In payroll accounting, which account typically receives the debit for net pay?

In payroll accounting, the account that typically receives the debit for net pay is the Cash account. When employees are paid, the net pay represents the amount that the company actually pays out after withholding taxes and other deductions.

Debiting the Cash account reflects the reduction in cash assets as the business disburses the net pay to its employees. This transaction demonstrates the flow of cash from the company to its employees, ensuring that the payroll expenses are properly recorded in the financial statements. Debiting Cash is essential for maintaining accurate accounting records, as it captures the actual cash outflow associated with payroll.

On the other hand, Wages Payable would be credited when salaries are accrued, indicating that the company owes this amount to the employees. Payroll Taxes represents liabilities related to withholdings that have not yet been paid to government authorities. Employee Advances pertain to funds previously provided to employees ahead of their actual pay, which would not be relevant for recording net pay transactions.