Accounting for beginners: important aspects that everyone should know. The Newbie Accountant's Guide: How to Start Learning Accounting? Basics of accounting for beginners
This short course is designed for those who study accounting as an academic discipline. The author of the course sets himself the task of explaining the basics of accounting for beginner accountants, for those who want to master this interesting specialty. Why the basics? Because if we consider accounting as one of the types of human activity, we must understand that the accounting system itself was not formed immediately, in an instant, but how science has developed throughout the history of human development.
Useful literature for a beginner accountant
For the first time, it was systematized in the Renaissance, during the time of Leonardo da Vinci, by the great mathematician of his time, Luca Pacioli, in 1494 in the scientific work Treatise on Accounts and Records. Any science is based on specific techniques and methods, accounting work is specific and has its own techniques and methods, namely, accounting provides for the following different techniques and methods: inventory, system of accounts and double entry, etc. In everyday work, accounting, depending on the industry and the taxation system, has its own industry-specific features, some economic phenomenon must be reflected in accounting, some is reflected in a specific, industry-specific manner. Accounting covers wages, materials and inventories, fixed assets, the production and sales process, financial results, and, finally, the financial results of any organization are determined by accounting. It is almost impossible to overestimate the importance of accounting in the activities of enterprises and organizations, as well as in general for the economy of our country. However, in the course of his work as chief accountant, the author of this course had to constantly come across reforms carried out by accounting reformers. Constantly, under the pretext of ongoing reforms, changes in accounting are formalized, accounting entries become more complicated, forgetting about the tasks of accounting for a quick and correct assessment of the enterprise's activities and the financial condition of the enterprise. Accounting should cover all business operations of the enterprise, industry. The accounting department of the enterprise is designed to quickly and accurately solve all the tasks assigned to it. The accounting department of any enterprise should be headed by knowledgeable specialists who are well versed in theory and practice. This course is designed to help you navigate the rapidly changing accounting legislation, an accountant must know the basics of accounting well, distinguish between new and useful in accounting, from unnecessary, far-fetched and sometimes not feasible at all, due to the realities of the economic life of an organization, enterprise. The author of the course is grateful to you for taking the time to study this course and hopes that you have gained some benefit from the study of accounting in the light of the materials of this work.
Accounting made easy
This site is dedicated to the basics of accounting and is intended for those who have had to deal with this subject, who find it difficult and incomprehensible. As practice shows, the authors of accounting textbooks, although they try to offer as much information as possible about the subject, features and subtleties of accounting, often pay little attention to the basics, considering them obvious. This is a serious obstacle for beginners who are just beginning to study this subject. Beginners get the impression that it is impossible to understand accounting. The authors of this site will try to dispel this myth.
Who is this site for? First of all, for those who are faced with the study of accounting, and consider accounting a difficult, overwhelming science. It can be not only university students, college students, novice accountants, but also experienced employees who had to move to a new site. We can assume that the proposed materials are an online textbook on accounting or an online textbook on accounting.
For an in-depth study of accounting, we recommend stocking up on textbooks and turning to sources - legislative and regulatory acts. The authors of the site did not set themselves the task of creating a complete guide to all areas of accounting. The purpose of this project is to provide answers to simple and complex questions of newbies that they are embarrassed to ask, or there is simply no one to ask them. Only having a complete understanding of the basics, you can proceed to the study of more complex things. Then you can say with confidence that accounting is not so difficult at all.
Accounting for dummies in plain language
The website section of the accounting task contains examples of solutions and examples of accounting entries for individual accounting areas. The given examples of problem solving should help beginners in solving problems that they will encounter when studying accounting.
The useful information section contains methodological materials that will be useful in the study of accounting.
For self-checking in the accounting tests section, you can find tasks selected for individual topics. With the help of tests, you can test your ability to answer questions correctly. The correct answers to the accounting tests can be viewed immediately.
Management Accounting
A separate category of the site is devoted to management accounting as one of the accounting subsystems. Management accounting is usually studied within a separate discipline outside the subject of accounting. The management accounting section of our website has a similar structure and also contains management accounting tasks and management accounting tests.
Sometimes clients come with a question: we want to register an LLC and engage in commercial activities. Tell me where to start accounting and how much such services will cost if they are provided by SaldoConsult specialists.
We thought and decided to suggest how to organize accounting for those who decide to keep records and submit reports on their own.
Recall that since 2013, all companies are required to keep accounting records, regardless of the applicable taxation system, except for Individual Entrepreneurs.
First you need to decide on the choice of taxation system. This is best done at the LLC registration stage. Most entrepreneurs choose the Simplified Taxation System (STS).
But the tax base can be different:
- if a significant share of expenses is expected, select “Income minus expenses”, the tax rate in this case in St. Petersburg is 10%,
- if there are not many expenses, choose “Income” 6%.
It is possible that the type of activity that you are going to organize is subject to taxation by the Uniform Imputed Income Tax (ENVD). Since 2013 the regime is optional. To understand whether it is beneficial to use it or not in each specific case, it is necessary to make calculations.
We thought, decided, gave the documents for registration.
Let's move on to buying software..
At the moment, many entrepreneurs use Elba electronic accounting or the 1C-Accounting program. Elba is convenient because it is a “cloud” solution and you will not need to keep track of changes in software releases and reporting forms. In addition, the existing hint system allows even beginners to keep records on their own.
There is another solution "1C-Accounting". As in the first case, a cloud solution is also presented here. If you decide to purchase a “yellow box” and install it on your computer, this option will be inexpensive, especially the basic versions. They regularly have discounts. The basic version will be updated every time the program is launched via the Internet.
Decide whether you will submit reports to the Pension Fund and the Social Insurance Fund and declarations to the State Tax Inspectorate via telecommunications (via the Internet) or are you ready to run around the authorities with paper reports and flash drives.
We advise you to immediately think carefully and find an opportunity connect to electronic reporting. You will save a lot of time. You will have access to electronic correspondence with the tax, PF, FSS, thanks to this, the opportunity to receive a reconciliation of calculations or send a request or a letter.
We draw up an Order on accounting policy.
A Short Course in Accounting for Dummies
To do this, you can use the numerous services that are available on the Internet. We print out one of these orders, check that all accounting points are reflected in the Order.
We attach to the Order on accounting policy the Working Chart of Accounts and the forms of documents that will be used in the activity.
We draw up personnel orders. We described what personnel documents a company should have. Therefore, we suggest reading the relevant articles on our website. We advise you not to put off the personnel office work until later, because then there will be many other things to do and you simply will not have time. It is enough to prepare forms of documents, which you will then fill out as necessary.
Software selected, installed. We start working, fill in all the details of the company. For these purposes, the program has an "Assistant". We follow his instructions.
So we start economic activity and reflect all business operations in the program sequentially. We purchase goods, materials, receive advance payments from buyers. For all paper documents that we have, we create similar electronic documents in the program.
We will talk about the theoretical foundations of accounting and some practical aspects in our consultation.
Basic concepts of accounting
In the center of the system of accounting concepts lies the term "accounting" itself. The basic definition of accounting is as follows. Accounting is the formation, in accordance with the established requirements, of documented systematized information about accounting objects and the preparation of financial statements based on this information (part 2 of article 1 of Federal Law No. 402-FZ of 06.12.2011).
The following are recognized as accounting objects (Article 5 of the Federal Law of December 6, 2011 No. 402-FZ):
- facts of economic life;
- sources of financing activities;
- income and expenses.
It is the objects of accounting that answer the question of what information forms the basis of accounting.
Who and how is accounting
In organizations that are small or medium-sized businesses (except for organizations specified in part 5 of article 6 of the Federal Law of December 6, 2011 No. 402-FZ), a non-profit organization or a Skolkovo organization, accounting can be maintained by the head himself.
In other cases, accounting should be assigned (part 3 of article 7 of the Federal Law of December 6, 2011 No. 402-FZ):
- to the chief accountant;
- or other official of the organization;
- or conclude an agreement on the provision of accounting services with another organization or individual.
The basic concepts of accounting are inconceivable without a definition of essence. After all, the main thing for accounting is the reflection of all business transactions on interrelated accounting accounts included in the working Chart of Accounts. The working Chart of Accounts is part of the accounting policy of the organization, which must be developed by each entity that keeps records. It provides for a set of accounting methods (primary observation, cost measurement, current grouping and final generalization of the facts of economic activity) in the event that these issues are not regulated by accounting regulations or there is variability. Our accounting policy will help develop.
Since the basis of accounting is information about accounting objects, data on the availability, condition and valuation of property and liabilities must be confirmed by the results of the ongoing.
The final stage of accounting work is the preparation of financial statements. It provides data on the property and financial position of the organization and on the results of its economic activities for the reporting period.
