ThomasM125
Expert Alumni

Retirement tax questions

Since you mailed the checks before the end of the year, you would debit the payroll expense and credit cash. The checks not cashed in 2021 will be listed as outstanding on your bank reconciliation, and the expense will be allowed in 2021.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"