I setup a capital account as the Directors account to add and subtract funds from the business under liabilities. I wanted to be able to pay off the loan from salaries and wages/payslips. When I try to add to the Payslip deductions, the Capital account is not available to use.
So I have created a bonus payslip item in earnings which takes care of the tax.
Now I have journaled from Employee Clearing to DLA drawing and repayments to get the result.
Was there an easier way, other reading in the forums suggest paying from payslips but the Capital Account must be treated differently?
So I would appreciate some comment regarding my method, Thanks