What is accounting, why is it needed and how is it conducted? What is an account and posting? How to distinguish an asset from a liability and what is an accounting policy
How to organize accounting in the enterprise
In order to competently keep records at the enterprise, draw up postings, draw up primary documents, and calculate taxes, you need to understand how accounting is organized at the enterprise.
First of all, it should be noted that the main legislative projects that regulate the accounting process are the Federal Law “On Accounting” No. 402-FZ and the Regulation on Accounting and Accounting in the Russian Federation.
The fundamental law is No. 402-FZ, and the Regulation supplements and specifies it. The Law "On Accounting" was last amended on July 19, 2017. In the new edition, many points of the law are presented in a new form, various clarifications have been made.
The above documents define the basic principles of accounting.
Basic accounting rules
- The collection and processing of information at the enterprise occurs continuously.
- From the approved Chart of Accounts, a working plan is formed, on which accounting will be carried out at the enterprise.
- Accounting is kept in monetary terms in rubles and in Russian.
- For each business transaction at the enterprise, an accounting entry is drawn up according to the principle of double entry.
- For each business transaction, a primary document is drawn up, which must be drawn up at the time of the transaction or immediately after its completion. Posting for each transaction should only be carried out if there is a supporting document.
- For registration of primary documents, standard forms are used (if they are developed and approved). If there is no unified form for the document, then it is drawn up in an arbitrary form, but with the content of all the required details.
- Information from accounting documents is collected and systematized in accounting registers. Forms of registers have an approved form.
- Periodically, an inventory of the assets and liabilities of the enterprise (property and liabilities) is carried out without fail. The frequency of the inventory is approved by the head of the organization.
- For the competent organization of accounting at the enterprise, an accounting policy is developed and an appropriate order of the head is drawn up.
These basic principles of accounting are fundamental, it is on them that accounting is kept at the enterprise. By following these accounting rules, you can be sure of the competent organization of accounting in accounting.
How is the accounting in the company?
All accounting is built on a very important principle - its continuity.
Every day, an accountant or other employee responsible for accounting records business transactions. Day after day, he reflects transactions using postings, generates documents, fills in accounting registers. It is important to understand that this process is continuous, starting from the moment the company was opened and until the end of its existence, the accountant must keep records, fill out and submit accounting and tax reports.
At the initial stage of the formation of the company, he develops a working chart of accounts; for this, the necessary accounts are selected from the Chart of Accounts approved by the Ministry of Finance of the Russian Federation, on which all transactions will be recorded. Depending on the size of the organization, as well as on the characteristics of its activities, the set of accounts may vary.
Also, when opening an enterprise, an accounting policy is approved, on the basis of which accounting will be kept.
Further, many operations will be performed at the enterprise every day: purchase of materials, fixed assets, sale of goods, production of products, payment for goods to the supplier and receipt of payment from the buyer, etc. For each such operation, the accountant fills in the relevant primary documents, on the basis of which he makes the posting on the accounts from the approved plan.
At the end of each month, monthly turnover and the closing balance are calculated on each account. At the beginning of the next month, all accounts are reopened, the closing balance from the previous one is transferred to the next month.
During the month, every day, all business transactions are recorded on open accounts using postings, at the end of the month the accounts are closed again, balances are calculated on them and transferred to the next month.
This process is endless, from month to month the same actions will be performed. This will be the fundamental principle of continuity in accounting.
In order to properly organize accounting in accounting, you need to be able to do three things:
- know your working chart of accounts
- know how to wire
- be able to draw up documents and fill out accounting registers
A little about the Accounting Law (No. 402-FZ)
In November 2011, the Plan for the Development of Accounting and Reporting of Enterprises in the Russian Federation was approved. Its goal was to achieve greater accessibility of information in the field of accounting, improve the quality of reporting and bring it to international standards. The most important step in the implementation of this plan was the adoption of Federal Law No. 402-FZ "On Accounting", which came into force on January 1, 2013.
The new legal act replaced the previously existing Law No. 129-FZ. In general, the document introduces detailed clarifications to the rules of accounting and financial reporting, clarifications are given to many concepts, and some provisions of the old version have been completely changed. Thus, the scope of application of the Accounting Law was expanded. Now entrepreneurs, private practice lawyers and notaries (except for those who pay taxes under the simplified scheme) must keep records. Bodies of state and local self-government, various foundations and branches of international organizations are also required to keep accounting records. Another innovation is related to the definition of accounting objects. Now they are also called assets, as well as income and expenses of the enterprise.
The federal law "on accounting" consists of four main sections. Let's take a quick look at each, and also highlight the main changes compared to the old edition.
Structure of the Accounting Law
Here it is determined that the main purpose of the Law is to establish uniform requirements for accounting. The definition of accounting is given as a system for generating information about economic objects, taking into account the requirements and the creation of financial statements based on this information. Article 2 describes the scope of this Federal Law. As already mentioned, it has been expanded, and now everyone to whom the Federal Law on Accounting applies is not called "organizations", but "economic entities".
2. General requirements for accounting.
This chapter describes in detail the procedure and rules for accounting. The duty of the head of the enterprise to properly organize this work is noted. An important innovation is the ban on the head of the enterprise to personally conduct accounting. This provision does not apply to small and medium-sized businesses. In all other enterprises, there must be a staff unit of the chief accountant or there must be an agreement for the provision of relevant services. This lists the minimum requirements for applying for this position.
Article 8 emphasizes that each economic entity can choose its own accounting policy.
Article 9 regulates the execution of primary documents. Instead of the previously used unified forms, primary forms are introduced, approved by the head of the enterprise. This is a mandatory list of items. This article also talks about the possibility of creating documents in digital form, certified by an electronic digital signature.
Article 10 deals with the maintenance of accounting registers. It also expanded the powers of the head in terms of approving the forms of documents. In addition, these documents no longer constitute a trade secret.
Articles 13-18 regulate the creation of financial statements as a source of reliable data on the position of the subject, the result of his work, the movement of financial assets for the reporting period. Here, a requirement appeared to submit one copy of the financial statements to the statistical authorities within a period not exceeding three months from the end of the period. Reporting documents are also prohibited from being given the status of a trade secret. The 402nd federal law on accounting, unlike the previous one, does not regulate the methods for providing financial statements to users.
3. Accounting regulation.
This chapter talks about regulatory documents in the field of accounting, bodies authorized to carry out regulation and their functions. Law No. 402-FZ introduces a number of fundamentally new provisions in this part.
A requirement is being introduced for compliance of financial statements with federal and industry standards, as well as compliance with accepted international requirements. Such standards establish the classification of accounting objects, the content and form of the information provided, and other provisions. The standards will be developed by the Ministry of Finance, the Central Bank, as well as subjects of non-state regulation: unions of entrepreneurs, auditors and other interested organizations.
Articles 26-28 deal with the procedure for creating accounting standards. At the same time, the great importance of publishing drafts of such documents in print media and the Internet for the purpose of their public discussion is pointed out.
4. Conclusion.
The final chapter deals with the procedure for storing accounting documents and the specifics of the application of the Law. Storage of accounting documents should take place in accordance with the rules of archiving. In this case, the storage period cannot be less than five years.
Summing up, we can say that Federal Law No. 402-FZ, making accounting more open and democratic, requires compliance with uniform standards in this work.
Primary accounting documents - getting to know each other
All business transactions that occur daily at the enterprise must be documented. The purchase of materials, goods, fixed assets, the sale and shipment of goods to the buyer, all movements of funds, the production process, the payment of wages and the transfer of taxes - all these and many other operations are displayed in primary accounting documents.
The paper in question is a written evidence of the business processes that have taken place, which has legally approved force and does not require any further clarifications and amendments.
Uniform forms
Primary accounting documents can have a standard form, for which the State Statistics Committee develops and approves unified forms of primary documents, which are contained in albums of unified forms of production documentation.
In accordance with the affixing of the Government of the Russian Federation No. 835 of 07/08/1997, all powers on the design development and approval of albums of unified forms and their digital versions were transferred to the State Statistics Committee of the Russian Federation. All the details of the content and regulatory composition of the albums must be agreed by a special committee with the Ministry of Finance and the Ministry of Economy of the Russian Federation.
If the standard form of primary accounting documents has not been developed, then the organization independently prepares for itself the necessary forms that it will use in its activities. At the same time, self-developed forms must contain the required details of the primary documentation.
The list of required details in the primary accounting documents:
- Name that fully reflects the financial and economic content of the production process. A document that has an incorrect, poorly readable or unclear title has no legal force.
- Name, in correct cases, addresses and settlement accounts in banking institutions of the parties entering into the agreement (legal entities and individuals). In the absence of the necessary requirements, the document automatically loses its targeting and cannot be used in any operations.
