Account 70: transactions, credit and balance

All employees of the enterprise are monthly accrued and paid wages. Taxes are withheld from it. In addition, employed persons can receive income in the form of interest from capital participation. All these amounts in accounting are displayed on account 70 “Settlements with personnel for wages”.

purpose

Account 70 is used to display information about settlements with employees for wages (for all types of salaries, bonuses, benefits, pensions, other payments), as well as for income from securities. On credit, the amount of accruals is displayed, and on the debit - payments.

At the enterprise, salary accounting is carried out according to the following algorithm:

• accrual;
• retention;
• calculation of insurance premiums;
• pay.

Let's consider each stage in more detail.

Payroll

Labor costs are included in the cost of production. Therefore, account 70 is debited with accounts "Main production" (20) and "Sales expenses" (44). Posting is done for the entire amount of the salary. For calculations, a time sheet (form T12, T13) and a statement (T51) are used.

Example

For a month, a production worker was paid a salary in the amount of 25 thousand rubles. Personal income tax was withheld from it in the amount of: 25 x 0.13 \u003d 3.25 thousand rubles. Total payable - 21.75 thousand rubles. Accounting entries (account 70):

• DT20 KT70 - 25 thousand rubles. - the salary of the employee;
• DT70 KT68 - 3.25 thousand rubles. - withheld personal income tax;
• DT70 KT50 - 21.75 thousand rubles. - Paid salaries from the cash register.

Holds

Personal income tax is deducted from the payment at the rate of 13% on a monthly basis. The base for calculating the tax can be reduced due to tax deductions (Articles 218, 219 of the Tax Code of the Russian Federation). Consider the most common of them:

• 3000 - the deduction is provided to the disabled, veterans;
• 500 - deduction for participants of the Second World War;
• 1400 - deduction for the first, second child to the parent (it is valid until the income level reaches 280,000);
• 3000 - deduction for the third and subsequent children (it is valid until the income level reaches 280,000).

In order for these benefits to be taken into account when calculating salaries, the employee must write an application. Deductions are made out by posting: account 70 debit, account 68 credit.

Example

The organization accrued a salary to production employees in the amount of 30 thousand rubles, and to the management apparatus - 72 thousand rubles. The accountant goes on vacation in 4 days. She is entitled to 17.8 thousand rubles. holiday pay.

On the accounts in the accounting system, the amounts of wages excluding personal income tax will immediately be displayed:

• production workers: 30 - 30 x 0.13 \u003d 26.1 thousand rubles;
• administration: 72 - 72 x 0.13 \u003d 62.64 thousand rubles.
• vacation pay: 17.8 - 17.8 x 0.13 \u003d 15.486 thousand rubles.

Calculation of insurance premiums

Contributions to the PFR, FSS and FFOMS are transferred from the salary. The general tariff in 2016 is 30%, of which:

• 22% - PFR;
• 2.9% - FSS;
• 5.1% - FFOMS.

• 796 thousand rubles - for the purpose of accruing PFR contributions;
• 718 thousand rubles - for the purpose of calculating FSS contributions.

If the salary exceeds the specified limits, only a contribution to the Pension Fund at a rate of 10% will be charged. The limit on the FFOMS for 2016 has not been set. This means that contributions must be accrued on the entire amount of the payment at a rate of 5.1%, regardless of the amount of income. All these contributions are transferred to the cost of production by posting DT20 (44) KT69.

Example

LLC builds the building on its own. In February, salaries were accrued to employees in the amount of 270 thousand rubles, including:

• main production - 180,000;
• management personnel - 50,000;
• sales department - 18,000;
• employed in construction - 22,000.

Settlement account 70 will contain the following entries:

Salary payment

After registration of personal income tax accruals and deductions, the balance of the amount is paid to employees from the cash desk or current account. This operation is documented by posting DT70 KT50 (51).

The law provides for the payment of income twice a month. For violation of this norm, the enterprise faces a fine of 30 to 50 thousand rubles, and for officials - 5 thousand rubles. (Article 5.27 of the Code of Administrative Offenses of the Russian Federation).

Salary for unworked time

Vacation and temporary disability allowances refer to payments for hours not worked. They are calculated on the basis of average earnings on the same accounts as the main income. Vacation pay is documented by posting DT20 (23, 25, 29, 44) KT70, and benefits from the FSS - DT69-1 KT70.

