In our last update, we've given the net wages automation feature, which reduces your manual intervention in the soft matching process.
In this update, we have introduced AI in the net wages screen to increase the efficiency of the matching process. In this function, the system does a predictive match based on date, amount, etc. This will allow you to look at those matches and match them accordingly.
To use this feature, enable the "Explore New Net Wages Matching" toggle visible in your top right in the Net wages screen (Financial Accounting -> Banks -> Net Wages).
After you enable this icon, you will see the new display:
As in the old screen, total net wages processed, paid out and the balance amount will be displayed at the top.
The total number of bank transactions and GL transactions will be displayed under the Transaction Info and GL Transaction Info sections. If you click "View", you will be able to see the list of transactions in both sections.
To initiate the net wages matching process, click the "Process" button in the bottom.
After initiating the process, the system will start the process in the background and list you the count of hard matched (Fully matched), predictive matches and not matched records once it's completed.
In the above screenshot, you can see Hard Matched allocation (1), Predictive Matches (4) and Not Matched Records (13). We will see each section in detail as follows:
Hard Matched Allocation (1):
It means 1 transaction is fully matched, and the matched amount will show in the "Matched Records" tile at the top. You can download the fully matched transactions using "Initiate Download" button.
When will the transaction be fully matched?
1. Date, amount in the bank transaction equal to Pay date and Net payment (Payroll) and
2. Bank description should contain either worker's bank account name/employee number based on your settings.
Predictive Matches (4):
This is the new function we've introduced in this update powered by AI based on the net wages process.
If you click "View", you can see all the predictive matches done by AI.
How Does Predictive Match Work?
When you do the net wages process, AI will read all the transactions and fully match some of the transactions and give you some of the predictive matches based on two criteria - Date & Amount.
By Date:
At times, you may upload the bank file the next day after you run payroll. Bank date and pay date might be different on those occasions. So AI will give you the predictive match by date if the amount and description matches exactly except date (provided the bank date is greater than pay date).
If you're fine with this predictive match, you can click "Match" on the individual line item (or) you can bulk select line items and click "Match" in the top.
By Amount:
At times, bank charges may get applied to individuals when you upload the bank file to your bank. The amount will be different on those occasions for each contractor in the bank transaction. Now AI will give you a predictive match by amount if the bank date and description match exactly with the system, except amount.
If you're fine with this predictive match, you can click "Match" on the individual line item (or) you can bulk select line items and click "Match" in the top. If you click "Unmatch", these transactions will go to the Not matched section.
You can also export the predictive matches using the "Export" option.
If you have matched the predictive matches, the matched records tile in the net wages screen will update and you can go back to check the not matched records.
Not Matched Records:
If you click "View", the manual match screen will be displayed. If you want to see the not-matched transactions, you can click "Add Bank Transaction" and "Add General Ledger" to see the transactions, and you can add all the bank transactions (left) and GL transactions (right) and match them accordingly.
After doing all the matching, you can go back to the net wages screen to check the matched records for that particular batch process.
You can check the logs at the top to see/download the fully matched transactions against each net wages process.
Filter transactions based on Payroll ID under GL transactions:
Sometimes, you may receive a single bank transaction with a bulk amount on the bank side which includes payment made to all the contractors for any particular payroll. In these cases, it will be a bit hard to exactly match those transactions with the actual GL transaction against each worker record.
To help with this, we have introduced the new option to filter GL transactions based on "Payroll ID" in the manual match screen when adding a GL transaction so that you can search the transactions using "Payroll ID", add the transactions and match it against one bulk bank transaction.
This feature is available in both old and new matching screens under the Manual Match option.