An employee recently admitted to stealing some petty cash and we have deducted the amount from his final salary pay. Now I am not sure how to do the postings in Sage??
And then put the remaining net wages amount through the bank as usual? That is what I thought but then I was not sure what effect it may have when I come to do the wage journal :/
Had you already credited the missing money from petty cash? If not then your last posting is the way to go.
Your wages journal would look something like this:-
DR Gross wages £500 DR Er's NI £ 20
CR Net wages £400 CR PAYE, NI £120
Then if you deduct say £20 from the net wages to pay back the petty cash, when you make the wages payment you Cr Bank with £380 and Dr Net wages £380, thus leaving £20 in net wages nominal.
You can then DR net wages £20 and CR Petty cash £20.