- Compilation date. If the date is missing or not clearly described, the agreement has no legal effect.
- The general content of the operation carried out, which reveals the essence of the name in a general form and contains a brief description of the production moments.
- Measures of the perfect business transaction. In their absence, the form remains without an accounting and calculation base, without which the further operation of the agreement is not carried out.
- Signatures of persons (legal and natural) responsible for the agreement. They are the director of a particular organization and the chief accountant.
Processing of primary documents
Upon receipt of the accounting document, it is necessary to check its correct execution, the presence of all required details. All required lines must be filled in, the information must be readable, the signatures of responsible persons must be signed, if necessary, a seal is put. When processing accounting papers, you need to pay attention to the seal, the information on it should be clearly readable, you can see the name, details, etc.
After the document is checked for correct execution, it must be registered in the book intended for this, the journal. For example, travel certificates are registered in the journal of travel certificates, cash orders in the journal of registration of incoming and outgoing cash orders KO-3.
Storage and destruction
The terms of storage of primary accounting documentation and the procedure for their destruction are fully specified in List No. 41.
How to fix
Nobody is immune from mistakes. What to do if errors are made in primary documents? If errors are detected at the design stage, then everything is simple, you can just take a new form and fill it out again. And how to correct an error in the document if it is revealed later?
In general, there are three ways to correct errors in primary accounting documents:
- Corrective method, which is allowed to be used only if errors were detected before the balance sheet was drawn up, or if they were made in accounting registers, errors should not affect the correspondence of accounts. The essence of this method is to carefully cross out with a thin line the erroneous value of the sum, the wrong word, etc. The required text or number is written next to or above. In addition, it is necessary to write a disclaimer next to the error, with the appropriate date and the signature of the responsible person. For example, “1000 rubles crossed out, corrected for 1200, corrected to believe, date, signature”
- The method of additional entries is made when the amount of a business transaction is erroneously underestimated. This rule takes place in two cases: if the accounting register does not contain the necessary data of the primary document, and also when an erroneously underestimated amount is displayed in the register.
- The reversal method consists in the fact that an incorrectly made entry, usually numeric, is deleted with a negative value of the erroneous amount. In this case, incorrect correspondence and the value of the amount are repeated in red ink. At the same time, the required number is written in ordinary ink. This method is used in case of errors made in correspondence or in case of exaggeration of the amount.
The right to sign primary documents
In accordance with the legislation of the Russian Federation, the director of the organization and the chief accountant can sign primary accounting papers. Also, primary accounting documents have the right to sign the deputy chief accountant, but in this case, all responsibility for the agreement being drawn up passes to him. The right to sign by another employee, except for the head and chief accountant, must be formalized using a power of attorney for the right to sign.
Summing up the above, we can say that primary documents are one of the important components of the correct organization of accounting in an enterprise. Moreover, only if they are available, it is possible to keep accounting, it is on the basis of documents that accounting entries are made. Therefore, it is very important to correctly fill out the forms and forms, check the correctness of the execution when receiving them from counterparties.
Deal with the assets and liabilities of the company
In accounting, there are special concepts of "assets" and "liabilities". Both are an important component of the balance sheet and represent the most convenient way to summarize information about the activities and financial position of the organization.
Everything that an enterprise has is divided into profitable assets and liabilities involved in the formation of the former. It is important to learn to distinguish between them, to understand what this or that object of the enterprise is.
Asset and liability balance
The concepts under consideration are the main components of the balance sheet - the main report, which is drawn up in the accounting process at the enterprise. The balance sheet is shown as a table with assets on the left and liabilities on the right. The sum of all positions on the left side is equal to the sum of all positions on the right side. That is, the left side of the balance is always equal to its right side.
The equality of assets and liabilities in the balance sheet is an important rule that must be followed at any time.
If, when compiling the balance sheet, equality is not met, it means that an error has been made in accounting that needs to be found.
In order to correctly draw up a balance sheet, you need to understand what relates to assets and what to liabilities.
Assets as an element of accounting
These are the resources of the organization that it uses in the course of economic activity, the use of which in the future implies profit.
Assets always display the value of all tangible, intangible and monetary assets of the company, as well as property powers, their maintenance, placement and investment.
Examples of enterprise assets:
- fixed assets
- Securities
- Raw materials, materials, semi-finished products
- Goods
- Finished products
All this property that the enterprise will use in the course of its functioning in order to obtain economic profit.
Asset classification
According to the form of the functional composition, they are divided into material, intangible and financial.
- Material - they call objects that are in material form (they can be touched and felt). These include buildings and structures of the company, technical equipment and materials.
- By intangible it is customary to mean that part of the production of an enterprise that does not have a material embodiment. This may be a trademark or a patent, which also take part in the organization's office work.
- Financial - imply various financial instruments of the company, whether it be cash accounts in any currency, receivables or other economic investments with different terms.
According to the nature of participation in the production activities of the enterprise, the assets are divided into current (current) and non-current.
- Negotiable - used to complete the company's operating processes and are fully spent in one full production cycle (no more than 1 year)
- Non-negotiable - they take part in office work repeatedly, and are used exactly until the moment when all resources do not go into the form of products
According to the type of capital used, assets are:
- Gross, that is, formed on the basis of own and borrowed capital.
- Net, which implies the formation of assets only at the expense of the company's own capital.
According to the right of ownership of assets, they are divided into leased and own.
They are also classified by liquidity, that is, the speed of their transformation into a financial equivalent. In accordance with such a system, among the resources are:
- Assets with absolute liquidity
- With high liquidity
- Medium liquid
- Slightly liquid
- Illiquid
Long-term assets include land plots, various types of transport, technical equipment, inventory of household and industrial type, and other belongings of the company. Assets of this type are carried at their acquisition cost less accrued depreciation or, in the case of land and buildings, at a price determined by a professional expert.
Liabilities of the enterprise and their participation in production activities
Under the liabilities of the enterprise, we mean the obligations that the company has assumed, and its sources of financing (include own and borrowed capital, as well as funds attracted to the organization for some reason).
Own capital of an enterprise in any form of ownership, except for the state, contains in its structure the statutory fund, shares, shares in various business companies and partnerships, proceeds from the sale of company shares (primary and additional), accumulated reserves, public finances in the organization.
For state-owned enterprises, the structure includes public financial resources and deferred deductions from revenue.
Borrowed capital
The structure of funds taken under a loan consists of capital for which this or that property is pledged, regardless of whether a mortgage is issued or not, loans received from banking institutions, bills of various types.
Summarize.
What are the assets of the company:
- Fixed and production assets
- Movable and immovable property
- Cash
- Inventory
- Securities
- Receivables
What are the liabilities of the company:
- Authorized capital
- Credits and loans from other individuals and legal entities
- Undestributed profits
- reserves
- taxes
- Accounts payable
The difference between a liability and an asset
The difference is their different functions; each of these elements of the balance sheet illuminates its side of office work. However, they are closely interconnected.
With an increase in the asset, the liability necessarily increases by the same amount, that is, the debt obligation of the enterprise increases. The same principle also applies to liabilities.
For example, if a new loan agreement is concluded with a bank, assets automatically increase, as new finances enter the organization, along with this, the enterprise has a liability - a debt to the bank. At the moment when the organization repays this loan, there will be a decrease in assets, since the amount of money in the company's account will decrease, along with this, the liability will also decrease, since the debt to the bank will disappear.
It is from this principle that the equality of liabilities and assets of the enterprise follows. Any change in the former entails a change in the latter by the same amount and vice versa.
Getting to know accounts
What are accounting accounts? In accounting, this concept comes up all the time. And this is not surprising, because this is the basic concept of accounting, it is on the accounts that all business transactions occurring at the enterprise are recorded.
An account is displayed as a two-sided table, the left side is called debit, the right side is called credit. Each separate account is used to account for certain business transactions, which are grouped according to homogeneous characteristics. For example, accounting for materials occurs on the account. 10 "Materials", accounting of fixed assets - 01 "Fixed assets", accrual and payment of wages to employees - 70 "Settlements with personnel for wages".
In total there are 99 accounts, their list is given in a special book called the Chart of Accounts. An organization may not use all of them. In the process of forming an accounting policy, it is determined which accounts will be needed to account for transactions occurring at this enterprise. Further, they are selected from the standard Plan, their list is approved in the order on accounting policy. Thus, the organization forms its own working chart of accounts - that is, a list that will be used in accounting, taking into account the specifics of the organization's activities.
Each enterprise develops its own work plan, fixing it in the accounting policy.
What is a Chart of Accounts
This is a list of all available accounting accounts. This document is being developed by the Ministry of Finance of the Russian Federation.
