Use this checklist to build a repeatable payroll bookkeeping workflow for every client your firm manages.
Per pay run (every pay period)
- ☐ Download payroll report from client's payroll provider
- ☐ Verify gross wages match approved timesheets / salary records
- ☐ Generate or prepare payroll journal entry
- ☐ Review: confirm entry balances (debits = credits)
- ☐ Confirm journal date = pay date (not period end)
- ☐ Post journal entry to accounting software
- ☐ Reconcile net pay to bank ACH disbursement
- ☐ File payroll report and journal entry in client folder
Monthly tasks
- ☐ Reconcile all payroll liability accounts to zero (or to unremitted balance)
- ☐ Confirm tax deposits were made on schedule (check IRS deposit schedule)
- ☐ Confirm benefit remittances posted (health insurance, 401k)
- ☐ Review payroll expense accounts for anomalies vs. prior month
- ☐ Post payroll accrual if pay period crosses month-end
Quarter-end tasks (March 31, June 30, September 30, December 31)
- ☐ Verify Form 941 wages match GL payroll expense for the quarter
- ☐ Reconcile FUTA and SUTA payable accounts; confirm quarterly deposits
- ☐ Review SS wage base: identify employees who've hit the limit
- ☐ Confirm 941 was filed (or will be filed by deadline)
Year-end tasks
- ☐ Reconcile W-2 wages to annual payroll GL total
- ☐ Confirm all payroll liabilities are zeroed out before December 31
- ☐ Post year-end accruals for wages earned but not paid
- ☐ Verify 1099-NEC totals for contractors match GL contractor expense
PostBooks automates the per-run step — upload the payroll CSV, get a balanced journal entry ready to post. Try it free.