How do I record my employees’ salaries in Zoho Books?

You can record your employees’ salaries by creating an expense or a manual journal.

Record Employee Salary as an Expense

• Go to Purchases on the left sidebar and select Expenses.
• Click + New in the top right corner of the page.
• Select the Expense Account. For example,say Salaries and Employee Wages.
• Enter the other necessary details.
• Click Save.

Record Employee Salary as a Manual Journal

• Go to Accountant on the left sidebar and select Manual Journals.
• Click + New Journal in the top right corner of the page.
• Fill in the required details.
• Debit the expense account (Salaries and Employee Wages in this case) and credit the bank account from which salary is paid.
• If the employee’s salary contains components such as TDS, EPF, and ESI,you have to create individual accounts (in Chart of Accounts) for each component with account type as Other Current Liability.
• Click Save and Publish.