About setting up accounts for posting payable invoices

Sage 100 Contractor uses the accounts indicated on the Payables tab in the 1-8 General Ledger Setup window to post payable invoice transactions.

Workers’ Compensation: Enter the ledger account to which you are posting the charge to subcontractors for Workers’ Compensation insurance.

Discounts Earned: Enter the ledger account to which you are posting discounts taken on payable invoices.

PO Sales Tax Expense: When using the 12-4 Purchase Order Receipts window to enter materials received, Sage 100 Contractor posts sales taxes to the account indicated in the PO Sales Tax Exp. box.

Freight

WIP Cost Account: Enter the WIP cost account to which you are posting freight costs.

When posting the invoiced costs against a job, Sage 100 Contractor looks at the WIP Posting check box in the job file. If you selected the WIP Posting check box, Sage 100 Contractor posts freight costs to the account in the WIP Cost Account box.

Direct Cost Account: Enter the direct cost account to which you are posting freight costs.

When posting the invoiced costs against a job, Sage 100 Contractor looks at the WIP Posting check box in the job file. If the WIP Posting check box is clear, Sage 100 Contractor posts freight costs to the account in the Direct Cost Account box.

Overhead Costs Account: Enter the overhead cost account to which you are posting freight costs.

When posting the invoiced costs to overhead (posting the invoice without a job number), Sage 100 Contractor posts costs to the account in the Overhead Cost Account box.

Note: When posting the invoiced costs against a job, Sage 100 Contractor assigns the total of the freight costs to the first job cost record.

Variance

Variances in materials costs are posted to the Overhead Costs Account.

Note: Freight costs and the variance in materials costs each appear as separate lines in the journal transaction.