Wages Journal/SMP Postings

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columbia
columbia Registered Posts: 580 Epic contributor 🐘
in Chat and off-topic discussion
Hi All

Hope you are well.

I am getting myself into a bit of a pickle posting SMP in Sage.:confused1:

So as not to confuse my poor addled brain any further I live in hope that someone with Sage experience could kindly inform me of the correct nominal codes to use when posting SMP - I have never had to deal with maternity pay before.

Currently when posting via the Nominal link in Payroll to Sage accounts, it seems to have defaulted to 2211 (NI) as a Credit and 7011 SMP reclaimed as a Debit. However my 2211 account is showing a large credit balance (mainly due to the SMP posting), and as I have just made a payment to HMRC I assume that the 2211 account must be incorrect.

I'm probably over confusing a simple task (nothing new there), but any advice is as always very gratefully received.

Thanks
Tracy

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  • GILL
    GILL Registered Posts: 31 Regular contributor ⭐
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    I haven't got any recent SMP entries to check through however I think the two entries have been reversed.

    Assuming that 7011 is one of your Wage Expenses nominals then this should actually be credited (as money paid to the employee is being reclaimed so the expense should be reduced) and the debit should go to 2211 to reduced the liability due to HMRC.

    Hope this helps. I always find that whilst the nominal link is great when it works is does take a lot of thinking through to actually get it right.
  • columbia
    columbia Registered Posts: 580 Epic contributor 🐘
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    Thanks Gill

    That was very helpful, I will reverse the postings tomorrow and reset the nominal link to post correctly in the future.

    As the wages expense was showing as a debit entry I assumed it was correct, I didn't think about the expense being reduced.

    You have been a great help! :001_smile:

    Thanks a lot

    Tracy

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