Wages

System

Hi everyone

I know this has been dealt with before but I just want to make sure it's clear in my head :?

Gross pay - Dr Gross wages Cr wages control

Net pay - Dr wages control Cr bank

PAYE - Dr wages control Cr PAYE/NIC creditor

EE Nic - Dr wages control Cr PAYE/NIC Creditor

ER Nic - Dr wages control Cr PAYE/NIC Dr gross pay Cr wages control (I don't get why this has to go through twice?)

EE Pension contributions - Dr wages control Cr Pension (is this the wrong way around?)

ER Pension contributions - Dr wages control Cr pension (or is this the wrong way around?)

Let me know if Im ok

Gem

System

Re:Wages

Hi - the following is a link to the last time I posted this (with numbers to hopefully make it easier to understand).

Pension would be debit P&L Pension Account with Er's Pension contribution (ee's element of the cost is part of the gross wage posted to P&L and not therefore shown separately) and Balance Sheet would be creditted with Ee's & Er's Pension contribution to balance (as the Wages Control Account is the net amount paid and you have taken the pension from the employee to pay over on their behalf).

Hope this helps.

Rgds

T

http://www.aat.org.uk/forums/posts/list/10005.page