Prepare Employee and Payroll Information
Start by confirming the payroll period and identifying employees included in the run. Review new hires, terminations, pay-rate changes, tax withholding elections, benefit deductions, and paid-time-off balances. Confirm that employee timecards or other approved records reflect the hours and earnings to be paid.
In Sage 100, payroll setup and employee maintenance provide the foundation for calculating gross pay and deductions. Check that earnings and deduction codes map to the appropriate accounts and that department or job allocations reflect the organization's reporting requirements. A well-maintained Payroll System connects these records to recurring pay calculations, employee payments, tax reporting, and accounting entries.
- Verify employee status, pay frequency, and current pay rates.
- Confirm regular hours, overtime, commissions, bonuses, and other earnings.
- Review benefit deductions, retirement contributions, garnishments, and tax withholding.
- Check approved adjustments and supporting documentation before entering payroll data.
Enter Time and Calculate Payroll
Open the applicable payroll data-entry workflow and select the correct payroll cycle or pay period. Enter or import approved time and earnings information according to the procedures configured for your Sage 100 installation. Review each employee's entries for missing hours, unusual amounts, duplicate records, or incorrect earning codes before proceeding.
Calculate payroll using the available Sage 100 payroll processing functions. The calculation generally starts with gross earnings, applies applicable taxes and deductions, and determines net pay. For example, if an employee earns $2,400 in gross wages for a pay period and has $550 in total deductions and withholding, the expected net pay is $1,850 ($2,400 − $550). This illustration assumes the $550 represents all applicable deductions for that employee.
Compare calculated amounts with approved time records and expected payroll patterns. Investigate differences such as unexpected overtime, changed deductions, or unusually large net-pay variations before finalizing the run.
Review Payroll Reports and Finalize the Run
Generate the payroll register or equivalent review report available in your version of Sage 100. Check gross wages, employee deductions, employer tax amounts, net pay, and department or job distributions. Reconcile payroll totals to approved source records and review exception reports or employee-level details where available.
After the review and required approvals, follow the configured procedures to complete payroll, produce checks or direct-deposit information, and retain supporting reports. A Payment Run is a defined process for preparing and executing payments; in payroll operations, the comparable payment stage must follow the organization's approval, banking, and payment-file procedures. Use the specific Sage 100 workflow and authorized banking process applicable to your installation.
Keep a clear record of payroll dates, approvals, register totals, payment outputs, and adjustments. These records support payroll inquiries and help explain differences between periods.
Post Payroll and Reconcile the General Ledger
Review the payroll posting process and confirm that wages, employer payroll taxes, benefit expenses, and payroll liabilities are assigned to the appropriate general ledger accounts. Where the installed version provides a dedicated posting step, complete it according to your established close procedures. Verify that the resulting journal entries balance and that payroll expenses appear in the intended accounting period.
At month-end, compare payroll liabilities and expense balances with payroll reports and supporting schedules. Accrued wages or employer costs earned before period-end but paid later may require accrual discovery, estimation, booking, and reversal in line with company policy. The guide Run Your Entire Small Business on Free AI-Powered Software in 2025 discusses finance software workflows that can help teams understand accrual recognition alongside other accounting activities.
If payroll data flows to another accounting environment, validate the mapping and reconciliation process. For example, a Netting Run is a finance process that offsets eligible receivables and payables between parties; understanding this separate concept helps distinguish netting activities from payroll deductions and payroll liability settlement.
Improve Payroll Controls and Connected Workflows
Use documented checklists, role-based access, approval rules, and periodic reconciliations to make payroll processing repeatable. For organizations connecting payroll with other financial applications, the Hyperbots Platform supports company-specific workflows, ERP integration, roles, and general ledger structures through a configurable no-code framework. Its Process Specific Capabilities apply AI automation to defined finance workflows, while Ready to Deploy Capabilities use pre-trained agents and ERP connectors to support finance tasks.
For accounting teams evaluating related tools, AI Copilots for Sage 300 explains how AI copilots can support finance workflow productivity and accuracy in Sage 300. These capabilities relate to a different Sage product and should not be mistaken for a built-in Sage 100 payroll function. Self Learning Capabilities describe how AI systems can adapt from human feedback, while Human in the Loop describes workflows where people review exceptions and approve important decisions.
A Parallel Run means running a new process alongside an existing one to compare results. When introducing a changed payroll workflow, a controlled parallel comparison of totals and employee-level results can help validate the new procedure before relying on it for live payroll.
Summary
To run payroll in Sage 100, prepare employee and pay-period data, enter approved earnings, calculate wages and deductions, review payroll reports, complete authorized payments, and post the accounting entries. Reconcile payroll totals and liabilities, retain evidence of approvals, and follow the procedures appropriate to your installed version. These practices support accurate employee payments, reliable financial reporting, and a consistent payroll close.