29/09/2026
For Singapore SMEs, payroll is more than paying employees accurately each month.
As a business grows, employers also need to account for items that have been earned by employees but will be paid or settled later.
Unused annual leave is one common example.
At the end of an accounting period, employees may have accumulated leave that represents a future cost to the company.
Although the cash payment may happen later, the accounting records may need to recognise the obligation now.
This is where payroll accruals and deferred tax can intersect.
Understanding the difference can help Singapore business owners work more effectively with their accountants, prepare cleaner financial statements and avoid confusing an accounting expense with an immediate tax deduction.
Read the full article on www.expede.com.sg, link on bio.
Learn how Singapore SMEs can manage leave and payroll accruals, understand temporary differences and account for deferred tax accurately at year-end.