Pay components and journal accounts
Pay components are the lines on a payslip. Journal account codes decide where each locked run’s payroll journal posts in your accounts. This page covers setting both up. Setting up pay covers giving each employee their pay.
Who can add and change pay components and journal account codes: Owner, Payroll admin.
Payroll approvers can see both pages but can’t change them.
Pay components
Section titled “Pay components”Settings › Pay components lists each component with its Code, Name, Kind and Statutory role.
Start with the standard components
Section titled “Start with the standard components”A new organisation has no pay components. Select Add the standard components to add basic salary, housing and transport. You can rename or extend them later.
Add a component
Section titled “Add a component”- Select New pay component.
- Enter a Code (short and unique, for example BASIC) and a Name (as it appears on the payslip).
- Under Kind, choose:
- Earning adds to gross pay.
- Deduction is taken from net pay, for example a loan repayment.
- Under Statutory role, choose how the law treats it, then select Save.
Statutory roles
Section titled “Statutory roles”An earning’s statutory role decides how the law treats it. Choose the one that matches what the payment is:
| Statutory role | How it is treated |
|---|---|
| Basic salary | Pensionable, taxable, and the base for NHF |
| Housing allowance | Pensionable and taxable |
| Transport allowance | Pensionable and taxable |
| Other taxable pay | Taxable under PAYE, but not pensionable |
| Non-taxable pay | Paid, but excluded from PAYE and pension |
A deduction has No statutory role.
To change a component, select Edit. To retire it, select Archive. Turn on Show archived to see archived components.
Journal account codes
Section titled “Journal account codes”Settings › Journal account codes sets the accounts the payroll journal of each locked run posts to. Match them to your chart of accounts before you import the journal into your accounting system.
Until you save your own codes, Cadre uses its default codes, and the page says so.
- Enter your account code for each line, each marked as a debit or a credit: Salary expense, Employer pension expense, NSITF expense, Net pay payable, PAYE payable, Pension payable, NHF payable, NSITF payable and Other deductions payable.
- If an earning should post to its own expense account, select Add an earning under Earnings with their own expense account, choose the earning and enter its account. Any earning not listed posts to salary expense.
- Select Save account codes.
See Payroll register and journal for the journal itself.