Some users have a general liability insurance policy with premiums based on payroll. You will usually pay your premium based on an estimate and use this feature in Sage to apply the cost of the premium paid from your prepaid insurance asset account throughout the year.

To do this you will need your insurance agent to provide you the general liability insurance rates sheet from your insurance declarations. This sheet should show the GL classifications, codes numbers, and rates (along with other information).

The rate is a combination of two rates, "Products / Completed Operations" and "All Other". Liability rates are generally listed for every $1,000 of payroll, but check your policy. So you would add these two rates together and divide by 10 to convert it to a percentage, which is what Sage will use. Enter this number into the LIABILITY column for each corresponding Workers' Compensation Code in Sage 5-3-2.

Helpful Hint: Workers' Company and General Liability code numbers are different for the same scope of work they cover. To prevent confusion, enter the corresponding GL code# in the notes of each WC code in your list.

SAMPLE

That is exactly what I was looking for!  I want to thank you for reaching out with an explanation and example of how to complete the 5-3-2 calculation report.  As a new Sage user, your instructions are easy to follow and I can update calculations sheet without frustration.  I really appreciate your assistance.

That is exactly what I was looking for!  I want to thank you for reaching out with an explanation and example of how to complete the 5-3-2 calculation report.  As a new Sage user, your instructions are easy to follow and I can update calculations sheet without frustration.  I really appreciate your assistance.