Journal tokens: Example 1 - Basic pay

Think of a token as the sum of a group of other items, this can be other tokens or nominals A nominal account is a general ledger account that you close at the end of each accounting year.. So, every pay element assigned the token will be added to the running total and will be output to the journal file.

Two employees, each in a different departments and cost centre. Example showing basic pay The standard amount paid to an employee which excludes additional payments like bonuses, overtime, and allowances..

• Department accounting codes: DD1 and DD2.

• Cost centre account code: CCA and CCB.

• Employee 1: DD1 and CCA .

• Employee 2: DD2 and CCB.

1. Go to the required employee and select Employment.

2. Ensure the employees are in the correct department and cost centre.

   

3. Go to Settings.

4. Go to Pay Codesand select Nominal Codes Nominal codes are the codes that are used in the chart of accounts to record income and expenditure..

5. Select System Codes.

6. Go to BASIC.

7. If we enter 700 {dept.accountingcode} {cc.accountingcode}

   700 is the nominal and {dept.accountingcode} {cc.accountingcode} are system tokens.

   This is the output on the journal file with 2 employees:

   700 DD1 CCA

   700 DD2 CCB

   The nominal is the same for each department and cost centre.