> For the complete documentation index, see [llms.txt](https://help.digits.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.digits.com/firms-connections/manual-payroll.md).

# Recording Manual Payroll in Digits

Digits syncs payroll automatically through Gusto and 15+ other providers (including ADP, Paychex, and QuickBooks Payroll) via our payroll connector. Use a manual journal entry only for a provider that isn't on the supported list.

***

{% stepper %}
{% step %}

### Step 1: Run Payroll Reports from Your Client’s Provider

1. Export a **payroll journal** from your client’s payroll system for the relevant pay period. (CSV or Excel formats work best.)
2. Review the report to identify key categories, such as:

* **Gross salaries/wages**
* **Benefits** (e.g., health insurance, retirement contributions)
* **Employer payroll taxes**
  {% endstep %}

{% step %}

### Step 2: Prepare to Record a Journal Entry in Digits

1. From your client’s dashboard, go to **Accounting → Ledger**.
2. Click **New Transaction → Journal.**
3. Using your payroll provider’s journal report, input each payroll component:
   * **Salaries** – Total gross wages paid
   * **Benefits** – Employer-paid benefits (e.g., insurance, retirement)
   * **Payroll Taxes** – Employer tax liabilities
4. Offset the **net pay** (the amount withdrawn from the client’s bank) to the **Payroll Clearing** account.
5. Double-check all details and click **Save & Close.**

{% hint style="info" %}
**Tip:** Ensure the **Payroll Clearing** account matches the one tied to your client’s payroll withdrawals.
{% endhint %}

**See also:** [**Journal Entries in Digits**](/firms-agentic-general-ledger/journal-entries.md) 
{% endstep %}

{% step %}

### Step 3: Verify Your Bank Sync and Account Mapping

* **Verify the bank connection.**
  * Confirm the payroll bank account is connected in Digits.
  * See: [Cards & Banks via Plaid ](/firms-connections/plaid.md)
* **Confirm mapping.**
  * Make sure payroll withdrawals are being recorded in the **Payroll Clearing** account.
* **Check for missing or duplicate entries.**
  * Compare your client’s payroll report with entries in the **Ledger.**
  * Add or adjust any missed transactions.
* **Recheck totals.**
  * Ensure the journal entry totals match the net pay and payroll withdrawals exactly.
    {% endstep %}

{% step %}

### Step 4: Review and Maintain Regularly

To keep payroll data accurate, set a recurring cadence to review:

* Incoming payroll bank payments
* Posted journal entries
* Remaining balances in clearing accounts

{% hint style="info" %}
**Best Practice:** Regular reviews help prevent misstatements and keep your clients’ books clean and current.
{% endhint %}
{% endstep %}
{% endstepper %}

***

### Frequently Asked Questions

<details>

<summary> Can I automate payroll for non-Gusto clients?</summary>

Digits syncs payroll automatically through Gusto and 15+ other providers (including ADP, Paychex, and QuickBooks Payroll) via our payroll connector. Use a manual journal entry only for a provider that isn't on the supported list. See [Payroll Connections](/firms-connections/finch.md)

</details>

***

{% columns %}
{% column width="66.66666666666666%" valign="middle" %}
Got a question or feedback? Our team is all ears—come say hello!
{% endcolumn %}

{% column width="33.33333333333334%" valign="middle" %}

<p align="center"><a href="https://portal.usepylon.com/digits/forms/get-in-touch-with-digits-support" class="button primary" data-icon="envelope-open-text">Contact Digits Support</a></p>
{% endcolumn %}
{% endcolumns %}

***


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