Hi
New to this - hope I'm posting correctly. I just started in the midst of year-end with a company & am compiling & reviewing the financial statements.
Looking for advice on how to re-code a years worth of payroll entries -- whereby the 'meal allowance expense' portion of each employees pay cheque was automatically posted (linked accounts) to a balance sheet account rather than the expense account.
I have 1-2 thousand entries that this impacts where I need to reclassify from the balance sheet to the expense account. ---- Is there a quick way to do this? Keep in mind I need the amounts to be associated to the employee + allocated to a large number of different jobs.
Originally I thought of posting a general journal wiping out the entire balance at the total amount for the year (single amount) and posting that total to expense (dr. meal allowance expense, cr. meal allowance receivable (the odd/error balance sheet account the payroll was linked to for meal allowances)), but then my job allocations wouldn't be accurate as it is allocated to job BY EMPLOYEE.
If I go the general journal route and code the journal entry by employee (rather than sum amount - so I can properly allocate to the jobs), I'd be looking at thousands of lines for the JEs.
However, with the general journal route I can't actually link/associate these meal allowance amounts to the employees they stem from - thus my employee records for meal allowances wont reconcile to the total amount of meal allowances expenses in the GL. Hard to articulate this --- but I want to ensure I still have the total meal allowances per employee for the year tracked & know it's accurate in the payroll module.
I also thought of creating a spreadsheet to summarize the weighting of each job, and post the total re-class with a weighting towards each respective job... however... again... my employee year to date meal allowance amounts may not reconcile to the total meal allowances expense GL.
I'm not familiar with 'adjustments' in the payroll module especially when it's a simple account re-classification...Any input would be greatly appreciated --- payroll and the payroll module are not my forte!
Thanks in advance!!