First Previous - Page 1 of 1 - Next Last

Ltd Company paying direct to Director's pension fund

  • Member PM.Dip
  • Practice Licence
  • 28 posts
  • # 114594

I have a client who is a director of a Ltd company who's company makes a direct payment into his pension every month. This does not go through the payroll and is a direct debit to Old Mutual every month. How do I enter this into Sage please, do I just treat it as an expense to the company, does it need to go anywhere in particular in the nominal codes?  Any advice would be appreciated please.

  • Lifetime Member
  • 9 posts
  • # 114632

Hi Catherine,

It is not unusual for directors of limited companies to have their own pension policy and for the company to make the payments into the pension fund. It does not need to go through the payroll because the pension company will have been told that it is the company making the payments and not the director making them from his own income.

In your Sage you will just show it as a bank payment each month and use a nominal code in the wages and salaries section (in my version of Sage that will be a number in the low 7000 range but I have heard some newer versions use different nominal code ranges).

Good luck.

 

Chris

  • Member PM.Dip
  • Practice Licence
  • 28 posts
  • # 114667

 

Many thanks for your reply Chris, much appreciated!

First Previous - Page 1 of 1 - Next Last
bottomBanner
loading