Managing Holiday Accrual Payments & Accounts

Step 1: Add trial balance holiday accrual accounts to your chart of accounts. Commonly used account types would be clearing accounts, assets, or receivable. The example below shows a DGA holiday accrual account.

Step 2: Communicate to your Paymaster the accrual account codes for each individual that holiday accrual payments apply to or include accrual account numbers on paper start forms. If you're using Digital Start Work, select which account should be associated with holiday accrual payments on digital start forms. The photo below shows where you add these account codes.

Step 3:  When payroll is processed for that individual, your payroll import will show that the accrual account is debited, and the total fringes account is credited. An example is below

Step 4: When the paid holidays are processed, the accrual account is debited to represent the prepayment on the payroll invoice, and the fringe account is credited to offset the labor expense