I'm using sage instant accounts, and wanted to entering in directors wage payment on it. And I wonder if anyone could advise how to do it?. I'm guessing it's the bank payment button, but just wanted to make sure.
Yes, assuming you are talking wages as in his normal payment, net of income tax etc, and the payroll journal is separately posted, then you would use the bank payment button, and post the amount to the nominal code you use for your net wages control account. (Often 2220).
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Vince M Hudd - Soft Rock Software
(I only came here looking for fellow apiarists...)
Debit 7000 or 7001 Gross Wages (7001 is, strictly speaking, the Directors one)
Debit 7006 Employers NI if there is any
Credit 2210 Tax NI and Employers NI (Strictly speaking its 2211 for the NI but as both are paid together these days I see little sense in seperating them.
Credit 2220 Net wages
When the Director is paid you code it to 2220 as Vince says and when tax and NI is paid you code it to 2210, which effectively clears both these nominals for those transactions.
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John
Any advice given is for general guidance and professional advice should be sought applicable to your circumstances.
I understand your misunderstanding though, because I should have put Tax, employees NI and employers NI. (I'm thinking back to before the introduction of Employers Allowance, but it will become relevant again in April for Sole Directors without employees.
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John
Any advice given is for general guidance and professional advice should be sought applicable to your circumstances.