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supervandad
Level 1

paying your self a wage. how do you categorise paying your self wages.

hello. I'm new to this I need to start paying myself a wage on fix date. also, I will need to start paying back to myself the start-up cost. 

 

I want to do X amount for wages every week. 

then X amount for paying back what I stuck into the business every week. 

 

how can this be done? like a standing order to yourself. and how would you categorise it? ( expenses ?) 

Solved
Best answer April 09, 2022

Accepted Solutions
GebelAlainaM
QuickBooks Team

paying your self a wage. how do you categorise paying your self wages.

I've got your back, @supervandad. I'd be glad to walk you through on how you can pay yourself a wage.

Let's create first an owner's draw account, which will be used to monitor withdrawals from the company's assets to pay yourself as the owner.

Here's how:
 

  1. Go to the Accounting menu and select Chart of Accounts.
  2. Select New.
  3. Choose Equity as the Account Type.
  4. Click the Owner's Equity.
  5. Add a name for the equity account and then enter an opening balance.
  6. Then hit Save and close.
     

Then, let's pay your wage using that account:
 

  1. Click +New.
  2. Choose Cheque.
  3. Enter the bank account your fund will be withdrawn.
  4. On the Account field, select the equity account we set up.
  5. Then select Save and close.
  6.  

You can refer to this article for more insights: Salary or Draw: How to Pay Yourself as a Business Owner

In case you want to review the cheque, we can run the Check Detail report.

Here's how:
 

  1. Go to the Reports tab.
  2. Type in Check Detail on the search bar.
  3. Customize the filter of the report if needed.
  4. Then Run report.
     

You may always compose your response by hitting the Reply button if you need more information on managing your business salaries. You can enlist my help if you need it. Have a wonderful day!

View solution in original post

1 REPLY 1
GebelAlainaM
QuickBooks Team

paying your self a wage. how do you categorise paying your self wages.

I've got your back, @supervandad. I'd be glad to walk you through on how you can pay yourself a wage.

Let's create first an owner's draw account, which will be used to monitor withdrawals from the company's assets to pay yourself as the owner.

Here's how:
 

  1. Go to the Accounting menu and select Chart of Accounts.
  2. Select New.
  3. Choose Equity as the Account Type.
  4. Click the Owner's Equity.
  5. Add a name for the equity account and then enter an opening balance.
  6. Then hit Save and close.
     

Then, let's pay your wage using that account:
 

  1. Click +New.
  2. Choose Cheque.
  3. Enter the bank account your fund will be withdrawn.
  4. On the Account field, select the equity account we set up.
  5. Then select Save and close.
  6.  

You can refer to this article for more insights: Salary or Draw: How to Pay Yourself as a Business Owner

In case you want to review the cheque, we can run the Check Detail report.

Here's how:
 

  1. Go to the Reports tab.
  2. Type in Check Detail on the search bar.
  3. Customize the filter of the report if needed.
  4. Then Run report.
     

You may always compose your response by hitting the Reply button if you need more information on managing your business salaries. You can enlist my help if you need it. Have a wonderful day!

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