How to Pay off Employee Expense?

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A few suggestions, @Cinobite:

  1. Update your software. Your version is far out of date. When you do, Customer credits and Supplier credits will be absorbed into Accounts receivable and Accounts payable.

  2. Simplify the Profit and Loss side of your chart of accounts. You have many expense accounts that, as an actor, you are almost certainly not going to use. While I can’t tell you which ones are necessary, I doubt you are incurring research and development expenses. Remember that a Other expenses account can always be used to sweep up those once-in-a-lifetime expenses.

  3. Stop treating yourself as an employee. As a sole trader, you are not an employee of a company; the company is a way of accounting for a portion of your income for tax record purposes. You have no pay slips, so you should be able to delete yourself as an employee.

  4. Simplify your Balance Sheet side. Under Customize, disable the now-unnecessary Employees and Suppliers tabs. (You don’t have any suppliers, either.)

  5. Some expenses you described are not expenses in the usual sense, because no money is spent. But they are real for tax purposes. You should account for these using expense claims. See the Guide, https://forum.manager.io/t/how-to-use-expense-claims/6898, which deals with the situation explicitly. Vehicle expenses are probably worth more to you than you are claiming, because allowable deductions generally take into account more than fuel.

  6. While it is possible to get by as a sole trader using your personal account, it is messy, difficult, and ugly. And the tax authorities will question whether you are improperly mixing personal and business expenses.

As I write this, I see @Brucanna has just posted a reply with some of the same points. Bottom line: you are making things more complex than necessary for your situation.