Payroll Labor Distribution Consolidation

The payroll expenses and liabilities, net pay to cash, vendor payable, contract pay encumbrances and leave liability accrued expenses are posted to the financial system so that proper accounts can be debited and credited, vendors can be paid, and contract pay and leave liability accrued expenses can be encumbered. The Payroll Labor Distribution Consolidation job processes the payroll expense journal, payroll liability journal, leave liability accrual expense journal, and contract pay expense journal records to create these Payroll Labor Distribution Consolidation records.

These journal records are processed based on the Transaction Type chosen as the job parameter. The process can be run for the following Transaction Types:

If the Transaction Type is set to P, then payroll expense, liability, and fringe journal records created by the Payroll Check Processor are processed.
If the Transaction Type is set to L, then leave liability accrual expense journal records created by the Leave Liability Accrual Expense Processor are processed.
If the Transaction Type is set to C, then contract pay expense journal records created by the Contract Pay Encumbrance Processor are processed.
If the Transaction Type is set to A, then records on the Payroll Details Adjustment table which reference the journal tables (Payroll Expense, Payroll fringe Expense, Contract Pay Expense and Leave liability accrual Expense) are processed to create PREXC records.

All records that are selected based on the selection criteria and whose PAM Processed ID is null or zero are processed. The PAM system provides the following options for processing the journal records.

GTN Run Number(s) - The run number(s) are setup as job parameters to the Payroll Labor Distribution Consolidation process. If left blank, all records with the specified run numbers are selected. This parameter must be left blank when creating Contract Pay Encumbrance and Leave Liability Accrual Expense Journal transactions.
GTN Process Number - All records with the specified Gross-to-Net Process number entered are selected. The GTN Process number is setup as a job parameter to the Payroll Labor Distribution Consolidation process. This parameter must be left blank when creating Contract Pay Encumbrance and Leave Liability Accrual Expense Journal transactions.
Limit PRLNP Accounting Lines - When this parameter is set to Y, the system restricts creation of PRLNP transactions to R_PYRL_ACTG entries with a PAM_LN_TYP of N.
Transaction Prefix - Transaction IDs can be created with a specified Transaction Prefix. This prefix can be entered as a Transaction Generator parameter.
Transaction ID - When the Payroll Transaction ID is set to P, payroll expense journal, payroll fringe journal, and payroll liability journal records are processed. When the Payroll Transaction ID is set to C, contract pay encumbrance expense journal records are processed. When the Payroll Transaction ID is set to L, leave liability accrual expense journal records are processed. When the PYRL_DOC_ID is set to A, Payroll Details Adjustment table records (which are created when a Labor Cost Redistribution Request transaction is submitted) which reference the journal tables (Payroll Expense, Payroll fringe Expense, Contract Pay Expense and Leave liability accrual Expense) are used to create PREXC records.
Target Payroll Transaction Code - You can define the Target Payroll Transaction Code that needs to be created when the job runs in Adjustment mode (PYRL_DOC_ID = A). It should be populated with a valid payroll transaction Code (PREXC). When the job is running in other than adjustment mode, then this value can be set to null and there will be no validations against this parameter.
Update Document Record Date - This parameter controls how the Record Date is populated for generated PYRL transactions. Options for the Record Date are 1 for Check Date, 2 for Pay Period End Date, and 3 for Process Date. The text field should be populated with the chosen number followed by the PYRL transaction the selected option should apply to. Each selection should be separated by a comma with no spaces. Different transaction codes can have different record date selections and each transaction code can only be entered one time. If a transaction code is not entered, the Record Date on the created transaction follows the baseline process. Example: 1PRLIA,2PREXP,2PRLID,1PRLVP,3PRLNP

Payroll Labor Distribution Consolidation Line Summarization is done when the Payroll Labor Distribution Consolidation process is run if the PYRL ACTG LINE DED SUMMARIZATION parameter on SPAR is set to Y. The transaction generator summarizes the full list of COA elements that were written by the Payroll Check Processor into Fund, Sub-Fund, BSA, Sub-BSA, BFY, FY, APD, Clearing Fund, and Sub-Clearing Fund, when the not being run in adjustment mode. This summarization allows multiple accounting lines on a payroll accounting records to be summarized into one.

