Procedure For Logging and Paying Employee Expenses

Hi,

Can you please show me how (or direct me to another thread) that could help me on how to log employee expenses and get this paid monthly?

I assume that I would need to make a Purchase for all the expenses and the employee as a supplier? Then pay my employee via my bank and tag this transaction to that Purchase?

Many Thanks

Hi @ahmedmia

This actually came up on our old forums. Although it’s no longer online, I have managed to find this link to the thread which may be of some use:

https://web.archive.org/web/20160101175305/http://www.qfaccounting.co.uk/detail.aspx?id=3801920

Of course, if you have any further queries relating to this, please let us know.

I’d go for the bank account approach if I’m just reimbursing the employee for things they bought on behalf of the business - log each expense as a normal purchase paid from a fake “expenses” bank account, then the reimbursement is just tagged as a transfer to the same account. Or if the reimbursement is part of your payroll run then you could account for it in the payroll journal (debit the “expenses” bank account and add the equivalent amount to the net wages credit, to be balanced off when you pay the employee their wages+expenses).

NB I’m not an accountant, ask yours if you want to be sure

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Thanks guys. much appreciated.

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