IBM 1130 User Manual page 135

PA YROLL EXAMPLE
Narrative
Note: All of the pages in the following example
represent material that you should have developed
by this point in the installation of your system.
When completed, the material becomes a part of
your system documentation (see section 35).
* * *
The corporation consists of six manufacturing
plants, engaged in the fabrication of Liquid Dairy
Product Packaging in Ohio, Indiana, West
Virginia, and Texas. The payroll system was
designed to accommodate all six plants, which
have separate bookkeeping records. However,
the accounting functions are centralized in one
location. Communication is by phone and mail.
The system consists of 16 programs.
The files creation program is first. Data decks
are keypunched for each individual, in sets, by
plant. The data is edited and, when correct, is
loaded on the disk by PAYOl. Three files are
created: a master file, an index file, and a plant
information file. A second data deck with employee
clock number and name is loaded onto the master
file by PA Y02.
Changes to the disk information are made by
PAY03. Documents, received from personnel de-
partments at the individual plants, are checked,
Section Subsections Page
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summarized, keypunched, and verified. Time
sheets, submitted by the plant payroll departments,
are keypunched and verified. All these cards are
processed by PA Y16, which edits and generates
control totals. PA Y04 then processes these cards,
performing all payroll calculations. Cards are read,
pay is computed, disk files are updated, and cards
are extended with current pay figures. After all
cards are processed, a payroll register is printed.
Checks are printed by PAY05. A header card is
read and the checks are printed from the disk file.
PA Y06 lists the check register from the disk file.
If an error is made in computing pay, PAY11 pro-
vides the means of voiding checks. The extended
time cards from PAY04 are read in and the affected
employee records are reset. The above are
weekly runs.
At month end, registers are prepared showing
each individual's deductions for the month:
PAY13 writes union dues register.
PAY14 writes credit union register.
PAY15 writes stock deductions register.
PAY12 resets charity deductions code.
At the end of the quarter and at the end of the
year, PAY07 and PAY08 are used to balance the
disk files to control totals.
PAY09 produces the 941 tax report.
PAY10 produces a tax worksheet used to deter-
mine tax liability.