Hi wattleandbee,
Welcome to the Community Forum! It's great to have you join us.
The Electronic Clearing Account (ECA) is a temporary account used to record transactions before they are cleared in your bank account. When you make a pay run, the amount is deducted from the ECA and should be balanced out when you record the actual payment from your bank account to the ECA. If your ECA shows a negative balance, it suggests that there are transactions that have been recorded but not yet cleared.
As for your question about changing the pay run to draw the pay directly from the employee's wages expense account, it's not typically recommended. However, every business is unique, and these are general guidelines. For specific advice tailored to your business, it's best to consult with your accountant. For more information, please refer to the Help articles and posts below that will provide you with some guidance in this matter:
Feel free to post again if you need further assistance.
If my response has answered your inquiry, please click "Accept as Solution" to help other users find this information.
Cheers,
Princess