All accounts in a single Plan are divided into sections. For each, sub-accounts are indicated for it and brief information about what it is intended for, what operations are taken into account on it.
Each account in the standard Plan is assigned a two-digit code and name. For example, accounting for cash is kept on the account. 50 Cashier.
In addition, the standard Plan also contains the so-called off-balance accounts, which are designed to account for property that does not belong to this enterprise. They are assigned three-digit code designations. For example, accounting for fixed assets leased is kept on an off-balance sheet account. 001 "Leased fixed assets".
Structure of the Plan
In total, there are 8 sections in a single Plan. The first 5 sections are accounts on which property, finished products, goods, materials, and the production process are recorded. For example:
- Section 1 - non-current assets - a list of accounts associated with non-current assets (01 "Fixed assets", 02 "Depreciation", 04 "Intangible assets", etc.) is given.
- Section 2 - production stocks - a list of accounts intended for accounting for the production process (20 "Main production", 23 "Auxiliary production", etc.).
Section 6 provides accounting accounts that keep records of the obligations of the enterprise.
In sections 7 and 8 - on which capital and financial results are kept.
How is bookkeeping done with invoices?
Accounting information is presented in monetary terms.
When any operation is performed, a primary accounting document is necessarily drawn up, on the basis of which this operation is recorded on the accounts.
This entry is carried out according to the principle of double entry and is called an accounting entry. In short, when any operation is performed, the amount of the operation is recorded simultaneously on the debit of one account and on the credit of another, this will be the posting.
For example, the cashier of the enterprise received money from the buyer. The accountant must issue a primary document cash receipt order, which indicates the amount of cash receipts at the cash desk. Based on this order, a posting will be made to the account. 50 "Cashier" and 62 "Settlements with buyers" - the amount received must be simultaneously recorded on debit 50 and credit 62.
Each business transaction is subject to mandatory recording on the accounts of accounting, on the debit of one and on the credit of the other.
For a month, every day, the accountant takes into account all transactions using postings.
At the end of the month, the debit turnover and the credit turnover are calculated for each account.
The initial debit balance, if any, is added to the debit turnover for the month (SND). The amount of credit turnover for the month and the opening balance of the loan, if any, are subtracted from the obtained value (Snk)).
Formula for calculation:
Sk \u003d (Snd + Od) - (Snk + Ok)
If the resulting balance is positive, then we have a debit ending balance of the account; if negative, we have a credit.
At the beginning of the next month, each account is reopened, the closing balance from the previous month is transferred to the current one, the debit end balance is transferred to debit, and the credit end balance is transferred to credit. It will be the opening balance.
This process is continuous, this is the main principle of the organization of accounting in the enterprise - the continuity of accounting.
Thus, accounting accounts are the main tool used in the accounting process.
An example of accounting for transactions on an account
Let's take c. 10 "Materials". At the beginning of the month (February), the enterprise has materials in the amount of 100,000 rubles in its warehouses. During February, the company purchased more materials in the amount of 20,000 and 30,000. In February, materials in the amount of 70,000 were released into production. 10?
sch. 10 - active, which means that it takes into account the assets of the enterprise (materials). All receipts are reflected in the debit, disposals (release to production) - in the credit.
February:
- At the beginning of February, we have materials in the amount of 100,000 - this will be the initial debit balance (Snd = 100,000).
- During February, materials were received for 20,000 and 30,000. These amounts should be debited to account 10.
- Released for production of materials for 70,000, we put this amount on credit account 10.
February is over, close account 10:
- Calculate the debit turnover and the credit turnover:
Od \u003d 20000 + 30000 \u003d 50000
OK = 70000
- Calculate the closing balance:
Sk \u003d Snd + Od - Ok \u003d 100000 + 50000 - 70000 \u003d 80000.
March:
- We transfer the closing balance from February to March. We enter in the debit account 10 the debit balance Sk = 80000, this will be the initial debit balance for the current March.
- We fix all current operations on the receipt of materials and their release into production.
- We close account 10 at the end of the month (we count the turnover and the final balance)
April:
- We transfer the closing balance from the previous month to the current one.
- etc.
The process continues ad infinitum.
Types of accounting accounts, description and application
Let's look at the types of accounting accounts. Let's get acquainted with active, passive and active-passive accounts, as well as synthetic and analytical.
According to the type of relationship with the economic balance, accounting accounts are divided into active and passive, as well as active-passive. Let's consider these types in more detail, since they are the main elements in the classification of the financial balance.
The concept of an active accounting account
Required to display all processes directly related to the presence and use of the company's property values. This implies the reflection of not only property in material form, but also the intangible values of the company (trademarks, patents, etc.). In this case, the active account number can tell with approximate accuracy what kind of property is in the possession of the owner of the organization - the owner of the financial balance.
In simpler terms, active accounts keep records of the assets of the enterprise. In order to understand whether an account is active or not, you need to know their distinguishing features:
- Opening balance is always debit
- The closing balance is also debit
- A debit reflects an increase in an asset, a credit a decrease.
Examples:
Active accounts include - 50 "Cashier", 10 "Materials", 01 "Fixed assets", 04 "Intangible assets", etc.
Take, for example, c. 10 "Materials", for it all three signs indicated above are fulfilled. It keeps records of assets - materials. Upon receipt of materials (increase in asset), a debit entry is made, upon disposal (decrease in asset), a credit entry is made. The balance is always debit, because it is not possible to release more materials into production than are in stock. This means that the debit will always be greater than the credit. That is, c. 10 - active in all respects.
The concept of a passive account in accounting
Aimed at accounting and control of information about all sources of financing of the enterprise, which are divided into own and borrowed (borrowed). The company's equity capital contains in its structure all the profit that the organization received without financial assistance from outside. Sources attracted consist of all loans and credits involved in the business of the company, which the company has issued.
Thus, passive accounts keep records of the company's liabilities. Passives are characterized by:
- Credit opening balance;
- Credit ending balance;
- An increase in liability is shown as a credit and a decrease as a debit.
Examples passive accounts:
80 "Authorized capital", 83 "Additional capital", 66 "Settlements on short-term credits and loans", 67 "Settlements on long-term credits and loans", etc.
Take, for example, c. 67, it is designed to account for loans issued to an enterprise for a period of more than 1 year, that is, it keeps records of liabilities.
The appearance of a loan (increase in liability) is reflected in the loan account 67, its payment (decrease in liability) - in debit. The balance will be in credit until the loan is repaid and the account is closed.
Active-passive accounts
Usually you can immediately identify by the names of accounting documentation. As a rule, with this type of accounting accounts, the name of the document begins with the word "calculation" (for example, "calculations with personnel", "calculations with the budget", etc.). They also serve to display all settlements with different types of counterparties (active and passive), to report information about receivables and payables, to control the results of the enterprise's office work, its profit or loss.
That is, active-passive accounts take into account both assets and liabilities of the enterprise. They are characterized by features of both active and passive accounts of accounting.
Examples active-passive:
60 “Settlements with suppliers”, 62 “Settlements with buyers”, 76 “Settlements with various debtors and creditors”, 90 “Sales”, 91 “Other income and expenses”, 99 “Profit and loss”, etc.
Example - is account 62 active or passive?
When the goods are sold to the buyer, the buyer's receivables arise before the organization, which is an asset, we reflect its appearance on the debit of account 62, when the buyer repays the debt, we will credit the repayment amount to account 62. We see that the appearance of an asset is reflected in the debit, and its decrease in the loan, it turns out that for the account. 62, the signs of active accounts are fulfilled.
Let's take another situation, the buyer transfers the advance payment to the organization until the organization ships the goods against this payment, it will be creditor debt to the buyer. The appearance of this debt (that is, the receipt of an advance) we will reflect on the loan account. 62. At the time of shipment to the buyer of the goods, the accounts payable will decrease, while a debit entry will be made 62. That is, we will reflect the appearance of a liability (debt) on a loan, and its decrease on a debit. It turns out that account 62 obeys the rules characteristic of passive accounts.
Based on this, we can conclude that account 62 is active-passive, since it is characterized by the features of both active and passive accounts, it keeps records of both assets and liabilities.
Synthetic and analytical
According to the degree to which all accounting information is detailed, they are divided into synthetic and analytical.
Synthetic accounting accounts imply a generalized description of the data, in which all information is presented concisely and without clarification. To enter any additional information into the document, sub-accounts are used. A sub-account is a component of a synthetic account. The account is kept in monetary terms.
For the highest level of detail, use analytical accounts in which the required data is displayed in detail, including all the necessary elements and nuances. On analytical accounts, accounting can be kept in other equivalents: in kilograms, meters, liters, pieces, etc., as it is convenient for an accountant.
