End of Year Xero Payroll Tips

End of Year Xero Payroll Tips

With the year end fast approaching it is time to think about your employees’ payment summaries.
To avoid busy time the end of financial year, here are some tips on what you can do now to prepare for the things that are due soon.
Auto Super
For Xero Payroll users and use auto super to pay your employees’ super contribution, it is suggested that to submit batches by no later than 1pm Monday 22 June. So the payments should be able to reach the super funds before 30 June and it is tax deductible for your business.
Payroll Reconciliation
It’s also a good time to reconcile Xero Payroll to the General Ledger. To do this you need to generate a Payroll Activity Summary Report, then compare it with your General Ledger transactions. The total figures for earnings, tax amount and superannuation should match on both reports. If not, there are normally some common mistakes can happen:
1. Payroll is higher than what’s showing in the General Ledger.
Reason– this problem may be due to a draft bill hasn’t been created for all your pay runs.
Solution– go and check if any pay runs that need a draft bill, if any omitted, just create them.
2. The General Ledger is higher than what is showing in Payroll Summary.
Reason– duplicated draft bills have been created, or other transactions have been reconciled to the payroll account, or payments have been coded to the wages expense account rather than the wages payable account.

Solution– delete the duplicated draft bill, delete or void an invoice or credit note, or edit the spend money transactions.

If you need any help on Xero, please give us a call on 08 8337 4460 or visit our office on 202 Gorge Road Newton.

Break free with Tax Accounting Adelaide Services call us on 83374460

More than just Bookkeeping, Bas returns and Tax returns – At Tax Accounting Adelaide we use accounting to grow your business

At Tax Accounting Adelaide we can help your Business use accounting to grow your business

Online Calendar by vCita