Hi,

I am a new bookkeeper and was instructed to clear or allocate wages payable from Shareholder loan.  I was told to clear it to payroll and pay tax on it but I am not sure how to enter this in Sage.  I cannot post it as payroll, as Shareholder loan is not on my drop down accounts.  Can I use this option to calculate taxes that would be owed and then enter this as a general journal entry dr. wages and salary, cr. shareholder loan and income tax deducted?  Plese advise me on the best way to clear this loan and the transaction(s) needed to do so.

Gratefully,

Margie