Home For AAT student members AQ 2013 AAT Level 2 (Level 5 in Scotland)
Current updates regarding coronavirus (Covid-19) and the precautions AAT are taking will be continually updated on the below page.

Please check this link for the latest updates:
We hope you are all safe and well and if you need us we will be here. 💚

Wage Control A/C - Account type

Danielle MiltonDanielle Milton Settling In NicelyRegistered Posts: 23
I'm going over my books and I cannot figure out what type of account the Wage Control falls into. I know the DR & CR rule:


I'm just having a hard time figuring out where the Wage Control falls in this category. Can anyone advise?


  • CeeJaySixCeeJaySix Well-Known Registered Posts: 645
    Generally it will be a liability, but sometimes it could be an asset.

    Once payroll is processed, the expense is debited to the P&L and the liability is cr to wages control - it is a liability as it has not yet been paid, but is owed.

    When the payments are made to staff and HMRC, the cr to bank is set against a dr to wages control.

    It could be an asset where for example amounts are due FROM HMRC eg. SSP, SMP. I wouldn't worry too much about that at this level.
Sign In or Register to comment.