[GNC] How do you record the rounding of your netpay?

[David Cousens]

Patrick,

I agree completely but some of us are unfortunately pedantic.

David Cousens

On Sat, 2024-01-27 at 15:31 -0800, Patrick James wrote:
> In my view it's going to be very difficult to justify spending any time tracking a whole bunch of zeroes with a contra
> equity account. I would not even want to see that on the books, much less spend time every pay period adjusting the
> contra account balance to some new amount less than 1.
> 
> At the end, the final paycheck, I'm betting the final paycheck is also rounded up, so that over the entire life of
> employment, the maximum "extra" paid is under 1, with an expected value of around 0.50.
> 
> This is all just a bunch of zeros, and the cost to track it is less than the value of the information.
> 
> 
> > On 01/27/2024 3:14 PM PST David Cousens <davidcousens49 at gmail.com> wrote:
> > 
> >  
> > If you really want to track this you could setup a contra account to your Income acct which sums into the Income
> > account e.g.
> > 
> > first month:
> > 
> > Income                   Credit 1800.50
> > Asset:Taxes withheld     Debit   300.00
> > Income::Pay rounding     Credit    0.50
> > Asset:Bank               Debit  1501.00
> > 
> > second month:
> > 
> > Income                   Credit 1800.30
> > Asset:Taxes withheld     Debit   300.00
> > Income:Pay Rounding      Debit    00.30
> > Asset:Bank               Debit  1500.00
> > 
> > The balance in the Pay rounding account should hover around 0.00. and your bank account will record the correct
> > balance
> > in the account at the bank.
> > 
> > 
> > I cannot for the life of me understand why any payroll system would be rounding to the nearest pound if they are
> > using
> > direct credit of your pay. To the nearest penny yes but not the nearest pound. Seems like a hangover from when they
> > paid
> > in cash and didn't want to be bothered with coins.
> > 
> > David Cousens
> > 
> > On Sat, 2024-01-27 at 08:17 +0000, Oleander via gnucash-user wrote:
> > > Hello everyone,
> > > 
> > > how do you record the rounding of your netpay?
> > > 
> > > After subtracting taxes from my gross pay, if the result of my net pay is a floating point number, my company
> > > rounds
> > > this number up to the next integer then credits the amount to my bank account. But the rounding is just a loan,
> > > the
> > > next month it will be charged from my gross pay along with taxes and if the result of my net pay again is a
> > > floating
> > > point number, it will be rounded up to the next integer and then credited to my bank account and so on.
> > > 
> > > Eg:
> > > 
> > > 1st Month
> > > 
> > > Gross Pay = €1800.50
> > > 
> > > Taxes = €300
> > > 
> > > Netpay = 1500.50 --> 1501€ (amount credited to my bank account)
> > > 
> > > 2nd Month
> > > 
> > > Gross Pay = €1800.30
> > > 
> > > Taxes = €300
> > > 
> > > 1st Month Rounding = €0.50
> > > 
> > > Netpay = 1499.80 --> 1500€ (amount credited to my bank account)
> > > 
> > > Thank you
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