For simple standard payroll entry into Quickbooks Online do the following journal entry:
- Payroll Clearing: (Current Liabilities) Credit the amount of the payroll and enter a description e.g. Wages and Salary for pay period ending 03/03/2021.
- Wage Expenses: (Expensses) Debit the total gross payment amount and enter a description e.g. Wage Expenses for pay period ending 03/03/2021.
- TOTAL GOVT & SUPER LIABILITIES:PAYG Withholdings Payable (Current Liabilities) = Credit the PAYG withholdings from the payrun and enter a description e.g. PAYG Liability for pay period ending 03/03/2021.
- Superannuation (Expenses) = Debit the total superannuation from the payrun and enter a description in the description field e.g. Superannuation expense for pay period ending 03/03/2021.
- TOTAL GOVT 7 SUPER LIABILITIES: = (Current Liabilities) Superannuation payable = Credit the total superannuation from the pay run (entered for superannuation above) and enter a description e.g. Supperannuation liability for pay period ending 03/03/2021.
If using Payroller - Print a Payroll Employee Summary and enter the following from the report:
WAGE EXPENSES: Earnings
PAYG WITHHOLDING: Tax
BOTH SUPPERANNUATION LINES: Super
TOTAL EARNINGS: Into Wage Expenses
PAYROLL CLEARING: Net Pay
What journal entry would I create in Quickbooks Online to process the payroll if not using the build in Quickbooks online payroll?
For simple standard payroll entry into Quickbooks Online do the following journal entry:
- Payroll Clearing: (Current Liabilities) Credit the amount of the payroll and enter a description e.g. Wages and Salary for pay period ending 03/03/2021.
- Wage Expenses: (Expensses) Debit the total gross payment amount and enter a description e.g. Wage Expenses for pay period ending 03/03/2021.
- TOTAL GOVT & SUPER LIABILITIES:PAYG Withholdings Payable (Current Liabilities) = Credit the PAYG withholdings from the payrun and enter a description e.g. PAYG Liability for pay period ending 03/03/2021.
- Superannuation (Expenses) = Debit the total superannuation from the payrun and enter a description in the description field e.g. Superannuation expense for pay period ending 03/03/2021.
- TOTAL GOVT 7 SUPER LIABILITIES: = (Current Liabilities) Superannuation payable = Credit the total superannuation from the pay run (entered for superannuation above) and enter a description e.g. Supperannuation liability for pay period ending 03/03/2021.
If using Payroller - Print a Payroll Employee Summary and enter the following from the report:
WAGE EXPENSES: Earnings
PAYG WITHHOLDING: Tax
BOTH SUPPERANNUATION LINES: Super
TOTAL EARNINGS: Into Wage Expenses
PAYROLL CLEARING: Net Pay