{"id":108660,"date":"2022-12-24T02:00:00","date_gmt":"2022-12-24T06:00:00","guid":{"rendered":"https:\/\/www.askforaccounting.com\/?p=108660"},"modified":"2022-12-24T02:00:00","modified_gmt":"2022-12-24T06:00:00","slug":"sage-50-bonus","status":"publish","type":"post","link":"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/","title":{"rendered":"Create a Bonus Income in Sage 50 and Setup Hourly or Salary Employees for a Bonus"},"content":{"rendered":"\n<p>This is a step-by-step guide that has been compiled for users to be able to seamlessly set up Sage 50 Bonus Payroll. With the help of this article, all curiosity questions will be answered, this holds information about Bonus payroll, steps on how to create one, and much more important information. Let us proceed with this further, to know in detail.<\/p>\n\n\n\n<p>A bonus payment is described in Sage 50 as an extra payment provided to employees in addition to their income. The corporation provides this incentive payment to employees as recompense for their hard work or dedication to the job.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_81 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#How_to_Create_a_Bonus_Income_in_Sage_50\" >How to Create a Bonus Income in Sage 50?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Step_1_To_rename_of_the_income_categories_as_Bonus\" >Step 1: To rename of the income categories as Bonus<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Step_2_For_the_new_revenue_category_choose_a_connected_account\" >Step 2: For the new revenue category, choose a connected account<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Step_3_Check_the_following_options_for_this_new_income\" >Step 3: Check the following options for this new income<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Step_4_To_go_to_each_employee_that_will_have_a_Bonus\" >Step 4: To go to each employee that will have a Bonus<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#How_to_Setup_Hourly_or_Salary_Employees_for_a_Bonus_or_Benefit_in_Sage_50\" >How to Setup Hourly or Salary Employees for a Bonus or Benefit in Sage 50?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Part_A_To_Enter_the_amount_of_the_Bonus_on_a_Paycheck\" >Part A: To Enter the amount of the Bonus on a Paycheck<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Part_B_To_Enter_the_amount_of_the_Bonus_in_the_employee_record_for_hourly_employees_only\" >Part B: To Enter the amount of the Bonus in the employee record, for hourly employees only<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#FAQs\" >FAQ&#8217;s<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#What_Bonus_is_shown_on_the_Payroll_Register_Report\" >What Bonus is shown on the Payroll Register Report?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#Are_bonuses_paid_in_addition_to_salary_and_wages\" >Are bonuses paid in addition to salary and wages?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/#How_does_one_distribute_bonus_funds_to_employees\" >How does one distribute bonus funds to employees?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_Create_a_Bonus_Income_in_Sage_50\"><\/span>How to Create a Bonus Income in Sage 50?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Now, that you are aware of what a Bonus payment is, let us dig further to know how we can create one. It is not very complicated to create one, with the help of the steps mentioned, one can easily do so. Take note that you perform steps accurately to avoid <a href=\"https:\/\/askforaccounting.com\/sage\/sage-50-unexpected-error-when-opening-reports\/\">unexpected errors<\/a> from occurring.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_1_To_rename_of_the_income_categories_as_Bonus\"><\/span>Step 1: To rename of the income categories as Bonus<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First, Go to <strong>setup<\/strong>.<\/li>\n\n\n\n<li>Next, proceed to move to Set up.<\/li>\n\n\n\n<li>After the subsequent step, select <strong>Payroll<\/strong>, then hit on <strong>names,<\/strong> and then <strong>Income and Deductions<\/strong>.<\/li>\n\n\n\n<li>The next step is to continue, rename an <strong>income<\/strong> field with the new name of \u201c<strong>Bonus<\/strong>\u201d.