For example, an organization has 41, which takes into account goods (various types of cereals) in a generalized form in rubles. To synthetic SC. 41 analytical accounts “Millet groats”, “Semolina groats”, etc. are opened for convenience, on which records are kept in kilograms.
What other types of accounts are there?
In accordance with the economic content, they are divided into accounts of assets, sources of formation of assets and business transactions. They display all types of active funds, as well as those capitals that are intended for subsequent sale. Accounts showing sources of asset formation, contain information about all the ways in which funds come from, including own income and borrowed capital. Business transactions accounts include in their structure all data on the financial profit of the enterprise, as well as information on the expenses of the enterprise for various purposes.
According to the sequence of indications in the accounts, the accounts are divided into nominal And off-balance sheet.
According to their purpose and structure, they can be basic, regulatory, budgetary and distributive, operational, financially effective, etc.
Features of the use of off-balance accounts
Often, in the process of work, enterprises have to perform operations to record the movement and storage of property that does not belong to them. In addition, it is necessary to keep records of transactions related to the fulfillment of requirements and obligations to partners. For these purposes, off-balance (off-balance) accounts are used.
Off-balance accounts are designed to record and enter information about material values that do not belong to an economic entity and are temporarily at its disposal. Off-balance accounts are also used to control certain types of financial transactions. Their name emphasizes that they are out of balance and are not taken into account in it.
The need for separate accounting of values that do not belong to an economic entity is explained by the fact that only own funds and the sources that form them should be taken into account in the main balance sheet. If the company's balance sheet also reflects values that do not belong to it, then it turns out that they are taken into account twice: with the owner and with the temporary owner. This will be contrary to the law and distort the real financial situation of enterprises.
The main purpose of off-balance sheet accounts
- control of the use and safety of material assets that are at the enterprise on a leasehold, safekeeping, transferred for installation, processing and other similar purposes
- accounting for conditional rights or obligations of a business entity
- control of relevant types of business transactions
- providing comprehensive information on funds that are out of balance for management purposes, as well as the possibility of assessing the position of the enterprise in financial terms.
The off-balance sheet account has a traditional, albeit slightly simplified, structure. It reflects the opening balance, the receipt and write-off of material assets during the month, the final balance.
Types of off-balance accounts
In accordance with the Chart of Accounts, approved by Order of the Ministry of Finance of October 31, 2000 N 94n (as amended on November 8, 2010), several main types of off-balance accounts are used for organizations and enterprises of the Russian Federation, which are listed below.
Off-balance accounts include:
001 "Leased fixed assets". Required to enter information about leased fixed assets. Such funds are accounted for in accordance with the valuation adopted in existing lease agreements.
002 "Commodity and material assets accepted for safekeeping". This off-balance account serves to enter information about material assets for which, for one reason or another, payment has not been made, or temporarily accepted on the balance sheet.
003 "Materials accepted for processing". It is intended to display the availability and movement of raw materials or materials taken for processing and not paid by the manufacturer. Accounting is carried out in the prices reflected in the relevant contracts.
004 "Goods accepted for commission". It is used by organizations that accept goods for commission in accordance with the contract. Accounting is kept in prices determined by acceptance certificates.
005 "Equipment accepted for installation". The off-balance account is used by contractors to reflect information about all types of installation equipment that was provided by the customer.
006 "Forms of strict reporting". Displays available and issued under the report forms for certificates, diplomas, subscriptions, tickets, receipts and other similar reporting forms. The account is kept in conditional prices. Each form type is counted separately.
007 "Debt written off at a loss of insolvent debtors." Here you can find information about the written-off debts. Such accounts are maintained five years after the debts have been written off, in order to control the possibility of recovery when the solvency of borrowers changes.
008 "Securities for obligations and payments received". Contains information on the availability and movement of funds received as guarantees for securing obligations, as well as guarantees that were received for goods transferred to other organizations. The amount of the guarantee for accounting is determined by the terms of the contract.
009 "Securities for obligations and payments issued". Reflects funds issued as guarantees to secure obligations.
010 "Depreciation of fixed assets". This off-balance sheet account is intended to summarize data on the movement of amounts reflecting the depreciation of housing stock, landscaping, road facilities and the like, as well as fixed assets (in the case of non-profit organizations). Depreciation is charged at the end of the year at the rate of depreciation.
011 "Fixed assets leased out". Serves to display data on objects classified as fixed assets and leased. It is used in cases where, under the terms of the contract, the property must be reflected on the balance sheet of the tenant. Accounting is carried out in the prices appearing in the lease agreement.
In addition to those listed, the list of off-balance accounts can be supplemented by the organization itself, in accordance with the specifics of its activities. This should be reflected in the accounting policy.
For some types of economic entities, slightly different off-balance sheet accounts are used. Thus, the Order of the Ministry of Finance of the Russian Federation No. 157n defines the chart of accounts for state and local authorities, extra-budgetary funds, scientific and educational institutions, and government agencies. This plan specifies twenty-six types of off-balance accounts that can be used by these organizations as needed.
Learning how to write accounting entries
In each enterprise, in the process of activity, there are many business transactions that must be taken into account in accounting. For their accounting, there are accounting accounts. Accounting for transactions in accounting accounts occurs using posting. What is this - wiring? How to make accounting entries? What is the principle of double entry in accounting?
The essence of double entry
At the time of any operation, there is a change in the funds and sources of the enterprise, the accounting of which takes place in the accounting accounts. Each transaction affects two accounts, the amount of the transaction is simultaneously reflected in the debit of one and the credit of the other. This is the double entry method.
Example:
Let us explain the principle of double entry with a simple example. Take any operation, for example, the receipt of cash from the buyer to the cashier. In this case, there is a simultaneous increase in cash on hand and a decrease in the buyer's debt. Accounting for cash is kept on the account. 50 "Cashier", all settlements with buyers are reflected in the account. 62.
According to the principle of double entry, we must reflect this event on two accounts: 50 “Cashier” and 62 “Settlements with buyers”. The amount of cash received must be reflected in the debit of one and the credit of the other.
Cash is an asset of the enterprise, the increase in the asset is reflected in the debit of the account, that is, the amount received must be reflected in the debit of the account. fifty.
The buyer's debt is also an asset, the decrease in debt is reflected in the credit account. 62.
That is, a business transaction - the receipt of cash from the buyer in the accounting department is reflected using a simultaneous double entry on debit 50 and credit 62. The entry is made for the same amount in the amount of cash received.
The concept of accounting entry
A double entry in accounting is a posting, or rather an indication of the accounts, on the debit and credit of which an entry was made for the amount of the operation.
Take the example above, we made a simultaneous entry for debit 50 and credit 62, a record of the form Debit 50 Credit 62 will be a posting. For convenience, it is reduced to the form D50 K62.
Two accounts that participate in the accounting entry are called offsetting. And the very relationship between these accounts is called the correspondence accounts of accounting.
Examples:
Here are some more examples of accounting entries:
D10 K60 - materials from the supplier are accepted for accounting.
D70 K50 - wages paid to the employee.
D71 K50 - cash was issued against the report to the employee.
D20 K10 - materials released into production.
How to wire - three easy steps
Every day, the company performs a lot of business operations, for each of which the relevant primary documents are drawn up. Based on these documents, the posting will already be made. In order to correctly account for the amount of the operation, you need to be able to correctly draw up transactions.
For a novice accountant, compiling accounting entries often causes a lot of difficulties and in vain. Compiling wiring is quite simple, how to do the wiring correctly?
You need to follow three simple steps:
- Step 1 - Determine which accounting accounts are involved in the operation, for this, a working chart of accounts is taken and suitable accounts are selected from it
- Step 2 - Determine which account the transaction amount should be debited and which should be credited
- Step 3 - Perform simultaneous double entry on these accounts
Let's look at these steps with an example.
An example of compiling accounting entries
So, some event happened at the enterprise, let's say, goods arrived from the buyer. How to wire?
We analyze the operation - the goods arrived from the buyer, which means that there are more goods in the warehouses, while the organization began to accrue a debt to the supplier. Moreover, the amount of the debt is equal to the value of the delivered goods.
- Step 1- You need to select 2 accounts that participate here:
- the goods are taken into account on the account. 41 "Goods";
- all relationships with suppliers are conducted on the account. 60 "Settlements with suppliers".
Thus, the transaction amount must be reflected in two accounts: 41 and 60. - Step 2- The product is an asset of the enterprise. The receipt of goods is an increase in the asset. On the active account 41 the increase in the asset is reflected in the debit.
The debt to the supplier is an accounts payable (liability), the appearance of debt means an increase in liabilities. On the active-passive account 60, the increase in liabilities will be reflected in the loan. - Step 3- We carry out the posting according to the double entry principle - we enter the amount in debit 41 and credit 60 - we get a posting of the type D41 K60.
