Payroll

Employees

Go to Payroll → Employees to manage your workforce. Click Add Employee and fill in:

• Name — full legal name (appears on paystubs).
• Email — optional; for your records.
• Pay type — Salary (fixed annual amount) or Hourly (rate per hour worked).
• Rate — annual salary in dollars, or hourly rate in dollars.
• Filing status — Single, Married Filing Jointly, or Head of Household. Used for federal withholding calculation.

To deactivate an employee (e.g. they've left), edit their record and set them as archived. Archived employees are excluded from future payroll runs but their history is retained.

Running payroll

1. Go to Payroll → Payroll Runs and click Run Payroll.
2. Set the pay period start and end dates and the pay date.
3. Choose the pay frequency (monthly, semi-monthly, bi-weekly, or weekly). This determines how annual salaries are divided per period.
4. For hourly employees, enter the number of hours each person worked during the period.
5. Click Run Payroll. RSA computes gross pay, federal withholding, and FICA for each employee and creates a payroll run in Draft status.

Payroll run statuses

• Draft — just computed; review the per-employee breakdown before approving.
• Approved — reviewed and approved for payment.
• Paid — payment issued; RSA has posted the payroll journal entry to the books.

Approving and marking as paid

Open the payroll run and review the per-employee table showing gross pay, federal tax withheld, employee FICA, employer FICA, and net pay. When satisfied, click Approve Payroll.

After approval, click Mark as Paid. You'll be prompted to select three accounts:

• Salaries Expense — the expense account to debit (e.g. "Salaries & Wages Expense").
• Cash / Bank — the account to credit for the net pay disbursed.
• Payroll Tax Liability — the liability account to credit for taxes withheld and employer contributions.

RSA then posts: Debit Salaries Expense for total gross, Credit Cash for total net, Credit Payroll Tax Liability for total taxes.

Paystubs

A PDF paystub for each employee is available from the payroll run detail page. Click PDF next to any employee's row to download it. The paystub shows the employee's name, pay period, gross pay, each deduction, and net pay.

Tax calculations (reference)

RSA estimates withholding for bookkeeping purposes. Always verify against current IRS tables before filing:

• Federal income tax withheld: computed from the employee's filing status and pay period wages using the IRS Publication 15-T progressive brackets (0% / 10% / 12% / 22% / 24% / 32% / 35% / 37%) — not a flat rate. Higher earners pay a higher marginal rate on the portion of wages in each bracket. RSA currently applies the 2026 annual STANDARD Withholding Rate Schedule, for a Form W-4 from 2020 or later with Step 2 left unchecked.
• Employee FICA (Social Security + Medicare): 7.65% of gross pay.
• Employer FICA: 7.65% of gross pay (your cost, not deducted from the employee).