Workers Compensation Codes
Workers Compensation Codes are established for tracking the different types of work employees perform. For example, in the United States, the National Council on Compensation Insurance, NCCI, is an independent advisory organization, who develops and maintains the workers compensation classification system that is used by most states. The NCCI class code system is made up of somewhere around 700 different classification codes.
When setting up Sage Construction Management or an accounting system, it is very important that the proper Workers Compensation Codes are established in the system and later referenced on timecards. This will provide management the ability to generate summary reports by these codes when the workers compensation policy for the corporation is up for renewal.
In Sage Construction Management, each Workers Compensation Code can include a burden adjustment that is based on a percentage or dollor markup of the base hourly cost rate. This will be added in addtion to the burden rate that is established in the Employee or Labor detail forms.
Example Workers Compensation Codes (United States)
Code | Description |
3179 | Electrician |
5403 | Carpenter |
5506 | Bridge Construction Repair Worker |
Country Specific Details
- United States: National Council on Compensation Insurance (NCCI)
- Canada: Canadian Centre for Occupational Health and Safety
Important Things to Know
- Like Payroll Items, Workers Compensation Codes are usually identical to the accounting systems list.
- Referencing a Workers Compensation Code is optional on the Labor Timecard form.
Example Labor Timecard Cost
- Timecard Base Cost Subtotal = Timecard Hours * Employee Payroll Item Base Cost Rate
- Timecard Burden Cost Subtotal = Timecard Hours * (Employee Payroll Item Burden Cost Rate + Workers Comp Burden Rate)
View And Add Workers Compensation Codes
- Log in to Sage Construction Management as an Admin.
- Click Settings (Gear Icon).
- Click Feature Settings | Time and Expenses.
- Navigate to the Workers Compensation Codes section.
- To add a Workers Compensation Code, click the Add button above the grid.
- Navigate to the grid footer and enter the Code and Description.
- Select either Lumpsum or Percentage for the Burden Type.
- Depending on the Type, enter the additional hourly rate or a percentage.
Lumpsum Example: 3 = $3 per hour
Percentage Example: 2.5% = 2.5% of Labor Timecards Base Hourly Rate (For 2.5%, enter 2.5 in the field not 0.025) - Click the Save button below the grid.
Note: A Workers Compensation Code cannot be deleted if it is referenced on a labor timecard record.