What is Payroll Register?

The payroll register is the master report for each payroll run. For each employee it shows hours, rates, gross pay by earning type, each tax withheld, each deduction, employer taxes and net pay, with totals for the run.

What it is used for

• Recording payroll in the books: register totals are the source for the payroll journal entry, splitting gross wages, employer taxes, payroll liabilities and net pay
• Reconciling deposits: tax totals show what must be deposited and when
• Quarterly and annual returns: quarter-to-date and year-to-date registers support Form 941 and W-2s
• Answering questions from employees, auditors or the IRS

Reconciling payroll

Each quarter, compare:

1. Register wage and tax totals with the quarterly return
2. Tax totals with deposits made
3. Register totals with wage expense and liability accounts in the books

Differences often come from manual checks, voided payments or adjustments made outside the payroll system.

Recordkeeping

The IRS says employers should keep employment tax records for at least four years after the tax is due or paid, whichever is later, as described in Publication 15. Payroll registers are a core part of those records, along with W-4s and returns. The Department of Labor also requires certain payroll records for non-exempt employees.

Practical tip

Save each register as a PDF in a dated folder at the time of payroll. Systems change, and exports from old providers can be hard to obtain later. See our payroll services and how long to keep business records.

Related terms

• Liabilities: Liabilities are amounts a business owes to others, such as suppliers, lenders, employees and tax authorities.
• Journal Entry: A journal entry records a transaction in the books with equal debits and credits and an explanation.
• Gross Pay and Net Pay: Gross pay is an employee's total earnings before deductions; net pay is the amount actually paid after taxes and deductions.
• Exempt and Non-Exempt Employees: Non-exempt employees must receive overtime under federal law; exempt employees meet specific tests that remove that requirement.

Browse more definitions in the small business glossary.