What is Payroll or Wages sheet | Definition | Preparation in 2023

What is a Payroll or Wages Sheet?

A wage sheet is a document that lists an employee’s wages, hours worked, and deductions for a specific pay period. It is usually used to record payroll information for an employee or group of employees. A wage sheet includes the employee’s name, hours worked, regular and overtime wages, deductions, and net pay.

Wages sheet is prepared by

wages sheet is usually prepared by the payroll department or an external accountant. It is a document that lists all the wages associated with the employee’s net pay, deductions, and taxes.

Documents necessary in preparation of payroll

The following documents are necessary for the preparation of the payroll or wages sheet.

1. Attendance Register and/or clock cards.
2. Register for normal time and overtime.
3. Leave pay, holiday pay and dearness and other allowances.
4. Piecework card.
5. Job cards are used for the calculation of bonuses.
6. Records required for deduction such as Provident Fund, State Insurance Scheme and Family Pension Fund.
7. Records received from the Accounts Department for fines, losses and recovery of damages.
8. Register for co-operative society due.
9. Register of Loans and Advances.
10. Record of voluntary deductions like Voluntary Provident Fund, LIC.
11. Employee’s contribution to Group Insurance Scheme.
12. Income Tax if applicable.
13. Employee’s bank account information for direct deposit

Delivery of goods

With the help of the above details, the Accounts Department or Payroll Department prepares payroll or wages sheet. There is no specified format for the preparation of payroll or wages sheets. The format of the wage sheet will differ from one organization to another.

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