In order to track the labor and overhead costs associated with time & expense sheets, you need to configure the module to accommodate this. The following screenshot shows the field where you specify the general ledger (G/L) account you want to use for tracking project labor and overhead:
The G/L account you define here will be used when time & expense sheets are posted. It will normally be an expense account. Keep in mind, this is a required account if you want labor costs for employee time & expense sheets to be posted to the G/L. The following table illustrates the G/L transactions which are recorded when employee time & expense sheets are posted:
Table 1.1. G/L transactions after posting employee time & expense sheets
| Debit | Credit |
| Reference item expense account | Project labor and overhead account |
Employee labor costs are associated with an employee's hourly compensation. These costs are the actual costs to your company of the employee's time and should not be confused with the billing rate being charged to the customer.
