• How to Record Employee Salary 
• How to Record post-dated salary 

How to Record Employee Salary

Create the following accounts:

• Wages & Salary (Expenses)
• CPF (Expenses)
• CPF Payable (Liability) - Employer + Employee

To record, go to: Transactions > Journal

The entry will be:

• Credit - Bank account
• Debit - Wages & Salaries
• Debit - CPF
• Credit - CPF Payable

How to Record post-dated salary

Example of a Scenario:-

Salary expense incurred for December but only paid out on 7th January.  As such, I will record salary payable as a journal entry in Dec 2020 but will subsequently record as a salary expense in Jan 2021. Please advise step by step guide.

Example: 

Employee has a base salary of $5000,

Employer CPF will be: $850

Employee CPF will be: $1000

Total Employer + Employee CPF will be $1850

 Create the following accounts:

• Wages & Salary (Expenses)
• CPF (Expenses)
• CPF Payable (Liability) - Employer + employee
• Net Salary(Liability) Amount payable in January

 The entries will be:  

Record the transaction in December: Go to > Transactions > Journal

Record the transaction in January (salary payable to the employee in January): Go to > Transactions > Withdrawals

Record the transaction in January (payable to CPF in January): Go to Transactions > Withdrawals