Total Payroll Expense Journal Entry

Ensure that all appropriate payroll accounts are set up before entering this journal entry.

TIP: Set up a recurring journal entry for this transaction. It could save time since you will be recording the same journal entry for each pay period.

1. Select G/L > Post Journal Entries.

2. The Post General Ledger Journal Entries window appears. Click Add.

3. The Post General Ledger Journal Entries - Add window appears. Do the following:

1. Set Type of Entry to Cash Disbursement.

2. Ensure that the correct account is selected for Account Number. Use the Payroll Operating account if you use a different operating account to handle payroll. Otherwise, select the Operating account (11010.00).

3. For Payee, select your payroll solutions vendor.

4. For Date, enter the date of the payment to the payroll solutions vendor as reflected on the bank statement.

5. For Amount, enter the total payroll expense for the pay period. This entry should equal the amount of the EFT/wire to the payroll solutions vendor.

6. Include the payment date and pay period in the description. (This will help you search for the transaction later if needed.)
   
   

4. Select the JE Details tab.

1. The credit is automatically recorded against the Payroll Operating account or Operating account (11010.00).

2. Record the debit against the Payroll Liability account (21029.00).
   
   

5. Click Done to save the transaction.