Paying gratuity / tip

Accounting
1

Hi,

I would like to pay (a self-employed electrician) a gratuity for some exceptional work he has carried out. What is the best way to record this? Add a line item to the Purchase Details, but what category?

Thanks

W.

2

I don’t think it needs to be posted to it’s own code, you could likely just post it to the same category the main purchase is posted to. That’s just my 2p’s worth, I’m not an accountant though.

3

Hi Glenn,

After asking that, I realised the category would remain the same.

I guess I should have asked if there was an “Accounts way” as it may look a little odd to an HMRC inspector that an invoice was for X and I’ve paid X+Y.

Thanks