Working with 5-Payroll > 5-2 Payroll Processing > 5-2-1 Employees > Employee Payroll Calculations > About applying the Labor Burden when calculating Payroll

About applying the Labor Burden when calculating Payroll

Social Security, Medicare, Workers’ Compensation, federal and state unemployment and union contributions add to the costs of having employees on jobs. These additional labor costs are typically labeled as “burden.” Timecard lines and payroll calculations determine the burden from 5-2-2 Payroll Records.

A 6-3 Job Costs record is created for every line on the grid of the 5-2-2 Payroll Records that has a job entered when the payroll record has been saved and final computed from the 5-2-3 Compute Payroll window. Payroll calculation methods determine how the burden amounts are computed and applied.

Per Pay Period computes a flat rate that is determined by hours on the time card lines.

Percentage calculations are based on rate of pay multiplied by the percentage of burden to Gross Wages.

Workers Comp is based on Tables. The rate for each employee could be different as determined by the Comp Code, Liability, and Experience Mod. Note that Overtime is applied as regular hours.

Percentage of Other Calculations are based on formulas to find the percentage of a percentage of burden to Gross Wages.

More resources

For additional online resources for Sage 100 Contractor products, visit the Sage Customer Portal. Use the portal to access the knowledgebase, chat online with customer support, or enter a customer support ticket.

For additional training on Sage products, visit Sage University.