How to Set Up Cost Centers

Cost centers are a way of tracking which cost is connected to which part of the organization. In Simployer One, a cost center can be connected to a department, which then covers every employee in that department, or set directly on an individual employee's profile.

Cost centers are entirely optional. If your company doesn't need this level of cost tracking, you can skip setting them up altogether.

SETTING UP COST CENTERS 

1. Go to Settings > Cost centers 

This is where the feature is enabled and managed. 

2. Enable the feature 

Use the Enable cost centers toggle. Nothing else on this page is usable until it's switched on. 

3. Create each cost center 

Every cost center needs a Code (most commonly 3 or 4 digits) and a Name attached to that code. 

Good to know: Once your cost centers exist, you can assign them to departments or individual employees, covered below. 

ASSIGNING COST CENTERS TO DEPARTMENTS 

4. Go to People > Departments 

Select the department you want to assign a cost center to. 

5. Select Cost center and choose one from the dropdown 

This applies the cost center to that department as a whole. 

6. Select Save, then repeat for each department 

Every employee in that department inherits the department's cost center unless they have one set directly on their own profile. 

ASSIGNING A COST CENTER TO A SPECIFIC EMPLOYEE

7. Go to People > Employees and select the employee 

This overrides whatever their department would otherwise assign them. 

8. Go to the Work section and select edit 

Choose the cost center you want this employee assigned to. 

9. Select Save, then repeat for each employee 

Only needed for employees whose cost center should differ from their department's default. 

BULK ASSIGNING OR SCHEDULING A CHANGE 

10. Go to People > Employees and select the employees you want to update 

Works the same way as other bulk actions in the Employees list, one person, several, or everyone matching a filter. 

11. Select Actions, then Change cost center 

Choose the cost center to apply to everyone selected. 

12. Set when the change should take effect 

You can schedule the change for a future date rather than applying it immediately, useful for a cost center change tied to a reorg or a specific accounting period. 

13. Select Save 

The change (or scheduled change) applies to every employee selected. 

USE IN PAYROLL EXPORT AND REPORTING 

Cost centers exist specifically to let you trace costs, such as salary, back to the right part of the organization for reporting purposes, whether that's a department's budget or a specific employee's individual cost tracking. 

Whether a cost center is passed through to a given payroll system depends on that specific integration. For example, in the Kleer (PE Accounting) integration, an employee's cost center, whether inherited from their department or set directly on their profile, is not exported to Kleer. 

Good to know: If cost center data needs to reach your payroll provider, confirm this specifically for your payroll integration rather than assuming it's included by default, behavior varies by system.