The division of labor rules allow you to split out the payroll of an individual employee who performs more than one type of labor into separate classification codes. This can save money if one class code is less expensive than the other. However, your records must show the exact amount of hours and payroll allocated to each classification code. The auditor won’t accept a mere estimate on a percentage break out basis. Also, be aware that you’re not allowed to split payroll for an employee into non labor classification codes such as clerical, outside sales, driver, or executive supervisor