How to draw wage or pay for self via QuickBooks in Sole Proprietor business

Question: How would an individual running a sole proprietor business in United Kingdom draw his or her own wage of pay via QuickBooks software? Step by step process for the same will be preferable.

wage-or-pay-for-self-via-qb
Answer: The company labeled as Sole proprietor and taxed under the same heading it is recommended to have the following accounts as partner or owner equity (one set is required for each and every partner in case of partnership business):
[Name] Equity (Do not post to the account as it is a summing account)
 Equity
 Equity Drawing – Note down the value drawn from the business under this label.
 Equity Investment – Note down the value accorded into the business under this label.
After this write a check under your name and for the expense of the same check use the account labeled Equity Drawing Account.

Leave a Reply

Your email address will not be published. Required fields are marked *