Once a dividend has been created using the dividend tool, here are two methods to make payment.
If you do not import statements:
i. Navigate to Money > Bank accounts and select the Money out option next to the relevant bank account
ii. Create a money out transaction for the full dividend amount and hit the Explain button.
iii. Fill in the required details of the payment - make sure to use the correct shareholder dividend account under the Current Liabilities category (in our screenshot below this is "Joe Blogs dividends").
This account is the one created by the Dividend Tool when dividends are first created for each shareholder. To see a list of these special dividend creditor account codes please go to Settings > Accounting > Account codes.
You will need to reconcile this payment manually.
For dividends to director shareholders you can use the above method, with the Director's loan account (in the bank section), to effectively transfer the dividend debt to the loan account.
If you import a statement:
i. Navigate to Money > Bank accounts
ii. Click on explain beside the appropriate imported statement.
iii. Explain the payment filling in the required details of the payment as set out in Method 1 above.
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