Payroll coding

Julie C

Good morning community,

I have paid an employee which was coded to gross wages. The payment was returned due to a change in the employees banking details. I have since paid the amount to the correct bank account and processed this as a cheque payment coded to Payroll Expense:Gross Wages. This adds the figure effectively twice to gross wages which is showing up on my P&L.

Is this the best way to process the payment?

Thanks

Kris_Williams

I would simply post the replacement cheque to a clearing account - not process through wages, and post the return also to the clearing account

Julie C

Thanks so much Kris, problem solved 😊