Payroll Liabilities (Accounting) - Explained
How to Account for Employee Payroll Liabilities
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Table of ContentsAccounting for Employee Payroll Liabilities?Accounting for Employee Payroll Deductions?Example of Accounting for Employee Payroll DeductionsEmployer Payroll TaxesAccounting for Employer Payroll TaxesEstimated Employer Liabilities for Health and Pension PlansAccounting for Estimated Liabilities
Accounting for Employee Payroll Liabilities?
These are obligations that the employer must pay on behalf of (take from employee's paycheck) or as a result of having employees (employer's obligation):
- Federal, State, and (sometimes) City Income Taxes - Withheld on behalf of the employee.
- Federal Income Contributions Act (FICA) Taxes - Covers Medicare and Social Security. Approximately 1/2 is withheld from employee paycheck and 1/2 is paid by the employer.
- Voluntary Withholdings - Retirement, Contributions, etc.
Payroll liabilities are know liabilities - you know how much and when you will have to pay.
Accounting for Employee Payroll Deductions?
The following video explains the obligations of employers with regard to employee payroll.
Example of Accounting for Employee Payroll Deductions
The below video provides detailed instructions on accounting for employee payroll deductions.
Employer Payroll Taxes
The below video explains what are employer payroll tax obligations.
Accounting for Employer Payroll Taxes
The below video provides detailed instructions on accounting for employee payroll taxes.
Estimated Employer Liabilities for Health and Pension Plans
The below video explains what are employer estimated liabilities for employee health and pension plans.
Accounting for Estimated Liabilities
The below video provides detailed instructions on accounting for employer estimated liabilities.
- What are Current Liabilities? – Financial Accounting
- How to Record Accounts Payable (Liability Accounts)? – Financial Accounting
- What are Notes Payable? – Financial Accounting
- What are Employee Payroll Liabilities? – Financial Accounting
- Estimated Liabilities (Warranties) – Financial Accounting
- What are Contingent Liabilities? – Financial Accounting