Once a dividend has been created using the dividend tool, here are two methods to make payment.

Method 1.


If you do not import statements:


i. Navigate to Money > Bank accounts and select the Money out option next to the relevant bank account


Bank accounts (2)


ii. Create a money out transaction for the full dividend amount and hit the Explain button.


Screenshot_5


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.


Screenshot_7


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.

Method 2.


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.


For additional help, click here to view all our training options.


Technical support is available on Monday to Friday from 9 - 5. You can call us on 0203 475 4744 or email us at support@clearbooks.co.uk.


Alternatively, visit our Community to view our latest news & updates, raise new ideas, find answers to common problems, ask new queries and speak to other Clear Books users and employees.