The concept of enterprise accounting policy
Organizations, enterprises and other economic entities differ in their form of ownership, asset structure, number of employees and other characteristics. In such a situation, it is impossible to apply strict uniform standards for the organization of accounting to all participants in economic activity. Therefore, it became necessary to differentiate the methods of conducting accounting activities for different types of enterprises. Hence the concept of the accounting policy of an economic entity appeared.
Accounting policy is a set of ways to organize accounting by an economic entity. In other words, federal standards allow various types of forms of accounting documents and organization of accounting, from which each entity chooses the methods most suitable for its activities. These methods include various options for grouping and evaluating the activities of an enterprise, paying off the value of its assets, ensuring the circulation of documents, conducting an inventory, using accounts, accounting registers, and others.
The accounting policy is approved by order of the head, which can be drawn up according to the following model:
Who forms the accounting policy of the organization
The accounting policy of the enterprise is regulated by the Federal Law No. 402-FZ of December 6, 2011 (Article 8), as amended on July 18, 2017, and the Accounting Regulation "Accounting Policy of the Organization" (PBU 1/2008). In accordance with these regulations, the accounting policy must be developed by the chief accountant (or other person authorized to keep accounting records) and approved by its head.
Law No. 402-FZ cancels the previously used standard forms of primary documentation, now such documentation is also approved by the head of the enterprise. Here is a list of required items. Paragraph 4 of Article 8 clarifies that in the absence of accounting methods adopted by federal standards for a particular type of object, the latter can independently develop such methods, in accordance with the requirements of the legislation and existing standards.
Development of an enterprise accounting policy
Regulation PBU 1/2008 explains the organization of accounting policies in more detail. Thus, paragraph 5 introduces the implied assumptions:
- assets and liabilities of the enterprise are separated from the assets and liabilities of its owners (and assets of other organizations)
- the organization will carry out continuous activities in the long term and the fulfillment of its obligations will be guaranteed
- a consistent annual accounting policy will be ensured
- the facts of the economic activity of the organization correspond to the reporting period in which they occurred, regardless of the time of receipt of funds.
Paragraph 6 of PBU specifies the general principles of accounting policy, which should ensure:
- complex display of all facts of economic activity
- timely entry of these facts into accounting documents
- priority of recognition of all expenses and liabilities over possible income and value of assets
- priority of the economic component of economic activity over its legal form
- compliance of the results of analytical accounting with the accounts of synthetic accounting on the last day of the period
- rationality of accounting in accordance with the type of activity and the size of the organization.
Clause 4 of the Regulation introduces the main sections of the accounting policy that make up the structure of accounting activities. The head of the organization must approve:
- accounting chart (synthetic and analytical accounts).
- forms of primary documentation, accounting registers and internal reporting
- methodology for inventorying the assets and liabilities of an organization
- options for valuing these assets and liabilities
- order of document circulation and information processing
- methods of control of economic activity
- other documents regulating accounting at a particular enterprise.
The third section of the Regulations PBU 1/2008 is devoted to change in accounting policy. It is valid in three cases:
- changes in federal legislation and regulations on accounting
- development by the organization of better and more efficient ways of keeping records
- significant reorganization, changes in the scope of the enterprise.
The introduction of a new accounting policy must be carried out, mainly from the beginning of the reporting period. Mandatory approval of the new accounting structure by the relevant orders of the head of the enterprise. The possible financial consequences of such a change should be reflected in the financial statements.
The leaders of many organizations underestimate the importance of the relationship of accounting policies with the results of the enterprise. The correct accounting policy has a positive impact on the cost of products, gross profit, and other indicators of the financial position of the organization. In the absence of an effective accounting policy, it is impossible to make a comparative analysis of the activities of an enterprise in different periods, as well as to compare the results obtained with those of other similar enterprises.
Download Sample
Accounting policy for 2017 sample free download for OSNO - link.
Small business entities
Organizations and individual entrepreneurs can be classified as small businesses if they meet the criteria established by Article 4 of Federal Law No. 209-FZ of July 24, 2007. In this article, first of all, it is said that commercial organizations, individual entrepreneurs, farms and consumer cooperatives can be classified as small enterprises if they meet the criteria established by this article.
On June 30, 2015, Federal Law No. 156-FZ of June 29, 2015 came into force, which introduced some changes to the criteria for determining a small business entity. The current criteria, as well as the changes introduced by the new law, will be discussed below.
Small businesses can maintain simplified accounting, submit simplified financial statements, apply a simplified procedure for cash discipline.
Criteria for small businesses in 2015
Criterion 1 - Average number of employees
Enterprises does not exceed 15 people, then the enterprise belongs to micro-enterprises (a kind of small business entities).
If the average number of employees does not exceed 100 people, then the organization or individual entrepreneur can be attributed to small enterprises.
If the average number of employees over 100, but not more than 250 people, then the enterprise belongs to medium-sized enterprises.
The average number is taken over the past calendar year.
2015 change: according to the new law, an enterprise can be classified as a small business if this condition is met for three years in a row (previously it was enough for 2 years). An organization or individual entrepreneur will cease to be small if the average number exceeds 100 people for 3 years in a row.
Criterion 2 - Revenue from the sale of goods or services
There is a marginal value of proceeds from the sale of goods and services, which distinguishes between small and medium-sized enterprises.
If the revenue for the calendar year, excluding value added tax does not exceed 60 million rubles., an enterprise is considered a micro-enterprise.
If the revenue does not exceed 400 million rubles. per year, then it is a small business.
If revenue does not exceed 1 billion rubles., then the company is considered medium.
The revenue limits are set by the Government of the Russian Federation.
2015 change: to classify an organization or individual entrepreneur as a small enterprise, it is necessary that this criterion be met for at least three consecutive years (previously it was 2 years). An organization or individual entrepreneur will be able to lose the status of a small enterprise only if the revenue exceeds the limit value for three consecutive years.
Criterion 3 - share of participation in the authorized capital
An organization or an individual entrepreneur can be classified as a small business if the authorized capital of the organization:
- share of the state, constituent entities of the Russian Federation, MO, charitable and other foundations, public and religious organizations no more than 25%
- share of other organizations that are not small, no more than 49%(previously it was 25%)
- share of foreign organizations no more than 49%(previously it was 25%)
Based on materials: buhs0.ru
Accounting is a system based on the laws of mathematics for accounting for the property and obligations of an enterprise, financial performance and business operations performed by it.
In Russia, the accounting procedure is regulated by the federal law "On Accounting" dated Brief Information on Accounting No. 402-FZ (with subsequent amendments) and a number of Accounting Regulations approved by the Ministry of Finance of the Russian Federation.
Before starting a story about accounting, let's pay tribute to the memory of its founder - the Italian scientist, mathematician Luca Pacioli, who lived in the Middle Ages (1445 - 1517). In 1493, Luca Pacioli completed his main scientific work "The sum of arithmetic, geometry, the doctrine of proportions and relations", which included "A Treatise on Accounts and Records". The book, on which Luca Pacioli worked for almost thirty years, was published in Venice in 1494. It was in the Treatise on Accounts and Records that Pacioli for the first time in the world described the double entry system for accounting accounts, on which all modern accounting is built.
Accounting is a rather complicated matter, the practical skills of which cannot be obtained after reading a short material. Therefore, the purpose of this chapter is not to teach you about accounting (there are accounting courses and specialized educational institutions for this), but to give you a general idea about it.
Probably, many of our readers believe that small businesses are exempt from accounting (heard from someone, read about it somewhere ...), and will ask the question: why does a novice entrepreneur need all this? But this is another misconception that exists among beginners. In fact, only individual entrepreneurs are actually released from the obligation to keep accounting records. If you are going to open a legal entity - LLC, JSC or other organizational and legal form, you will need to keep accounts, and regardless of the taxation system. This has already been discussed in detail in Chapter 6, so we will not return to this topic here.
In addition, knowing the basics of accounting, you will be able to understand what your accountant does and control his work, and not take all his actions and explanations for granted.
As already mentioned, bookkeeping is based on the double-entry method - hence the expression "double-entry bookkeeping". By the way, many people think that it has a negative, even criminal meaning and means that some dishonest firms keep separate accounting "for themselves", and another - with distorted data - for regulatory authorities, but this is absolutely not true. Double entry is a method of recording business transactions in which the amount of each transaction is recorded twice - on the debit of one and on the credit of another accounting account.
An account in the accounting department is a set of accounting records that record the movement of the enterprise's cash on homogeneous (having similar characteristics) business transactions. A business transaction, in turn, refers to any action that entails a change in the financial condition of the enterprise (the simplest examples: receiving payment from the buyer, paying wages to an employee, writing off materials for production, payment by the founder of a share in the authorized capital of an LLC).
