accountant

How do I record the commissions I pay to my salesperson?

You can do it by creating an expense account for commissions and recording an expense for your sales employee under the account.

  • You first need to create a contact for the sales employee.
  • Then, go to Accountant under Chart of Accounts and select +New Account.
  • Create an account with Commission as the Account Name and select the Account Type as Expense.
Account Details
  • Now, go to Purchases and choose Expenses. Click +New.
  • Select the Expense Account as Commission from the expenses list.
  • Enter the amount you have paid as commission.
  • Specify other required details and click Save.
Record Expense

This will record your expense as a commission. Moreover, if you wish to have a detailed view of your commissions,

  • Go to the Reports module on the left side bar and choose Purchases & Expenses under Report Category.
  • Select Expense by Category and you will find the Commission category. Click on it for more information.
Commission category
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