Ad Free CAclubindia and Daily Updates on your Mobile. Subscribe Now!

AA-33-Employee Salary and Overtime Account

My Videos (Accounts Officer ) (717 Points)

11 August 2023

All Respected Members,

please educate me that salary and overtime amount of employee should be recorded in one salary account or we have to create salary and overtime account separately to record both transactions.

Thanks for your precious time and efforts to reply this query.

Reply
Follow
Share

15 Replies

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 11 August 2023

No more conditions for separate or single.
But, If you want to take details separately then better to keep the entry separately as per Your convenient..

Upgrade to CAclubindia Pro. Subscribe Now!

Eswar Reddy S (CFO- at NHTF) (58270 Points)
Replied 11 August 2023

Over time allowance is part of salary. Hence seperate account is not required.

My Videos (Accounts Officer ) (717 Points)
Replied 11 August 2023

Dear Raja PM Sir,

as per your reply, I got that entry can be separated but account will be same.

have I got right ?

1 Like

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 11 August 2023

Originally posted by : My Videos

Dear Raja PM Sir,as per your reply, I got that entry can be separated but account will be same.

have I got right ?

Dear,

Yes, The Account is same as under "EMPLOYEE'S BENEFIT EXPENSES".

After this separate entry, You can get details like Total actual salary, Total Overtime salary... Both of the Value is Salary Account...

No more specific provisions for separate follow ups. But, The separation give us statements like above...

Good Luck....

1 Like

My Videos (Accounts Officer ) (717 Points)
Replied 12 August 2023

Dear Raja PM Sir,

Thanks a lot to educate.

Upgrade to CAclubindia Pro. Subscribe Now!

My Videos (Accounts Officer ) (717 Points)
Replied 12 August 2023

Dear Raja PM Sir,

Can you also educate me on following:

How can we record an advance receipt invoice with charging sales tax in accounts ?

For Example:

We have to raise an advance receipt invoice of RS. 100, 000 at rate of 10% sales tax to our clint on 1-8-23; how we will record it in accounts.

Further, please also educate that when advance payment against this invoice will receive after 2 days 3-8-23; how we will record it in accounts too ?

It is requested to please share journal entries of both cases.

My Videos (Accounts Officer ) (717 Points)
Replied 17 August 2023

Dear Raja PM Sir,

kind response awaited on above.

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 17 August 2023

Required some more clarity about this transaction...

as per above:

You raise receipt against advance with Tax...

Further., advance payment against this invoice will receive...

It means, You received 2nd time adavance...???

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 17 August 2023

I can't understand this...

My Videos (Accounts Officer ) (717 Points)
Replied 18 August 2023

Dear Sir,

I meant that my customer asked me to raise invoice for advance payment.

I raised invoice with sales tax.

They received invoice on 1-8-23 and released advance payment on 3-8-23.

I want to know when I raised advance payment invoice; how it would be recorded in accounts ? means what would be journal entry ?

and

when advance payment cheque actual received from customer how it would be recorded in accounts ? (journal entry required)

Upgrade to CAclubindia Pro. Subscribe Now!

My Videos (Accounts Officer ) (717 Points)
Replied 21 August 2023

Response awaited from Raja PM Sir.

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 21 August 2023

How you prepare the invoice as you told the advance receipts invoice...???!

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 21 August 2023

How you prepare the invoice as you told the advance receipts invoice...???!

My Videos (Accounts Officer ) (717 Points)
Replied 24 August 2023

We prepare this type of invoice as one of our client asked us to generate this type of invoice for processing our advance payment as required by their finance department.