Articles Blog
Bookkeeping – Recording Work Experience
- Details
-
Published on Tuesday, 29 January 2013 19:16
Helped a client, Pat, today with this entry task:
Work experience is usually short period and usually is not worth the time and paperwork to set up as a proper employee. You can claim small amounts of work experience for up to a hundred or so dollars per person, but be careful as technically all money should be paid as wages, even if no tax is taken, and the student is supposed to declare the full amount on tax return (if eligible) and pay tax later.
- Use Spend Money (Ctrl+H) in MYOB or Write Cheques (Ctrl+W) in Quickbooks
- Check which account the payment was from (cheque, petty cash) and use at the top
- Enter date of payment
- Amount of payment
- You can create a card if you want, or else it’s easier in the MEMO: Type - Work Experience (Name of student)
- Account to allocate: Usually need to create a new account “Work Experience”, check the account list and decide where to place it by which number to use, maybe near the employee wages, or just alphabetically in the whole expenses area (6.xxxx)
- Use N-T code or delete any code as no tax applies
- Save recurring (bottom left) so you have it for another time, ready to go (can just change the name in the memo for other students next year etc)
- Record.