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_2_For_the_new_revenue_category_choose_a_connected_account\"><\/span>Step 2: For the new revenue category, choose a connected account<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First, click on <a href=\"https:\/\/askforaccounting.com\/sage\/setting-up-linked-accounts-sage-50-canada\/\">Linked Accounts<\/a>, In the Payroll section of the Settings box.<\/li>\n\n\n\n<li>Next, Choose <strong>Incomes<\/strong>.<\/li>\n\n\n\n<li>Now, Select the <strong>Bonus income account<\/strong> (If an account is not available, one must be created).<\/li>\n\n\n\n<li>Thereafter, Click <strong>OK<\/strong> to close the <strong>Settings<\/strong> window.<\/li>\n\n\n\n<li>If your company uses <strong>Expense<\/strong> Groups, you must also include the income there.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_3_Check_the_following_options_for_this_new_income\"><\/span>Step 3: Check the following options for this new income<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First and foremost step, In the <strong>Settings<\/strong> box, proceed to hit on <strong>Income<\/strong> under Payroll.<\/li>\n\n\n\n<li>After the subsequent step, The bonus will be displayed here; pick <strong>Income<\/strong> from the Type column.<\/li>\n\n\n\n<li>Lastly, Choose the relevant taxes to be <strong>levied<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_4_To_go_to_each_employee_that_will_have_a_Bonus\"><\/span>Step 4: To go to each employee that will have a Bonus<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First, Under Payroll From the home screen, choose <strong>Employees<\/strong><\/li>\n\n\n\n<li>Thereafter, navigate to the <strong>Income section<\/strong>.<\/li>\n\n\n\n<li>Mark the box next to the <strong>bonus<\/strong> and, if required, enter the <strong>amount<\/strong>.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_Setup_Hourly_or_Salary_Employees_for_a_Bonus_or_Benefit_in_Sage_50\"><\/span>How to Setup Hourly or Salary Employees for a Bonus or Benefit in Sage 50?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Since generally the <strong>Bonus is part of the gross pay<\/strong>, then taxes are calculated in the bonus account.\u00a0Now, let us proceed further to learn to <strong>set up Hourly<\/strong> or <strong>Salary Employees for a Bonus<\/strong> Sage 50. To do the same, follow the steps given below, accurately.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Part_A_To_Enter_the_amount_of_the_Bonus_on_a_Paycheck\"><\/span>Part A: To Enter the amount of the Bonus on a Paycheck<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First and foremost, proceed to click <strong>Payroll<\/strong>, <strong>Payroll Settings<\/strong>, and <strong>Maintain<\/strong>.<\/li>\n\n\n\n<li>Next, Proceed to <strong>Pay Structures <\/strong>and <strong>Company Information<\/strong>.<\/li>\n\n\n\n<li>After the subsequent step, now, <strong>Make Bonus<\/strong> the first available and unutilized <strong>Hourly<\/strong> and\/or <strong>Salary<\/strong> Pay Type.<\/li>\n\n\n\n<li>Next, Choose a <strong>GL Account Number<\/strong> for the new pay type(s); this is often an expense account.<\/li>\n\n\n\n<li>Next, hit the <strong>Finish<\/strong> tab.<\/li>\n\n\n\n<li>Now, <strong>Maintain<\/strong>, <strong>Employees<\/strong>\/<strong>Sales Reps<\/strong>; for hourly employees Uncheck.<\/li>\n\n\n\n<li>Once the above step is done, Choose the first <strong>Employee ID<\/strong> that applies.<\/li>\n\n\n\n<li>Next, proceed to select the <strong>Pay Info<\/strong> tab.<\/li>\n\n\n\n<li>Thereafter, Enter a <strong>1.00 hourly pay rate<\/strong> for the Bonus Pay Type.<\/li>\n\n\n\n<li>Click the <strong>Save<\/strong> button.<\/li>\n\n\n\n<li>Repeat Steps <strong>7-10<\/strong> for each employee as needed.<\/li>\n\n\n\n<li>When producing <strong>paychecks with a bonus amount<\/strong>\n<ul class=\"wp-block-list\">\n<li>Simply put the <strong>bonus amount<\/strong> into the <strong>Bonus pay<\/strong> type for salaried personnel.<\/li>\n\n\n\n<li>Enter the bonus amount as the number of <strong>Hours<\/strong> for the Bonus pay type for hourly employees.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Part_B_To_Enter_the_amount_of_the_Bonus_in_the_employee_record_for_hourly_employees_only\"><\/span>Part B: To Enter the amount of the Bonus in the employee record, for hourly employees only<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Select <strong>Maintain<\/strong>, <strong>Employees<\/strong>\/<strong>Sales Representatives<\/strong>.