All records from the journal tables that are selected based on the selection criteria are processed to create payroll records. PAM generates payroll accounting transactions using the following transaction type structure:

Header Line (R_PYRL_HDR)
Vendor Line (R_PYRL_VEND)
Accounting Line (R_PYRL_ACTG)

Each one of the components is a summarization level of the subsequent components. This is called the Account Based Spending (ABS). The ABS transaction type structure is based on summarization, a rule by which each line of is a summarization of the next. The Vendor Line, however, has the same summarization level as Header. This means, one Vendor per Header. Both Header and Vendor Line are a summarization of the Accounting Line. The structure is as follows:

Header - PAM generates a new Header for specific payroll details that are modified in Advantage HRM. These details vary according to the type of record that is being generated. They can be the Run Number, Pay Cycle, Fund, Department, or Unit, among other fields.
Vendor Line - This line has the same summarization level as Header Line. This means, one Vendor per Header. When processing the first Vendor, PAM sets the Vendor Line to 1. When processing the nth Vendor, PAM sets the Vendor Line to an increment of 1 of the last Vendor Line. Since the Vendor Line is the summarization of the next line on a record, the Accounting Line, the Vendor Line Amount = sum of all Accounting Line amounts for the Vendor.
Accounting Line - PAM generates a new Accounting Line for specific payroll details that are modified in Advantage HRM. These details vary according to the type of record that is being generated. They can be the Run Number, Pay Cycle, Fund, Department, or Unit, among other fields. When processing the first Accounting record, PAM sets the Accounting Line to 1. When processing the nth Accounting record, PAM sets the Accounting Line to increment of 1 of the last Accounting Line. If there is a change to the Header, PAM resets Accounting Line to 1.

Note: If the Yes/No Flag of the Site Specific Parameters (SPAR) entry USE PAM DOC TYPE SUMMARIZATION is selected, then summarization at the header and line level may be defined for each payroll transaction code type via the PAM Summarization by Transaction Type (PAMSUMM) page. In this instance, the Payroll Check Processor defaults to execute at Summarization Level 3 and the information on PAMSUMM is then used as input to the Payroll Labor Distribution Consolidation job. After the execution of the PAM Payroll Check Processor, the Payroll Labor Distribution Consolidation process rebuilds the SUMM_PERFKEY based on the input provided via the PAMSUMM page. The VP_SUMM_PERFKEY is also built based on the input from the PAMSUMM page.

When using the summarization by transaction type method, the SUMM-PERFKEY for all transaction code types includes the following fields in addition to the setup on PAMSUMM:

GTN Run Number (GTN_RUN_NO)
Pay Cycle Code (PAY_CYCLE_CD)
Fiscal Year (FY)
Fiscal Month (FM)
Internal Control Number (INT_CTRL_NO)

How the Payroll Labor Distribution Consolidation Works

PAM generates the payroll accounting transactions in two phases:

The Expenditure Accrual/Adjustment phase. During this phase, PAM accrues expenditures associated with current payroll events and encumbers funds required to fulfill the obligations that remain on employee contracts after the current payroll.

This phase produces the following transactions:

Payroll Expenditure (PREXP) records
Payroll Contract Encumbrance (PRLCE) records

The Payroll Labor Distribution Consolidation process creates a specific type of transaction for a journal record based on the accounting specifications of the record and associates it to the journal record.

The Expenditure/Liability Processing phase. During this phase, the records are modified to reflect any changes made to records adjusted during the Expenditure/Liability Processing Phase. This is done so that the records accurately determine the cash expenditures and liabilities associated with the payroll.

The Expenditure/Liability Processing phase produces the following records (refer to the "Transaction Information" section for more information):

Payroll Liability (PRLIA) records
Payroll Payment (PRLNP) records
Payroll Vendor Payment Request (PRLVP) records
Payroll Internal (PRLID) records
Payroll Leave Liability (PRLLL) records

The Payroll Labor Distribution Consolidation process also allows you to generate Payroll Expenditure Correction (PREXC) records necessary to correct the accounts associated with payroll expenditures. When the PYRL_DOC_ID is set to 'A', Payroll Labor Distribution Consolidation processes Payroll Details Adjustment records with a status code of ‘P’ which are related to the journal tables (Payroll Expense, Payroll fringe Expense, Contract Pay Expense and Leave liability accrual Expense) to create PREXC records.

Refer to the "Outputs of Payroll Labor Distribution Consolidation" for information on the outputs of the Payroll Labor Distribution Consolidation process.