Recording Additional Employee Fees as Expenses

Recording Additional Employee Fees as Expenses

Purpose:
To explain how to record additional amounts paid to employees (e.g., travel expenses, mileage, per diem) in Contractor Foreman without creating a Change Order or affecting the contract value.

Background:
Occasionally, companies need to reimburse employees or pay additional fees for specific reasons that are not part of their regular payroll (e.g., travel, lodging, meals during a project). In Contractor Foreman, these costs can be recorded as Expenses assigned to the employee.
This method ensures the cost appears in expense reports and job costing but does not show on the employee’s profile or alter the contract total. These expenses typically fall under Overhead & Profit (OH&P) and are not explicitly listed in the estimate unless marked as billable.

Key Points to Remember:

• No Change Order is needed for these costs.
• Contract totals remain unchanged.
• Expenses will appear in the Expenses Report for accurate job cost tracking.
• The employee’s profile will not display the expense.
• Use the Billable toggle only if the cost will be invoiced to the client.
• Payments to employees are handled through payroll or accounts payable outside of Contractor Foreman.

Steps to Add an Employee Expense:

1. Accessing Expenses:
   • Navigate to:
     Main Menu → Expenses → New Expense

2.        Select + Expense

3. Entering Expense Details:
   • Select the Project
   • Enter the Total amount
   • Select the Vendor
   • Add an Expense Name
   • In Bank Account, select the Employee.

3. • Under Category/Account choose the Employee Name or add it by entering the name and pressing enter.

4. Billable and Attachments:
   • Toggle Billable on or off depending on whether the cost will be passed to the client.
   • Upload receipts or proof of expense in the Attachments section.

5. Saving the Expense:
   • Click Save (or Create Expense) to finalize the entry.

Additional Notes:

• Payments must be processed separately through payroll or accounts payable, then marked as Paid in Contractor Foreman for reconciliation.
• Refer to the knowledge base article “Managing Job Cost Reports” for information on tracking these expenses.
• Always attach receipts to maintain an accurate audit trail.

Steps to Run an Expense Report by Employee:

1. Navigate to Menu → Reports.

2. Under Finances Reports, click View next to Expenses.

3. In the report filters:
   • Date Range – set the range you want to review.
   • Toggle Show All Items on or off as needed.
   • Select the Employee Name.
   • (Optional) Filter by Created By, Project, Cost Codes, Status.
   • Choose Group By: Project, Customer, Employee, Vendor, Cost Code, or None.
   • Select output Format: PDF or Excel.

4. Click Generate Report.
5. The system will produce the report in your chosen format.

–            Excel:

–   PDF:

Tip: Ensure you have at least one expense logged under the project and employee before running the report to see results.

Additional Notes:

• Payments must be processed separately through payroll or accounts payable, then marked as Paid in Contractor Foreman for reconciliation.
• Refer to the knowledge base article “Managing Job Cost Reports” for information on tracking these expenses.
• Always attach receipts to maintain an accurate audit trail.