<\/li>\n\n\n\n<li>Next, proceed to Select the first applicable <strong>Employee ID<\/strong>.<\/li>\n\n\n\n<li>Now, Select the <strong>Pay Info<\/strong> tab.<\/li>\n\n\n\n<li>Thereafter, If the bonus is entered for the Bonus Pay Type, provide an <strong>Hourly Pay Rate<\/strong> of the entire amount.<\/li>\n\n\n\n<li>After the subsequent step, Steps 3-6 should be repeated for each employee as needed.<\/li>\n\n\n\n<li>Lastly, When <strong>creating paychecks with a bonus amount<\/strong>, use 1 as the number of hours for the Bonus pay type.<\/li>\n<\/ul>\n\n\n\n\n\n<h2 class=\"wp-block-heading has-text-align-center\"><span class=\"ez-toc-section\" id=\"FAQs\"><\/span>FAQ&#8217;s<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<div class=\"rank-math-list \">\n<div id=\"faq-question-1671787186201\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"What_Bonus_is_shown_on_the_Payroll_Register_Report\"><\/span>What Bonus is shown on the Payroll Register Report?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>The Bonus will be displayed as hours on the Payroll Register Report. This directly means that you may have to subtract the bonus hours when calculating the total employees&#8217; hours worked.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1671787204007\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"Are_bonuses_paid_in_addition_to_salary_and_wages\"><\/span>Are bonuses paid in addition to salary and wages?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Generally, Wages include, but are not limited to, salary, hourly compensation, piece rate, or work payment. <a href=\"https:\/\/help-sage50.na.sage.com\/en-us\/2019\/Content\/Employees_Payroll\/Employees_Payroll_How_Do_I\/Bonus_or_Commission_for_Hourly_Employees.htm\" target=\"_blank\" rel=\"noopener\">Bonuses and commissions<\/a>. Overtime and vacation compensation are available.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1671787232783\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"How_does_one_distribute_bonus_funds_to_employees\"><\/span>How does one distribute bonus funds to employees?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>For the distribution of Bonus funds to employees, Once you&#8217;ve calculated the performance and compensation percentages for each individual, multiply them by one. Then go ahead and add up everyone&#8217;s ratios. Divide each person&#8217;s portion by the total rate to calculate each person&#8217;s share of the bonus pool.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>This is a step-by-step guide that has been compiled for users to be able to seamlessly set up Sage 50 Bonus Payroll. With the help of this article, all curiosity questions will be answered, this holds information about Bonus payroll, steps on how to create one, and much more important information. Let us proceed with &#8230; <a title=\"Create a Bonus Income in Sage 50 and Setup Hourly or Salary Employees for a Bonus\" class=\"read-more\" href=\"https:\/\/www.askforaccounting.com\/sage\/sage-50-bonus\/\" aria-label=\"Read more about Create a Bonus Income in Sage 50 and Setup Hourly or Salary Employees for a Bonus\">Read more<\/a><\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"single-with-sidebar","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[3],"tags":[],"class_list":["post-108660","post","type-post","status-publish","format-standard","hentry","category-sage-accounting"],"acf":[],"featured_image_src":null,"author_info":{"display_name":"Lawrence Flanagan","author_link":"https:\/\/www.askforaccounting.com\/sage\/author\/openfolderbin\/"},"_links":{"self":[{"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/posts\/108660","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/comments?post=108660"}],"version-history":[{"count":0,"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/posts\/108660\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/media?parent=108660"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/categories?post=108660"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.askforaccounting.com\/sage\/wp-json\/wp\/v2\/tags?post=108660"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}