I set up a freelance worker as a supplier, she then decided she didn't want to register as self employed and so we put her on the payroll as a casual worker. So far so good.
However, because she was a support worker we made a payment on account to the Suppliers Account. Her expenses were less than we paid but her payable hours more than compensated. Both the expenses and amount for hours have been posted to the suppliers account.
She has now been paid the wages which incurred tax and NI.
The amounts are as follows: Gross Wages: 630 Less paye of 126 and NI of 16.94 Net wages: £487.06
Expenses 205.10
Payment on account 287.50 Cheque for balance on account (expenses and wages) 404.66
The balance on the suppliers account before the wages is 835.10.
I can't journal between suppliers account and nominal accounts for wages.
How do I deal with this. I think it would be best to delete everything from the supplier account and then split the payments between the expenses and the gross/net wages.
