# How do I pay salary and Directors Loan Account

**URL:** <https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648>\
**Category:** Uncategorized\
**Created:** [May 2, 2016, 6:05pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648 "2016-05-02T18:05:11Z")\
**Posts on this page:** 6\
**Page:** 1

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**Author:** ![dalacor](https://avatars.discourse-cdn.com/v4/letter/d/7bcc69/32.png) [@dalacor](https://forum.manager.io/u/dalacor)\
**Post date:** [May 2, 2016, 6:05pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648/1 "2016-05-02T18:05:11Z")

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I need to pay back what I owe on the DLA account and I need to pay myself my salary for the month.

To make the figures easy - assume £100 is the salary for that month and and £50 goes to pay DLA and bring that to zero and remaining £50 of my salary goes to pay me money as in bank spend.

Do I do bank spend £50 employee clearing account and then do journal entry and credit DLA and debit employee clearing account?

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**Author:** ![rully\_p](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/rully_p/32/2503_2.png) [@rully\_p](https://forum.manager.io/u/rully_p)\
**Post date:** [May 2, 2016, 7:25pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648/2 "2016-05-02T19:25:19Z")

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1. Create Payslip.

2. Spend Money → 1st line = Employee Clearing Account which is your salary 100  
2nd line = DLA Account -50

So Overall spend Money will be 50 which you paid your salary 100 and deducted by your liability which is 50.

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**Author:** ![dalacor](https://avatars.discourse-cdn.com/v4/letter/d/7bcc69/32.png) [@dalacor](https://forum.manager.io/u/dalacor)\
**Post date:** [May 2, 2016, 7:30pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648/3 "2016-05-02T19:30:44Z")

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Thank you. That works really well. Never thought of doing that! It cleared both the DLA and the Employee Clearing Account. Brilliant.

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**Author:** ![Brucanna](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/brucanna/32/1960_2.png) [@Brucanna](https://forum.manager.io/u/Brucanna)\
**Post date:** [May 2, 2016, 7:34pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648/4 "2016-05-02T19:34:14Z")

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Create payslip is optional, alternatively just do (2) from above with:  
Spend Money → 1st line = Salary 100, 2nd line = DLA Account -50 (note the minus sign)

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**Author:** ![dalacor](https://avatars.discourse-cdn.com/v4/letter/d/7bcc69/32.png) [@dalacor](https://forum.manager.io/u/dalacor)\
**Post date:** [May 2, 2016, 7:36pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648/5 "2016-05-02T19:36:26Z")

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Its fine. I have already setup the employee clearing account etc. All sorted now! 😀

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**Author:** ![Ealfardan](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/ealfardan/32/63166_2.png) [@Ealfardan](https://forum.manager.io/u/Ealfardan)\
**Post date:** [January 18, 2023, 3:33pm UTC](https://forum.manager.io/t/how-do-i-pay-salary-and-directors-loan-account/5648/6 "2023-01-18T15:33:25Z")

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