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Departments can be configured in Lightning Payroll as a way for you to run reports on different cost centres within the application.

Departments are created under Company >> Departments.

Employees and their default pay % allocation can be assigned to departments under Employees >> Details >> Departments.

If a pay's departmental % allocation changes you can edit the department's allocation for specific pays under Pays >> Edit Pay/s >> Dept % (at the top of the window).

You can edit departmental % allocation for multiple pays/employees at once under Tools >> Retrospective Tool.

If you use shifts these too can be allocated to a department, under Employees >> Shifts, when editing a shift.

The best way to run reports for departmental pay data is via the Custom Reports area under Reports >> Pay Report Builder. Simple design your ideal report by selecting the appropriate columns and tick the box to Group by department.