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THEME: PAYROLL By John W. Day, MBAACCOUNTING TERM: Payroll Clearing Account A payroll clearing account is a general ledger account that is normally set up in the asset section of the balance sheet.

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Examples of Clearing Account It is a zero-balance account. All the salaries are kept aside and transferred to this account before disbursing it to the employees. When the salaries are paid on a specific date, the account has a zero balance.

A clearing account, also known as a wash account, is a temporary account in which the funds are kept to get smoothly transferred to the required account when the transfer cannot be done directly from one account to another.

A clearing account is a general ledger account that is used to temporarily aggregate the amounts being transferred from other temporary accounts.

A Clearing Account is an account that you use to move money from one account to another account when you cannot move the money directly. This account normally has a balance of $0.00 because you always take out the same amount that you put in. It may also be called a Barter or Wash Account.

Reconcile Clearing Accounts Enter, transfer, upload, and post clearing account journal lines containing reconciliation references. Run the automatic reconciliation process. ... Run the Unreconciled Transactions report to analyze why journal lines weren't reconciled during automatic reconciliation.

Paying employees It is created under your Wave Payroll Clearing account, and is categorized to Payroll Liabilities. This transaction represents the amount Wave has withdrawn from your bank account i.e. you are paying the money that you owe to your employees, so the Payroll Liabilities should be reduced.

A payroll clearing account is a zero-balance account that you use to record and monitor your payroll. No funds remain in the account after all the checks clear. The account in this scenario is typically a bank account specifically used for holding funds for a temporary amount of time.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232
Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232