Accruals
amber_10865555
Member Posts: 10 Novice Member
Should I include child support payments in my monthly accruals? My predecessor did not include, and curious if there is a reason why you shouldn't. Thank you.
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Comments
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The Gross Wages (incl PAYG) is what the employer has paid & is included in the financials (Profit & Loss). Child Support - whilst usually calculated on gross - is a net deduction (after tax) so is not an additional “expense” to the employer.
HOWEVER, it is still a liability - that the employer owes (for on-payment to Services Australia) - so yes, it should be shown in the financials (on the Balance Sheet) ☺️
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@shaz thank you for your reply, much appreciated.
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