Payroll-Related Accounts

When you process payroll, the Payroll application posts to a number of General Ledger accounts. To make these postings, the Payroll application requires that these accounts be set up in your Chart of Accounts, and associated with the Payroll application in Payroll Settings.

You can use default Payroll-related accounts already established in the standard Chart of Accounts, or create new accounts from Accounting > Chart of Accounts to meet the needs of your enterprise.

Whether you use the default accounts, or create new accounts to use, you must associate these accounts to the Payroll application from the Payroll Setup form and the Payroll Withholding Setup form.

If you change any account in your Chart of Accounts after you begin processing payroll, remember that you must also change the account on the setup form on which you specified the account. For example, if you change the Salaries Payable account in Accounting > Chart of Accounts, you must specify this new account in the Salaries Payable Account field on the Payroll Setup form.