How to Record Payroll Manually in Sage

Record Payroll Manually in Sage 50

Payroll is a process that businesses rely on to keep track of employee income and expenses. But how do you do it without the help of technology? In this article, we will show you how to manually record payroll in order to save time and improve accuracy. By following these simple steps, you can ensure that your payroll is accurate and up-to-date every month.

Sage is one of the most well-referred accounting software that has been used by businesses, small or big. It is the efficiency and ease of use that have gotten this particular brand of software to lead the race. While one expects the software to automatically take care of all the relevant needs and requirements, there are times when you do need to get into the ‘Manual-mode’. After all, not everything can be left to the ‘machines and technology’! How to Record Payroll Manually is one such aspect of the software where you need to get into the captain’s seat. S, how do we do this? Well, to start with, let us first get into the understanding of the importance of payroll and how is it ‘done’ manually.

The Manual Payroll System

This system allows the individual to record the payroll completely by hand. This is where the employees need to fill out the timesheet or punch a time clock with Blank time cards. The results are thus calculated manually. Likewise, the wages and deductions are also calculated manually. Hence, the payroll entry can be done either manually or automatically. 

While both methods are fairly easy and recommended as per requirement, you do need to ensure that you have a few sets of information available at hand to proceed. These include the Federal Identification Number or FEIN.

Read Also : How to Print ROE and How to Adjust it

Procedure to Record Payroll Manually in Sage

To do so, you will need to

  • Start by setting up the Payroll accounts. 
  • If not done yet, you need to do so by setting up the accounts in your chart of Accounts. 
  • It is here, that you need to calculate the taxes and other deductions.
  • Get together the payroll reports. 
  • Now, record the payroll expenses
  • Next, record the payables. 
  • Here, you need to double-check the records. 
  • Transition accounting periods

Setting up the Payroll Manually in Sage 50

To process your payroll, you will need to:

  • Start by selecting the employees you need to pay in a certain pay period.
  • Click on Payroll.
  • Enter the payments.
  • It is here that you need to enter the rates and the hours for specific payments and deductions.
  • Click on on summary tab and check if the amounts are correct. 
  • Click on save/next.
  • Once again repeat the steps from 3 to 5 for every employee.
  • Click on close.

How to Add a New Employee in Sage 300?

To do so, you will need to:

  • Click on maintain, employee and sales reps. 
  • Enter the Employee ID.
  • Here, select the Employee type: select if the employee will receive a paycheck only.
  • Type in the Employee’s information.
  • Select the pay info tab. 
  • Select the pay method. 
  • Click select the pay frequency. 
  • Here you need to enter the hourly or salary Pay rate

See More : How to Setup and Pay Employees using Sage 50


So, there you have it, friends, this is all about the How to Record Payroll Manually process. There are times when you need to take things ‘into your own hands’ and it is not such a bad deal after all. In case you come across any queries and concerns, feel free to get in touch with us and our team of experts will be more than happy to help you out.

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Frequently Asked Questions (FAQs)

Can one Add a Payroll item in Sage 50?

Yes, this can be done in the following way to add a Payroll item in Sage 50 :
1. Go to the home window
2. Go to the setup menu
3. Click on settings
4. Click on payroll 
5. Click on income.
6. Go to the Cacl column 
7. Click select or clear taxes, benefits, or deductions one needs to be linked with this certain payroll.
8. Click on ok.

What is the Sage Payroll all about?

This is a Sage-payroll software, that allows the user to be able to access the required data and information from anywhere that you are. It also allows the user to create the employee record, and also release payments to the required employees in a simple manner.

What to Do If an Error Occurs

If you have a payroll system, using it is the best way to manage your employee payroll. However, if an error occurs, manually recording the information can be a quick and easy solution. Here are some steps to follow:
1. Get all of your employee information. This includes their name, social security number, address, and dates of employment.
2. Record your employee’s weekly pay rate on a calendar or spreadsheet.
3. Enter your employee’s total pay for the week into your payroll system.
4. Add any deductions or credits that apply (such as taxes).
5. Print out your employee’s pay sheet for the week and save it for future reference.

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