The Book-keepers Forum (BKF)
The Book-keepers Forum (UK) -> General Book-keeping & Accounting -> messy accounts
Post Info TOPIC: messy accounts
Nimac


Senior Member

Status: Offline
Posts: 137
Date:
messy accounts
Permalink  

I have been bringing the books up-to-date on a business for a client that started about 2 months before he contacted me.

The method of bookkeeping he employed was fairly erractic so i have had to do a lot of digging around to balance everything - not a lot of fun!!!

It turns out he guessed his staffs net wages for the first few weeks so some weeks he underpaid and some he overpaid. I have used a payroll software package to work out the correct wages.

My question is how do i account for this - do i ask the owner to either repay or take back wages from his employees now or do i let things run as they are until payroll year end and balance it out then.

Thanks.



__________________
Julie


Senior Member

Status: Offline
Posts: 301
Date:
Permalink  

Hi,

I would make the necessary adjustments to get back on track.  Unfortunately from what you say some of his employees are going to be in for a shock !  better to sort it out now than at the end of the year.

Good luck.

Julie

 



__________________
Nimac


Senior Member

Status: Offline
Posts: 137
Date:
Permalink  

Yes, you're right Julie.

I'll let the owner know tomorrow. Should be fun.

Thanks.

Nigel.

__________________
AccountantsCircle


Senior Member

Status: Offline
Posts: 164
Date:
Permalink  

With the correction, it may be easier to do this adjustment with the next pays to bring it on track.

Hopefully there won't be too much discrepancy, and if anyone is getting a significant cut taken it may be worth spreading this over several pay period.

It's probably worth the owner being completely up front that errors were made, and letting the staff just how their next pay may be affected (and providing everyone with correct payslips for the past periods).

Those that have been underpaid can be sorted straight up, but any that were overpaid should be made aware - hopefully none will have a problem with it.

__________________

John Gesch
The Accountants Circle
Online Tools & Excel Templates | Online Map Directory | Accountant & Bookkeeper Blogs
Page 1 of 1  sorted by
 
Quick Reply

Please log in to post quick replies.
The Book-keepers Forum (UK) -> General Book-keeping & Accounting -> messy accounts
Tweet this page Post to Digg Post to Del.icio.us
Members Login
Username 
 
Password 
    Remember Me  
©2007-2024 The Book-keepers Forum (BKF). All Rights Reserved. The Book-keepers Forum (BKF) is a trading division of Bookcert Ltd. Registered in England Company Number 05782923. 2 Laurel House, 1 Station Rd, Worle, Weston-super-Mare, North Somerset, BS22 6AR, United Kingdom. The Book-keepers Forum and BKF are trademarks of Bookcert Ltd. This forum is a discussion forum only. There will usually be more than one opinion to any question and any posting should not be viewed as a definitive solution. No responsibility for loss occasioned to any person acting or refraining from action as a result of any posting on this site is accepted by the contributors or The Book-keepers Forum. In all cases, appropriate professional advice should be sought before making a decision. We reserve the right to remove any postings which are offensive, libellous, self-promoting or engaged in covert marketing. We will not notify users of removals. The views expressed in the forum posts are those of the individual and do not necessary reflect or agree with those of The Book-keepers Forum. Any offensive or unsuitable posts will be removed by the moderators. Any reader of this forum can request for a post to be looked into by sending an email to: bookcertltd@gmail.com.

Privacy & Cookie Policy  About