What is FAS and what can it do to help you.

What FAS Does

FAS is a payroll allocation system and a job position management system. It helps you prepare your budget. It preserves your payroll history broken down by your GL categories. It compares your payroll budget with your payroll actuals. It prepares reports that are required by government agencies or funding sources. You can easily prepare your own custom reports as well.

FAS works smoothly with your payroll system (ADP or any other) and with your non-profit accounting system (Abila/Sage/MIP, Financial Edge, Fund-EZ, or Fundware).

Payroll Allocation

FAS imports your payroll from ADP, processes it in FAS, and breaks it down by allocation, as determined by your own general ledger account categories (e.g. by fund, project and department). FAS then sums up the breakdown by account and creates a file that can be easily imported in the format required by your accounting program. All of this - so tedious a task if done manually - is nearly automatic in FAS.

FAS keeps an up-to-date record of employee changes and job positions. In fact, most changes are made automatically, using the status data we read from ADP. Human error is reduced and data is better maintained.

How FAS works with your Accounting System

As you know, non-profit accounting programs do give you the ability to allocate your expenses by general ledger category. They can easily handle operating expenses such as telephone or rent, and also fixed assets. While they do handle payroll and employer FICA totals, they do not handle each employee paycheck. This can be a problem for several reasons:

  1. The wages for many employees should be allocated to several general ledger categories. The allocations can be different for each employee. A case manager in one department might have a wage breakdown of 75/25 between two funding sources, while a case manager in another department might have a 50/30/20 breakdown between different funding sources.
  2. The payroll expense can change with each payroll, especially for employees who are paid hourly.
  3. The allocations can change throughout the year.
  4. It is often necessary to go back and re-class the allocations that were made in past payrolls.

It is exceedingly tedious and error-prone to try to manage these payroll allocations manually, using spreadsheets. Moreover, to do the job properly means doing this work for each payroll of the year.

FAS Automates most of the Payroll and Allocation Calculations

FAS contains a table listing the allocations that are appropriate for each job position and the effective date for that breakdown. You can change the breakdown and effective date whenever you want.

For each payroll FAS reads the ADP payroll file and finds the allocation breakdown for each employee job position that is in effect for that payroll date. FAS computes the sum of these allocations for all employees by general ledger account and creates a file that you can import into your non-profit accounting system.

If you change someone’s allocations before the next payroll, the next payroll will use the new allocations.

FAS also saves all of the Payroll Data making Adjustments a Snap

If you need to re-class the allocations that had been made for past payrolls, you can do this easily. FAS will create a new file with the adjusting entries that can be imported into your accounting system. FAS also keeps a history of these adjusting entries.

Reporting using Payroll History

Furthermore, because FAS contains the entire payroll history it can prepare payroll allocation reports by selected time period – monthly, quarterly, or a time period of your choosing. It is easy to meet the reporting requirements of your funding sources or your local government agencies.

Budget and Actuals

FAS can be a big help in analyzing your payroll expenses and preparing your new budget. For example, FAS can produce reports comparing budgeted payroll with actual payroll – for selected time periods of your choice, noting any important variances. FAS can produce a report comparing one payroll to another. FAS can also report on your weighted budget, taking account of salary and FTE (“full time equivalent”) changes through the year. These reports are very helpful in monitoring your expenses and preparing your budget for the next fiscal year. FAS can even produce spreadsheets that your various department or project managers can use as a starting point for submitting their plans for the upcoming budget.

FAS can also produce reports comparing budgeted payroll with actual payroll – for selected time periods, broken down, if you wish, by department, project, or funding source. These reports are very helpful in monitoring your expenses and preparing your budget for the next fiscal year

Tracking Capabilities

FAS also keeps track of the status of your current job positions – showing which are filled, vacant, on-leave or terminated. In a large organization this can be a real boon for your hiring managers. Employee and position status changes are updated automatically from the ADP data.