My main question is have I done the the journal entry correctly?
Also if everything does look correct, I am a little lost on the next attachment. Why have my payroll company put the Gross NI at -£30.43, surely it would be £2.27?
Worked out: ER NI = £-16.35. EE NI = £14.08. Adding these two together gives £2.27. It seems they have not taken into account the ER NI is a - not + amount no? Or have I got this horribly wrong?:)
I'm no payroll expert, but it seems to me that on the payslip info the employee's NI figure and the employer's NI figure have been reversed. It looks like there is a refund of NI and that isn't right? Also the amount of the employee's NI doesn't look right compared to the amount of the monthly wage?
The total amount of employee's and employer's NI should be a credit (liability to be paid to HMRC) but the employer's NI should also be a debit (expense to the company). In the second spreadsheet where it shows (30.43) there is a little green triangle which suggests that the formula in this cell is different to the ones in the cell next to it, might be worth checking?
With regard to the journal, on the face of it, it looks ok in as far as you have posted the correct debits and credits, but I would double check the figures. Also, as this pay run relates to March month end I would date the journal 31/03/11.
In the meantime, perhaps someone with more payroll knowledge will come along and have a look
Pauline
-- Edited by Stardoe on Sunday 10th of April 2011 04:36:17 PM
