Turn on Transaction Type for Direct Cost entry:

1. In Job Cost, go to File, Company Settings, JC Settings.
2. Click on Direct Cost and select the box for Enter transaction codes.
3. Click Ok, Ok.

Reverse and replace the cost to the job:

1. In Job Cost, go to Tasks, Enter Direct Costs.
2. On the first line entry put the exact entry sent from payroll that you are trying to reverse as a NEGATIVE amount. Be sure to select PRC as the Transaction Type.
3. Then put the cost entry back in with the correct Job, Extra, Cost Code, and Category information as a POSITIVE amount.
4. Click Finish & Post Entries.

For more detailed information on Enter Direct Costs and how it affects General Ledger, please see article 20130 DocLink: How do I enter direct costs in Job Cost and how does it affect General Ledger? attached in the related resources below.

NOTE: This only changes information in Job Cost. These changes will not be reflected on any Payroll reports, but will be reflected on Job Cost reports if you condition for "Transaction Type = PR Cost" on all Job Cost inquires and reports based on the JC Transaction files.