| | Record payroll payments to HMRC |
| Description | When you make your monthly or quarterly payment to HMRC, you need to show this in your accounts. This is so you can reconcile the payment in your bank. The amount you owe reduces and will show on your reports. When you create the payment, you'll need to record it against various ledger accounts. How you record this depends on the payroll system you use: - If you use Sage Payroll, you can enable integration with Accounting to post this automatically
- If you use any other software, you must do this manually by posting an Other Payment or a Journal.
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| Resolution | Using Sage Payroll In Sage Accounting, you can enable Payroll integration and choose your settings. Accounting creates a journal using the default ledger accounts set up in Accounting. If you want to record the journal using your own ledger accounts, you need to create a manual journal instead. You may also want to do this if you require more detailed reporting. For more information, read Integrate Payroll with Accounting. Other payroll systems ▼Record HMRC payments as a Bank Payment - From Banking, open the required bank account.
- Choose New Entry. Select Purchase / Payment.
 NOTE: In Accounting Start, choose New Entry, then Money out. - Choose Other Payment then enter the date for the payment.
- Enter the amount paid to HMRC.
- Add separate lines for tax, national insurance, and any student loan payments, if applicable.
- Select Save.
| Ledger Account | VAT rate | | 2210 - PAYE to pay to HMRC | No VAT | | 2220 - NIC to pay to HMRC | No VAT | | 2230 - Student Loans | No VAT | | 7050 - Other Deductions | No VAT | ▼Record HMRC payments as a Journal To do this, you need to create the following journal: | Ledger Account code | Ledger Account | Debit | Credit | | Code used for the bank account | Bank account | | Credit | | 2210 | PAYE to pay to HMRC | Debit | | | 2220 | NIC to pay to HMRC | Debit | | | 2230 | Student Loans | Debit | | | 7050 | Other Deductions | Debit | | If your business uses Employers NI allowance, you can include the following two lines: | 7020 | Employers NI | | Credit | | 2220 | NIC to pay to HMRC | Debit | | |
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