long service leave

Hi

1.Yes it is gross payments

2. Yes you still accrue all leave when on any type of leave

3. the expense account I suggest would be named-  leave accrued - no doubt you would be doing the same for annual leave - so

CR liability ( provision for leave)

DR expense ( leave accrued)

Hope that helps

Lisa

Hi Lisa,  

Are you saying that the DR expense ( leave accrued) is a totally separate account from normal wages?

On a payslip under entitlements for long service leave accual what should the account number be:- wages or a new account called leave accrued?

Thanks.

Hi

Yes I am saying that it should be shown seperately when you are accruing it ( not when you are paying it as it is then a wage category)

You would not be able to reconcile your eofy wages if you accrue entitlements to a wage account.

It is an entitlement - there is no corresponding account associated with it , hence you do the journal to include the provision for it in the Balance sheet - the offset being the accrual in the Profit and loss

If you were to look at the journal of one of your payroll entries you will see that there is no recording in the gl of entitlements - just in the employee card.

Hope that makes sense

Lisa

Hi Lisa , 

Thank you for your patience.

On a payslip:-

Under entitlements

Long Service Leave Accrual - should this be normal wages or a liability account. From what I saw on MYOB online it is wages???

Cheers