wages with subsistance

cashy

can anyone please help how would you post wages with subsistence

sdv

Travel expenses and subsistence are either taxable or non-taxable. In both cases this will have to be declared on P9D or P11D, unless a dispensation has been claimed and received from HMRC.

http://www.mooregreen.co.uk/pages/t&s_win07_moore_green.pdf

Assuming that the travel expense subsistence claim is paid through wage payslip:

Debit Travel expenses
Credit Subsistence control account: (this a/c should be zero at the period end)

Debit Gross wages expense a/c
Credit Payroll Control account

Debit Employer’s NI expense a/c
Credit Payroll Control a/c

Debit Subsistence control a/c
Credit Payroll Control account

Debit Payroll Control account
Credit Paye/Nic Payable account

Issue cheque to an employee (wages + subsistence)

Debit Payroll control account (this a/c should be zero at the period end)
Credit Bank a/c