Process: Payroll – Payday

The word Payday circled in red marker on a calendar to remind you of the date you receive your wages, income and earnings so you may budget your finances

Why not do a payroll accrual today and estimate the last day of the month – just copy the prior day – assuming that it will be similar. If that makes you uncomfortable, then use the prior day and add a few minutes to everyone’s hours just to make sure you are not under-accrued.  Or you could check with the production manager and see what the scheduled hours are for the day and see if there is any scheduled overtime.  You are pre-approving overtime, right?  If not, that’s another topic.  For some companies this might be impossible if you have multiple divisions across different time zones or countries.  It is really just an estimate. Everyone assumes that accounting is this precise, super-accurate function and in the real world that is just not true.  There are estimates used all the time.  Think depreciation for the best example

Leave a Reply

Your email address will not be published. Required fields are marked *