Accounts are numbered from 01 to 99. A complete list of accounts with their names and instructions for using each of them is contained in the "Chart of Accounts for Accounting for the Financial and Economic Activities of Organizations" (briefly - "Chart of Accounts"), approved by Order of the Ministry of Finance of the Russian Federation of October 31 .2000 No. 94n (with subsequent changes).
Examples of some accounts:
01 - "Fixed assets" - is intended to summarize information on the availability and movement of fixed assets of the organization (production equipment, vehicles, buildings, structures, etc.) that are in operation, stock, mothballed, leased, trusted;
10 - "Materials" - is intended to summarize information on the availability and movement of raw materials, materials, fuel, spare parts, inventory and household supplies, containers, etc. organization values;
19 - "Value added tax on acquired valuables" - is intended to summarize information on the amounts of value added tax paid (payable) by the organization on acquired valuables, as well as works and services;
20 - "Main production" - is intended to summarize information on the costs of production, the products (works, services) of which were the purpose of creating this organization;
41 - "Goods" - is intended to summarize information on the availability and movement of inventory items purchased as goods for sale;
50 - "Cashier" - designed to summarize information on the availability and movement of funds at the cash desks of the organization;
51 - "Settlement accounts" - is intended to summarize information on the availability and movement of funds in the currency of the Russian Federation on the settlement accounts of the organization;
60 - "Settlements with suppliers and contractors" - is intended to summarize information on settlements with suppliers and contractors for received inventory items, accepted work performed and consumed services, etc.;
62 - "Settlements with buyers and customers" - is intended to summarize information on settlements with buyers and customers;
68 - "Calculations on taxes and fees" - is intended to summarize information on settlements with budgets for taxes and fees paid by the organization, and taxes with employees of this organization;
69 - "Calculations for social insurance and security" - is intended to summarize information on the calculations for social insurance, pension provision and compulsory health insurance of employees of the organization;
70 - "Settlements with personnel for remuneration" - is intended to summarize information on settlements with employees of the organization for remuneration (for all types of remuneration, bonuses, benefits, pensions for working pensioners and other payments), as well as for the payment of income from shares and other securities of this organization;
80 - "Authorized capital" - is intended to summarize information on the state and movement of the authorized capital (share capital, authorized fund) of the organization;
99 - "Profit and Loss" - is intended to summarize information on the formation of the final financial result of the organization's activities in the reporting year.
All accounts have the following structure:
Opening balance
Debit turnover - Credit turnover
Final balance
where:
Debit - comes from the Latin debet - "he must" and, to put it simply, denotes the obligations of debtors (i.e. counterparties who owe organizations for something);
Credit (emphasis on the first syllable - credit) - translated from Latin - "he believes", as opposed to debit, denotes the organization's obligations to creditors (who "believe" that the organization will pay them or repay obligations in another way);
The opening balance is the account balance at the beginning of a certain period (usually a day, month, quarter, year), expressed in monetary terms;
Debit turnover - the sum of all transactions reflected in the debit of the account during the period;
Loan turnover - the sum of all transactions recorded on the credit of the account during the period;
Closing balance - the balance of the account at the end of the period, expressed in monetary terms.
Some believe that debit and credit are analogous to income and expense. In some cases this is true, but sometimes it is the other way around. The fact is that accounting accounts are divided into three groups - active, passive and active-passive.
Accounts that take into account the economic assets of the enterprise, its property (equipment, materials, finished products, cash) are called active. An increase in funds in such accounts is reflected in the debit, and their spending is reflected in the credit. The closing balance of an active account can only be a debit balance. An example of an active account is 50 "Cashier" (it is obvious that the cash balance in the cash desk cannot be negative, because the amount of cash is less than zero - this is nonsense).
Accounts that keep records of sources of economic funds (authorized capital, profits, loans) are called passive. On passive accounts, an increase in sources of economic funds is recorded on a loan, and a decrease on a debit. The final balance of a passive account can only be obtained from a loan.
Accounts on which both types of economic assets and the sources of their formation can be taken into account are called active-passive. These include accounts that reflect the settlements of the enterprise with the budget, suppliers, accountable persons, etc., since in the process of settlements these persons can act both as debtors of the enterprise and as its creditors.
Therefore, the debit is similar to the income, and the credit to the expense in the entries for active accounts, and for passive accounts the situation is reversed - the income is recorded as a credit, and the expense as a debit. It is not difficult to guess that for active-passive accounts, income and expenditure can, so to speak, change places and, depending on the nature of a particular operation, be accounted for either by debit or by credit. The ending balance of an active-passive account can be both debit and credit.
For convenience, one or more sub-accounts can be linked to the accounting account, which are "second-order" accounts and are used for more detailed accounting of individual indicators. They allow you to group accounting data in accordance with the needs of financial and management reporting and the need for economic analysis of the enterprise. For example, according to the Chart of Accounts, the following sub-accounts can be opened to account 69 "Settlements for social insurance and security":
69-1 "Calculations for social insurance",
69-2 "Calculations for pensions",
69-3 "Calculations for compulsory health insurance".
The foregoing is rather difficult for a person who is far from accounting to perceive. Therefore, let's move on to examples and show how the most typical business transactions are reflected in the account entries.
Example 1. The customer transferred 100,000 rubles to the company as payment for the work performed.
This operation is written as follows:
Debit 51 of account "Settlement accounts" 100,000 rubles - Credit of account 62 "Settlements with buyers and customers" 100,000 rubles.
As you can see, the amount of 100,000 rubles is recorded 2 times - once for debit, the second for credit. As already mentioned, that is why this method of recording business transactions is called "double entry".
One entry for the debit and credit of the respective accounts is called accounting entry. Accountants often use an abbreviated version of postings: D [account number] - C [account number] amount. For our example, it would look like this:
D 51 - K 62 100.000
The amount 100,000 in such an entry is indicated once, not twice, for brevity, but it is understood that it is the same for both debit and credit.
The amounts recorded in the debit and credit of one transaction are always the same, if you ever come across a different record, you should know that this is a gross mistake.
Example 2. An organization paying value added tax received previously paid production materials from a supplier in the amount of 120,000 rubles (including VAT 20,000 rubles).
As you saw, the business transaction considered in the previous example was described in accounting by one posting. However, this is not always the case - quite often, in connection with the completion of one business transaction, it is necessary to make several accounting entries. Here are the wiring to be done in our case:
D 10 - K 60 100.000
D 19 - K 60 20.000
Accounting for the operation using two entries here is due to the fact that, according to the accounting rules, the received materials are recorded on account 10 at a cost without VAT, and the VAT amount is accounted separately - on account 19.
Example 3. Accrual by an enterprise applying a simplified taxation system of wages to an employee engaged in the main production in the amount of 40,000 rubles.
In accordance with the law, simultaneously with the calculation of wages, it is also necessary to accrue:
- insurance contributions to the Pension Fund of the Russian Federation, rate 22%,
- insurance contributions to the Social Insurance Fund "from accidents and occupational diseases", rate 0.2% (the rate depends on the class of occupational risk, here we assume that the company pays these contributions at the minimum rate),
- insurance contributions to the Social Insurance Fund "in case of temporary disability and in connection with motherhood", the rate is 2.9%; - insurance contributions to the Federal Compulsory Medical Insurance Fund, the rate is 5.1%. - personal income tax, rate 13% (withholding tax from wages is carried out in connection with the fulfillment by the enterprise of the duties of a tax agent).
To reflect these accruals in the accounting, you must make the following postings:
D 20 - K 70 40.000 - wages accrued;
D 20 - K 69.2 8.800 - insurance premiums in the Pension Fund are accrued;
D 20 - K 69.1 80 - insurance contributions to the FSS "from accidents ..." are accrued;
D 20 - K 69.1 1.160 - insurance premiums have been accrued to the FSS "in case of temporary disability ...";
D 20 - K 69.3 2.040 - insurance premiums have been accrued to the FFOMS;
D 70 - K 68 5.200 - personal income tax withheld.
Example 4. Paying wages in cash to the employee from the previous example.
Example 3 was about accrual wages - i.e. on the reflection in accounting of the obligation of the organization to the employee to pay him wages. In the same way, obligations to pay tax (personal income tax) and insurance contributions to off-budget funds were taken into account. But the existence of an obligation does not mean its automatic fulfillment. In addition, the accrual of an obligation and its fulfillment may not coincide in time. For example, wages for the second half of the month are accrued no later than the last date of this month, and the payment itself is usually made already in the next month. Therefore, the repayment of obligations (in our case, the payment of wages and the transfer of tax to the budget and contributions to extra-budgetary funds) is reflected in the accounting by separate entries:
D 70 - K 50 34.800 - wages paid from the cash desk (accrued 40.000 minus personal income tax 5.200);
D 69.2 - K 51 8.800 - insurance premiums in the PF were transferred from the current account;
D 69.1 - K 51 80 - insurance premiums were transferred from the current account to the FSS "from accidents ...";
D 69.1 - K 51 1.160 - insurance premiums to the FSS "in case of temporary disability ..." are transferred from the current account;
D 69.3 - K 51 2.040 - insurance premiums were transferred from the current account to the FSS "in case of temporary disability ...";
D 68 - K 51 5.200 - transferred from the personal income tax account to the budget.
