Introduction

We integrate with Gusto for payroll services. The three primary components of the integration are:

  • Push Commissions/Labor Payables to Gusto (in addition to any other payables or receivables)

  • Sync payroll data back into accounting to create the accounting transactions

  • Create employees into Gusto from dealr.cloud

Gusto is an easy-to-use payroll platform built for small businesses. It enables you to pay your employees, manage benefits, track time off, and more.

Free Trial

If you're new to Gusto, our partnership with them provides you with 3 free months of payroll services as long as you create the account through dealr.cloud.

In order to get started, you'll need to

  1. Open up the Payroll tab on the sidebar.

  2. Click Get Started to create your account.

  3. Once you've set up your account, come back into the Payroll tab and click Connect Existing Gusto Account.


Your trial will start the first time you run payroll.

Setup

Before you start syncing and creating payroll transactions, you need to perform the following three steps:

  1. Connect to Gusto

  2. Map accounts and employees

  3. Set up settings


Connecting to Gusto

If you just started a free trial, or if you already have a Gusto account, click Connect Existing Gusto Account and login. This will connect your Gusto account to accounting and enable us to sync payroll data.


After syncing, your recent historical payrolls will be shown in the payrolls list and the mapping tabs will show up for the next step.

Mapping

Your first step is to go through and map all of your employees between Gusto and dealr.cloud, and then setup account mapping for the Gusto integration.

For more information on Mapping, please see this article, here.

Settings

You also need to ensure your settings are set up correctly.

  • Payroll Bank Account - This is the account that your direct debit payroll amounts, printed checks, and taxes will come from. After being set, don't change this account, as it will modify historical payrolls.

  • Journal Date - The date the primary journal will be created. This is when the expense will show up on your Profit and Loss, payables and receivables will be cleared, etc.

    • End of Pay Period - The last day of the pay period.

    • Processed Date - The date the payroll was run.

    • Check Date - The date for the check, normally the day the direct debit transactions will be withdrawn.

  • Automatically Create Journals - When a new payroll is seen from Gusto, create the related accounting transactions. You can also manually check the Generate checkbox next to each payroll.

  • Role Specific Mapping - Create individual mappings (for wages, commissions, reimbursements, and bonuses) for each Job Title from Gusto.

Sync Payment Amounts

When you're ready to run payroll and need to push payables or receivables into Gusto, click the Sync Payment Amount button on the Payroll page.

Watch this video for a quick guide on how to sync payment amounts!

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You'll be presented with the following dialog, where you can see the current amounts selected for each employee and click into each to edit what they're getting paid.


Select Transactions - Employee

When you click Edit next to an employee, you can go through and check each open balance you want to pay on this pay period. This interface automatically filters to transactions dated before the end of the payroll period. This is very similar to any payables or receivables interface so you can filter by almost anything.


You do need to go through and check all the transactions you want to pay. The Check Page functionality is very useful for this, and, combined with the pagination at the bottom right, it allows you to add up to 50 transactions in one click.


The total amounts selected will be shown in the bottom right corner. When you're done, click Save.

Modify Accounts

If you want to modify the amount that is getting paid out, simply click into the Used or Amount fields for a given transaction and modify it.

Category

By default, all positive transactions (payables) are categorized as Commissions and all negative transactions (receivables) are categorized as Deductions. The category can be set as Commission, Reimbursement, Bonus, or Deduction. Deductions are the only category that accepts negative amounts, such as receivables.

New Transactions

If you wanted to add a payable to pay out, such as a bonus, directly to this screen you can use the New Transaction button.

Syncing

Once you've selected transactions for all your employees, you can click the Sync button which will update your pending payroll with the totals selected.

Warning! - Manual Override

Don't manually override commissions, reimbursements, bonuses, or deductions in Gusto when running payroll. Once these are changed in Gusto, it's very challenging to get it reflected correctly in accounting. Dealr.cloud is depending on Gusto using the same amounts you synced in order to clear the payables and receivables correctly.

Special Situations

Off-Cycle Payroll

Off-Cycle or bonus payrolls can also be matched with payables in accounting. Watch this video to learn how to change the allocated commissions after payroll has already been done, and there's some additional info at the end about Off-Cycle Payrolls.

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Warning! - Off-Cycle Payroll

If you run an Off-Cycle or Bonus payroll, the payroll *will not* show up in dealr.cloud until after it has been fully processed. This can take several days and is a limitation in Gusto's API that prevents us from seeing off-cycle payroll data until it's been fully processed.

Editing Allocations

If you need to modify the allocation to payables after payroll has been run, you can easily do so! Just click Edit Payment Amounts on the payroll and change which payables got paid, their amounts, and more. You can also watch the below video for more context.

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Deductions

If you need to deduct or reduce an employees wages on a one-off basis, you can use the Deduction capability with Receivables. During the syncing process, you can select receivables for each employee and it will be added to Gusto as a deduction. Once the payroll is run, the deduction will be allocated against the receivable and clear it.


Watch this video for a guide on how to use deductions.

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Deductions are tracked against the employee, not individual payrolls. This means that as soon as you add it to the Sync Payment Amounts dialog, it will be in Gusto and the next run payroll will deduct the amount (even without clicking the Sync button!) from their paycheck.

Warning! - Editing Deductions

After a payroll has been run, deductions cannot be edited or modified. If a deduction needs to be changed, you'll have to cancel the payroll, modify the deduction, and then re-run payroll.


In the case of Gusto being correct for the deduction, but there being an outstanding negative receivable in dealr.cloud, you'll need to link or write-off the negative receivable in order to clear it.

Payroll Advances

A payroll advance is a great example of the power of the Gusto integration.

Step 1: Create the Payable/Receivable

In the screenshot, you'll see that we're creating a payable to the employee for $500, and the lines below show a receivable account indicating that we're owed back the $500.

Step 2: Run Payroll

Run an Off-Cycle or Bonus payroll and add a Reimbursement for $500.00.

Step 3: Allocate in dealr.cloud

Once the payroll has been fully processed (might take a few days), it will show up as an off-cycle payroll in dealr.cloud. You can then allocate the $500 reimbursement to the payable we created in step 2.

Step 4: Deduct the Advance

When running your regular payroll, simply check off the outstanding receivable for $500 and it will be added as a deduction!

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