Opening Balances tell KashFlow Payroll what the Year To Date figures were before you started using KashFlow Payroll, so you only need Opening Balances once for the Year that you start using KashFlow Payroll and only if you processed payrolls earlier in the year. KashFlow Payroll sets the Year of the opening Balances for you.
Before you pay employees the first time through KashFlow Payroll
It is best to enter the Year To Date compensation and recovery amounts from your previous payroll system before you finish your first Pay Date in KashFlow Payroll.
Opening Balances can all be zero if
- your Company is not eligible for Small Employers Relief (as there wouldn’t be any compensation or recovery figures in the first place)
- you did not process any payroll for this Company earlier in the year (ie you are a new Company and have not paid anyone before)
- you start using KashFlow Payroll in the first week or month in April (the easiest time to start using a new payroll system)
You should now have set up your company in KashFlow Payroll successfully.