You can use salary information from a pay run to create a Salary Journal report. If you use an accounting product, you can import the report as a journal transaction. This can save you time and reduce processing errors.
This article explains the following:
The Salary Journal report lists the payments and deductions you made for a pay run. We divided the report into categories. Each category is from your pay run. The system matches these to a nominal code in your accounting product.
You can see salary journal information for any completed pay run.
The values for each category are from the pay run. They match the pay run at the time you generate the report. If you then change the values in the pay run, the report does not update.
First, match payroll information to nominal codes in your accounting product.
To do this:
From Settings, select Set Up Salary Journal Report, then Link nominal codes.
Select which Profit & Loss and Balance Sheet nominal codes to use for each of the categories in the list.
You can update your nominal codes and re-run the Salary Journal report. The report uses the most recent nominal codes. You see these on both the new reports and your historic Salary Journal reports.
These steps can vary depending on your accounting product.
In Sage 50 Accounts:
The chart of accounts lists your nominal codes. These group into Profit and Loss and Balance Sheet categories. You can use the table below to ensure your nominal codes show in the correct area.
| Nominal code | Name | Report | Report section |
| 2210 | PAYE | Balance Sheet | Current Liabilities |
| 2211 | Other taxes to pay to Revenue | Balance Sheet | Current Liabilities |
| 2212* | Universal Social Charge | Balance Sheet | Current Liabilities |
| 2216* | Local Property Tax (LPT) | Balance Sheet | Current Liabilities |
| 2220 | Net Wages | Balance Sheet | Current Liabilities |
| 2230 | Pension | Balance Sheet | Current Liabilities |
| 7000 | Employee Cost | Profit and Loss | Overheads |
| 7006* | Employers PRSI | Profit and Loss | Overheads |
| 7007 | Employers Pension | Profit and Loss | Overheads |
| 7009 | Other Deductions | Profit and Loss | Overheads |
* These nominal codes aren't in the Sage 50 chart of accounts by default. If they are missing from your chart of accounts, you need to create them before you can import a salary journal.
For more information, read our help article Creating nominal codes in Sage 50 Accounts (opens in a new tab).
You can export the salary journal once you've completed a pay run. If you've completed more than one pay run, you can choose which one you want to export.
You can export the same information from Payroll more than once. If you import the same salary journal, it duplicates the transaction.
To export the report:
Once the pay run information saves as a report, you can bring it into your accounting product.
If you don't use Sage 50 Accounts, contact your software provider for help with this step.
By default, Sage 50 Accounts uses T9 as the non-vatable tax code. If you have changed it, you must edit the export file. Replace T9 with the tax code you are using.
To check the non-VATable tax code in Sage 50 Accounts:
From Settings, select Company preferences, then select the VAT tab
To import the report into Sage 50 Accounts:
Check the summary information is correct, then select Import or Finish.
If successful, a list of transactions imported appears in the Record Imported pane. Select Close.
If the Data Import wizard validation identifies any issues with your data, nothing imports. A message appears to explain where in your file the issue is. You can edit the data in your import file to correct the issue. Then close the file and run the Data Import wizard again.
Once the journal appears in your accounting product, you need to create bank payments. These show you've paid your employees and Revenue.
To do this in Sage 50 Accounts:
Select Bank accounts, then select the Payments drop-down, then Bank payment.
| Bank | Date | Nominal code | Details | Net | Tax code | Tax |
| Bank Nominal code | Transaction date | Net wages, for example 2220 | Wages | Net wages value | T9 | 0.00 |
Select Save then Close.
Enter the relevant details on the Bank Payments window.
These bank payments should always use the non-VATable tax code, which is T9 by default. This ensures they don't appear on your VAT Return.
Create more bank payments for PAYE, PRSI, USC, pensions, and student loans as required.
You can change your nominal codes after running the salary journal report. Running the reports again uses the new nominal codes. Historical salary journal reports use the new nominal codes too.
You can also make a correction to a pay run. The figures in the Salary Journal report update the next time you generate the report. You can see the original figures if needed by checking the audit trail.