PAYROLL ACCOUTING

A payroll is a type of a series of accounting system transactions dealing with the process of paying workers for services provided, later processing of the different demands for deducting of money from the worker for payment of payroll assesses, premiums, worker profits, garnishments and other discounts.

PAYROLL ACCOUNTING ENTRIES

The payroll accounting includes the calculation of gross wages (times of day worked times hourly rate of pay) and other compensation such as wages, worker charges and incentives. the payroll accounting as well involves payroll withholding tax such as medicare taxes and social security, state and federal income withholding tax and voluntary withholding tax. the voluntary with holdings include union health insurance premiums, dues, united way contributions, and contributions to retirement plans and savings.

THE PAYROLL AND PROFITS INCLUDE ITEMS ARE AS FOLLOWS:

WAGES


SALARIES


INCENTIVES & CHARGES TO WORKERS


EXTRA TIME SALARY


TAXES AND COSTS OF PAYROLL


SOCIABLE PROTECTION


MEDICARE


UNION INCOME TAX (REVENUE ENHANCEMENT)


NATION INCOME TAX (REVENUE ENHANCEMENT)

STATE UNEMPLOYMENT TAX (REVENUE ENHANCEMENT)

UNION UNEMPLOYMENT TAX (REVENUE ENHANCEMENT)

EMPLOYEE COMPENSATION INSURANCE POLICY


VACATIONS


HOLIDAYS

INSURANCE POLICY (WELLNESS, DENTAL, IMAGINATION, LIFE, HANDICAP)

PENSION ACCOUNT

PROFITS DEALING PROJECTS

Payroll taxes deducted from workers’ pay and the payroll taxes that are an extra cost of the employer are accounted as current liabilities until they're remitted to the state and federal governments and other companies.