Dear Experts,
We are into US support project and my client is requirement is to implement Month end accrual process. Could you please tell me the steps we need to configure.
Our's is a bi-weekly payroll. In the month of August (month 8) , The payroll period starts on 2 nd August and ends on 15 th of August. As a rule, The payment would be the next Friday i.e 21 st August.
Now the next payroll period starts on 16 th August and ends on 29 Th August. For this the Payment date would be 4 th September.
Based on the concept of accrual basis, the payroll period of 16 th August to 29 Th August, 2015 should be recognized as August period's expense & the rest belongs to September's period.
Would it be possible that system can generate an entry to recognize these expenses, for the period which belongs to August month and which is of September month.
Is it possible to post on the last day of August period & reversed it on the 1st day of September ?
On 4 th September, actual posting of payroll remains the same. It can be an estimated amount based on any reasonable historical data.
Another query is on Implications. Will there be any effect on Previous posting process after implmenting Accrual process.
Is there any configuration settings to be on FI perspective.
Thanks in advance.
Regards,
Sairam.