them through a SubPayCons payroll run, which means that not only must they have payroll and invoice complete, but any other transactions for those employees (e.g., for other customers) must also be payroll and invoice complete because all proofed transactions for an employee must be posted together.
Once all the 'SubPush' transactions have been posted, the 'SubPushCons' payroll run can be executed.
*Note* When selecting SubPayCons run type you will have an additional option to pass through sales tax to vendors. If this box is checked, then sales tax charged to the customer will be paid to the Vendor. When creating the check for the Vendor, you will see a second adjustment with the sales tax amount being paid to them.
Pushed checks will be visible once the run has began and any checks that have not yet been cut for the subcontractor will appear on the single check.
The check can be viewed and then printed:
*Note* There is no difference between Invoice processing for subcontracted employees. For more information on Invoice processing refer to the Invoicing help document.
Subcontractor Checks and Corrections
When correcting sub contractor checks there are two basic correction routes you might take depending on a single question.
Was the consolidated check processed?
|Yes, it has been processed||No, it has not been processed|
|Void/reverse the Subcontractors check.||Void the Employees "Pushed" net zero check|
|Void the employees Pushed net zero check.||Reprocess the "pushed" net zero check|
|Reprocess the employee's "pushed" net zero check||Reprocess the Sub contractors check. *Make sure the pushed checks have posted*|
|Reprocess the Sub contractors check. *Make sure the pushed checks have posted*|
For more information on check corrections, take a look at How to Void and/or Reverse Checks.