Best Practices for Payroll Account

Payroll Practices

Payroll Practices

We currently have a general fund account, savings account, and a payroll account. For payroll, we transfer funds from the general account to the payroll account when we run payroll.

This was setup by a prior bookkeeper. Is this a fairly standard practice or do most churches run payroll from their general operating account? We use a third party payroll processor.

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Feb 28, 2016
Best Practices for Payroll Account
by: Anonymous - MN

We use Intuit as the third party Payroll and our General Fund checking account to draw payroll. I really do not see any need of having a separate checking account for payroll to be drawn and expose yourself to not getting funds XFERed from General to Payroll in time to cover payroll.

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Join in and write your own page! It's easy to do. How? Simply click here to return to Church Accounting FAQs.

If you want to DIY your payroll, I highly recommend you look at using Gusto! It is very user friendly and their support is awesome! Plus they know how to set up and maintain payrolls for churches and nonprofit organizations.

Note: I am a "partner" of Gusto, but as I have told you before ... I never recommend anything that we or our clients have not tried and love =)



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