Important Note: This approach is not compatible with QuickBooks payroll or job-costed payroll in QuickBooks. Using this process in those scenarios may result in duplications.
Step-by-Step Guide to make a Labor Entry
1. Create a New Job in Adaptive
Navigate to New Job in Adaptive.
Name the job Adaptive Adjustments.
This serves as a centralized location to track your manual adjustments.
2. Create an Expense Record
Open a new expense record and leave the Vendor field blank.
Choose a Payment Account (this won’t impact your overall accounting).
Input the total payroll amount you want to allocate.
Example:
If the payroll entry is $100, assign portions to specific cost codes. For instance:
$50 to Demolition.
$50 to Window Wells.
3. Add Line Items
Add three lines to the expense record:
Two for the allocated labor costs.
One canceling entry to ensure the overall accounting remains unchanged.
Assign Cost Codes:
Use specific job codes for the first two entries (e.g., 1695-Pen).
The third entry (canceling) can be assigned to any code, as long as it negates the total of the above entries.
Example Entry Table:
Line Item | Job Code | Cost Code | Amount |
1 | 1695-Pen | Demolition | $50 |
2 | 1695-Pen | Window Wells | $50 |
3 | Adaptive Adjustments | Canceling Entry | -$100 |
4. Review and Save
Review the entry and ensure the total is balanced (zero net effect).
Save the record.
5. Verify Job Costing
Return to the job (e.g., 1695-Pen) and check the allocated labor costs.
The costs should now appear under the appropriate budget categories without affecting overall financials.
Tracking Adjustments
Use the Adaptive Adjustments job to keep a record of all manual labor entries.
Easily review past adjustments by accessing this job, where you can inspect details like amounts and cost codes.
Bonus: Using Spreadsheets for Bulk Entries
If you manage labor costing in a spreadsheet:
Ensure line items are clearly arranged.
Drag and drop the spreadsheet into Adaptive.
Assign job and cost codes to each entry.
This approach simplifies bulk entries, saving time and ensuring accuracy.
Conclusion
This workaround enables effective job costing for payroll in QuickBooks while maintaining the integrity of your accounting records. It’s a solution that many users find practical and efficient.
Still Need Help?
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