You may ask, how do you find out what wiring needs to be done in a given business situation? First of all, when making postings, one should be guided by the already mentioned Chart of Accounts. In addition, there are albums of typical accounting entries - they can be found on the Internet or bought in specialized literature stores.
We have already talked about active and passive accounts above. But what exactly is this - assets And liability? These are the most important concepts used in accounting. They come from the Latin words "activus" - active and "passivus" - passive, inactive. In modern accounting, an asset reflects the state, placement and use of enterprise funds, and a liability reflects the sources of formation of these funds. Assets and liabilities that are components of the accounting balance.
The balance sheet is a way of summarizing and grouping the assets of an enterprise and the sources of their formation - liabilities at the beginning of the reporting year and the end of the reporting period (quarter, half year, 9 months and year) in monetary terms. Technically, the balance sheet is a table consisting of two parts - an asset and a liability, which, in turn, are divided into separate elements - sections and articles included in the sections (balance lines). The values of the articles of the balance sections are calculated as the sum or difference of the balances (opening and closing balances) of the accounts related to a particular article.
The balance sheet asset is always equal to the liability - this is an immutable rule of accounting. You may have heard the expression "balance sheet" used by accountants. It means that the accountant, when compiling the balance sheet, received unequal values of the asset and liability, and is looking for an error that may have been previously made in the accounting entries or that arose as a result of incorrect indication of the amounts in the balance sheet items, due to which the asset does not converge with the liability. As a result of "balancing", the amounts of the asset and liability should become the same.
Was this chapter of the Handbook helpful to you?
Please enter the amount in the field below (or leave the default 100 rubles) and click "Pay".
Accounting- a step-by-step system of accounting, registration, collection of information on obligations and cash flows and documentation of a legal entity.
According to the legislation of the Republic of Kazakhstan, accounting can be maintained by: a manager, an accountant, or an incoming accountant or an outsourcing company.
Today, any entrepreneur can keep the accounting of an individual entrepreneur or limited liability partnership on a simplified taxation system independently. It is enough to register in the online service site, if you have a registered enterprise, then follow the link, test mode for 3 days, absolutely free, then from 5500 tenge per month, depending on which tax forms you submit.
What does an LLP/IP do on a simplified regime on a monthly basis:
- Calculates payroll taxes and pays them by the 25th day of the next month - automatic calculation of payroll taxes
- Issues or receives primary documents (bills, acts, waybills, invoices) - you can see how simple and convenient everything is
- Carries out a bank statement - everything is much easier with Alfa-Bank here
- Forms tax reporting and sends it to the tax office - 910 form is calculated automatically, instructions
- Maintains inventory records
Only a part of the functions is listed here, since you can perform many of them in 2 clicks in Mybuh online accounting.
To all beginners in accounting, we explain and show how to use the program and keep tax records.
Today, more than 7,000 entrepreneurs use the service, most of them are entrepreneurs with simple basic knowledge of working with a computer.
Simple answers to simple bookkeeping questions:
- First (if necessary) you issue an Invoice for payment for the customer
- After or at the time of the sale or provision of the service, you issue an Invoice or an Act. It is important to understand that the Invoice is issued when the goods are sold, and the Certificate of Completion is issued when the work is performed and the services are rendered
- The receipt of money in the account does not mean the receipt of income. Income is confirmed only by issued documents (Invoice and Act)
If you want to become a professional accountant, we recommend that you familiarize yourself with the following tasks
Accounting Tasks
Collection and fixation of true information of the subject and correct accounting reports on the work of the organization, where the head or chief accountant monitors and prevents negative situations with the economic activity of the enterprise, finds financial reserves for the stable operation of the enterprise, monitors the legality of financial transactions during the operation of the enterprise, controls the expediency of movement property and financial resources.
In order to learn how to reflect transactions on accounts, you need to familiarize yourself with the following concepts
- Accounting account
- accounting entry
- Turnover balance sheet
- Chart of accounts
- double entry
- Balance
Accounting account, chart of accounts
Accounting account is a system for storing information about a business transaction.
The account is a two-sided table.
The left side of the account is called debit, Right side credit.
The division of the account into two parts is done so that an increase is recorded on one side, and a decrease on the other side. Those amounts that are recorded on the accounts during the current month are called turnover. The amounts that are recorded in the debit part are called debit turnovers, and in the credit - credit turnover.
Accounts have a number consisting of 4 digits. All accounts are grouped into chart of accounts. Sample Chart of Accounts is a systematized list of accounting accounts that determines the construction of the entire accounting system and is mandatory for business entities.
Chart of accounts consists of 8 sections
- Current assets
- Long term assets
- short-term obligations
- long term duties
- Capital and reserves
- Income
- Expenses
- Production Accounts
Basic control methods
- Documenting and recording the movement of goods, services, property and financial resources in professional accounting programs and written reports
- Double entry of business transactions in accounting accounts, where the same amount is recorded in debit or credit
- Inventory - reconciliation of goods or property listed on the balance sheet
- Calculation - calculation of the cost of a unit of goods or services, taking into account expenses, to determine the cost
- Balance sheet - a reflection of information about the financial activities of the company, taking into account income and expenses on the requested date
- Financial statements - all accounting data reflected in special forms of tax reporting, on the basis of which the tax base is formed and the financial position of the enterprise is reflected.
Accounting principles
- Independence and autonomy - each enterprise is a separate independent legal entity, where the property of the enterprise is recognized and recorded in the financial statements.
- Objectivity - all documentation and business transactions must be recorded in accounting, and confirmed by issued or shipped documents.
- Prudence - caution and verification of incoming and outgoing documentation, preventing the deliberate overestimation or underestimation of the income of the enterprise.
- The principle of accrual - the movement of goods, finances and services are reflected as the documentation is issued or received.
- Periodicity - timely preparation of the balance sheet for the reporting period, quarterly or annual report
- Confidentiality - Preservation and restriction of commercial information
Has many features. Initially, it is important to understand that even the slightest inaccuracies in accounting lead to significant troubles, including material losses. Problems can arise both for the accountant and for the management of the company.
If you don't already know all the details accounting, however, you do not want to get in trouble with the law, you will need a good tutorial. It is also necessary to pass a specialized well on accounting.
Accounting course will help to master the knowledge and skills that are required for the chosen profession. Even in the study of accounting, thematic literature can be an excellent assistant. With its help, it will be possible to learn how to competently structure and organize accounting activities. Books such as Hartwich's Accounting from the Ground Up will be helpful. Self-tutor”, Hartwich “Accounting for 10 days”, Krutyakova “VAT. The practice of calculation and payment”, Morozov “On simplification over a glass of tea”, etc.
Online accounting service as a tutorial for an inexperienced accountant or entrepreneur
One of the best assistants in the study of accounting will be the online accounting service. It will help you get familiar with the basics. The system is understandable on an intuitive level. It won't take long to study it. This service will be convenient and useful for both a young or inexperienced accountant and an entrepreneur. Anyone can learn how to do bookkeeping in a short time.
What is more profitable and more convenient: accounting courses or online accounting service?
Many experts are sure that it is more rational to use Internet accounting than to take accounting courses. There are many good reasons for this:
- In the case of using the online accounting service, you do not need to study all the features of the 1C accounting 8.3 program. As a result, you will be able to save both time and effort.
- If you use the online accounting service, you will not have to take accounting courses. Thanks to this, you will save a decent amount.
- You will not need to spend money on literature. It's also a big savings.
- You do not have to understand the nuances of accounting on your own.
- When you master the service, you will be able to do bookkeeping, managing entirely on your own.
- Having mastered online accounting, you will be able not only to keep accounting records, but also to prepare, as well as remotely submit reports. It doesn't matter what city or country you are in.
- If there is a need for advice on a particular financial issue, then you can always get it through the service. Moreover, you will not have to pay extra for such assistance.
- Having mastered the system, you will start working in the shortest possible time. Just go through registration. In the future, you will only need a username and password.
What to give preference - it's up to you. However, before making a choice, think again in detail. In 2019, IP and LLP in a simplified mode rents every 6 months. And most importantly, all tax reporting is submitted through cabinet.salyk.kz
Vote
(0) |