Description
FastTrack360 now supports the ability to assign payment terms to a contractor so that the payment of their timesheets can be deferred until the payment terms due date, as calculated by the system based on the applicable payment terms, has been reached.
...
an adjustment pay batch for the adjustment period into which the timesheet end date falls
a normal pay batch for a pay group that has the Include Prior Period Timesheets in Current Period option enabled (for more information, see Including Prior Period Timesheets in Pay Batches).
In either case, the timesheet will not be included in the pay batch unless the payment terms dues date is within the current (open) pay period or, for the United Kingdom, on or after the pay period start date but before the normal pay date of the current pay period.
To help identify the periods in which such timesheets are due to be paid a new report called Contractor Payment Terms Due Date is available. For more information, see Contractor Payment Terms Due Date Report.
Contractor payment terms apply only to payees who have a tax type of Contractor (for all countries except Australia) or Company (for Australia only).
| Info |
|---|
A proforma remittance can be generated and issued to the contractor when their timesheet is approved and has undergone interpretation as an interim indication of what the contractor will be paid once the payment terms due date is reached and the timesheet is paid. For more information, see Issuing Proforma Remittance Advice. |
| Info |
|---|
When you create an adjustment pay batch the Payroll > Pay Process > Pay Batch > Create Batch screen lists the number of timesheets that are available to be paid for each respective adjustment period that is available for pay group that you select. The timesheet count shown for each adjustment period on the Create Batch screen does not include timesheets that are subject to payment terms and will be paid in the corresponding adjustment period due to the payment terms falling due. |
Benefits
This enhancement allows payment to a contractor to be deferred until after the client, to whom the contractor has provided services, has paid the invoice for the service that were provided.
Configuration
Before payment terms can be applies to contractors, the different variations of pay terms that can apply must be configured under Maintenance > Terms Maintenance. For more information about how to configure the pay terms, see Terms Maintenance.
...