Accounting for Payroll
Payroll transactions can be among the most complicated that an organization records, and they happen as often as weekly. With MonkeyPod, however, recording your payroll is a snap.
To record a payroll transaction, select "Payroll" on your Transactions navigation menu. You will be prompted to enter the following information:
- The date of the transaction
- The bank account from which your payroll service withdrew funds
- How much went toward the following categories:
- Employee compensation (i.e. wages, salaries, and (don't forget!) withholding)
- Employee benefits (e.g., employer contributions to a retirement fund or health insurance)
- Employment taxes (i.e. the employer's portion of payroll taxes such as Social Security or Medicare)
- Payroll processing fees (i.e. any fee charged by your payroll service)
- A class for the transaction's expenses
If some categories don't apply to a particular transaction, simply exclude them. The total of the expenses should equal the full amount that was withdrawn from your bank account.
To make things even faster and easier, MonkeyPod allows you to set default accounts for each payroll expense category. An organization administrator can configure these under Automated Bookkeeping in the organization navigation menu.
Hiding Sensitive Information
Even though payroll transactions don't typically show how much was paid to each employee, some organizations prefer than only a select few employees have access to them. MonkeyPod allows you to configure specific permissions for payroll transactions that can be different from those that apply to transactions in general.