Payroll Premier - Accrual basis versus cash basis

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Kyne Larkin_7676900
Kyne Larkin_7676900 Member Posts: 1 ✭
edited August 2016 in Payroll Premier
Hi all, 

We're in Australia, using the 2015/16 Payroll Premier software for, um, payroll. 

We pay our staff fortnightly, but I keep having the same argument with my Admin staff regarding the accrual / attribution period of this. For example, our pay run on August 3rd was for hours worked wholly in July, so I obviously want to incur that expense in July. 

However, my Admin tells me that Payroll Premier only works on a Cash Basis, not an Accrual basis. Any ideas on how I can sort this once and for all please?

Many thanks in advance

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  • Mirko
    Mirko Alumni Posts: 1,256 ✭✭
    edited November 2015
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    Hi Kyne, welcome to the Community. The ATO deem pay to be earned on date it was paid, regardless for what period it covers.

    On the question of Accrual or Cash Basis Accounting, this is considered in your Accounting Package, not payroll. Also this impacts Invoices & Bills you have sent and received, not necessarily expenses. For further clarification please reach out to your Accountant.

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