What expense category is payroll?

There is no definitive answer to this question as the correct expense category for payroll will depend on the specific business and its accounting practices. However, some possible expense categories for payroll could include:

Wages and Salaries

This is the most common expense category for payroll, and will include all payments made to employees for their work, including regular wages, overtime, bonuses, and commissions.

Employee Benefits

This category includes all costs associated with employee benefits, such as health insurance, retirement plans, and paid time off.

Payroll Taxes

This category includes all taxes that are withheld from employee paychecks, such as federal and state income taxes, Social Security, and Medicare.

Other

This category can include any other costs associated with payroll, such as third-party payroll processing fees.

The correct expense category for payroll will vary depending on the business, so it is important to consult with an accountant or financial advisor to ensure that all expenses are properly categorized.

The information provided in this article does not constitute legal or financial advice and is for general informational purposes only. Please check with an attorney or financial advisor to obtain advice with respect to the content of this article.

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