Need more help now? use pay-as-you-go support, call now 03333 445950

We offer rebates on Sage50 subscriptions, discounts on products, service sagecover (not renewals) and stationery.

We also provide Sage 50 integration and email/web services.

Which nominal code?

Bookkeeping and Management Accounting help does not have to be specific to the use of Sage 50
Post Reply
chopin_fanatic
User
User
Posts: 12
Joined: 20 Jan 2017, 08:19
Sage Version: v2017 23 UK/Europe/Africa

Which nominal code?

Post by chopin_fanatic » 31 Jan 2017, 11:19

Hi there,

Can anyone tell me the correct nominal code to use for pension service charges? These are monthly direct debits made as bank payments. Is it best to set up under it's own nominal code, or use one of Sage's?

Thanks in advance.

User avatar
brucedenney
Site Admin
Site Admin
Posts: 3909
Joined: 28 Feb 2006, 09:56
Sage Version: v2017 23 UK/Europe/Africa

Re: Which nominal code?

Post by brucedenney » 31 Jan 2017, 16:48

What is a pension service charge?

I have had a quick google, the only reference that made sense was a charge by a pension company to help clients setting up auto enrolment..
Help in setting up a scheme with BRANDX Pensions
Support when setting up your employer portal
A dedicated team and named team manager
Ongoing support including screen share and live online chat
A series of regular live webinars
I could interpret this as an Accountancy Service or a Training Service or Support or a cost of employment or something else...

The only question that matters is how the Managers of the business see it. They might see it as a cost of employing staff 700X, If you have Production/Sales staff then it could be that they want some of the cost put against direct labour/sales cost in 600X, they might see it as an accounting cost 760X , training 820X or my favourite... something else.

Further it depends on how significant an amount it is, if it s £15 a month on a wage bill of £15,000 then it is pretty irrelevant, if it is £300 on a wage bill of £3000 then it is a sizeable chunk.

Nominal analysis is all about getting a representational view not getting tied up in details.

You might be able to make the decision yourself, especially if it is not a significant amount, you understand what it is a charge for and how your management would view it. If it is a significant amount and it is not clear what it is for or how management would want to treat it then it would be appropriate to discuss this and achieve consensus on it.

I hope this helps.
For just about anything Sage :- switch to subscription, pay-as-you-go support, sagecover, upgrades, application integration, reports, layouts, analysis or any other help making life with sage easier/less time consuming Contact me. Image

chopin_fanatic
User
User
Posts: 12
Joined: 20 Jan 2017, 08:19
Sage Version: v2017 23 UK/Europe/Africa

Re: Which nominal code?

Post by chopin_fanatic » 02 Feb 2017, 08:45

Thanks Bruce, that's very helpful.

Post Reply

Who is online

Users browsing this forum: No registered users and 1 guest