Other payments and deductions

Account 70 reflects the accrual and payment of dividends: DT84 KT70. Deductions can be made from the salary when buying a sanitary-resort voucher. Part of the cost is paid by the employee, and the second - by the organization: DT70 KT69-1. If the employee has funds that he previously received a report, but did not use, he must return them to the cashier. If the advance report is not submitted by the specified deadline, these amounts are subject to deduction from wages: DT70 KT71. If funds were not spent for targeted needs, they are also subject to withholding: DT70 KT94.

Often in the inventory process, a shortage of goods and materials is detected. If its amount exceeds the norm, then it is reimbursed at the expense of the income of materially responsible persons: DT70 KT73-2. If a company concludes an insurance contract for employees, the source for transferring payments is wages: account 70 is debited from account. 76-1. Deductions on writ of execution from income are documented by posting DT70 KT76-4.

Example

Ltd. conducted an inventory of goods. According to the BU, there are 120 kg of semi-smoked sausage in the warehouse in the amount of 11.4 thousand rubles. The inventory showed a shortage of product in the amount of 150 rubles. The loss rate is 27.36 rubles. 122.64 rubles are subject to compensation. This amount will be compensated from the salary of the warehouse manager.

• DT94 KT41 - 150 rubles. - shortage written off;
• DT44 KT94 - 27.36 rubles. - the shortage was taken into account within the norm of loss;
• DT73-2 KT94 - 122.64 rubles. - the shortage in excess of the norm is attributed to the responsible person;
• DT70 KT73-2 - 122.64 rubles. - withholding shortfalls from wages.

Salary in kind

The enterprise can issue its products, goods, and other valuables to employees as income. This operation is documented by posting DT70 KT90-1. Accrual of income is made out by standard posting: DT20 (23, 25, 26) KT70.

Example 1

LLC accrued income to employees in the amount of 29.5 thousand rubles. Due to a shortage of funds, the management decided to issue products to pay off the debt. For this, a batch of goods was selected, the market price of which is equal to the amount of debt. The cost of the batch is 22 thousand rubles. Products are subject to VAT (18%). To reflect these transactions in the accounting system, it is necessary to include the following entries in the statement on account 70:

• DT70 KT90-1 - 29.5 thousand rubles. - Wage debt written off;
• DT90-2 KT43 - 22 thousand rubles. - written off the cost of production;
• DT90-3 KT68 - 4.5 thousand rubles. (29.5 x 0.18/1.18) - VAT charged;
• DT90-9 KT99 -3 thousand rubles. (29.5 - 22 - 4.5) - profit is reflected.

If during the payment of wages the company was unable to withhold personal income tax, it must notify the tax office in writing no later than March 1 of the next year, indicate the amount of tax and income from which it was not withheld. The payment of wages in kind is documented by posting DT70 KT91-1.

Example 2

Let's change the conditions of the previous problem. In repayment of the debt, management decided to issue materials to the employee for a similar amount. We reflect these operations in the BU:

• DT70 KT91-1 - 29.5 thousand rubles. - Wage debt written off;
• DT91-2 KT10 - 24 thousand rubles. - the cost of materials is taken into account;
• DT91-2 KT68 - 4.5 thousand rubles - VAT charged;
• DT91-9 KT99 - 1 thousand rubles - reflects the profit from the sale of materials.

Unpaid Income

Account 70 contains information about the deposited amounts. After receiving cash from the bank, the organization has 5 working days to pay off employees. If the employee did not appear on time, then the amount of unpaid funds is deposited: DT70 KT76. The delivery of the deposited amount to the bank is made out by the following entry: DT51 KT50.

Accounting for settlements is kept in the book of deposited wages, opened for a year. A separate line is allocated for each depositor. It indicates the personnel number of the employee, his full name, "frozen" amount, notes on the issuance of funds. Unpaid amounts are transferred to a new ledger. The subsequent payment of wages is reflected in the entry: DT76 KT50.

Analytical accounting of settlements is carried out on personal accounts, passbooks, payrolls, etc.

Reserve

At seasonal enterprises, vacations are provided unevenly. Since the amount of income and all accruals to employees is attributed to the cost, in order to evenly distribute the costs, vacation pay is transferred to expenses in equal shares throughout the year. This creates a reserve for vacation pay. The same payroll accounts are debited to the BU for this amount. As employees go on vacation, the money accrued to them is written off by posting DT96 KT70.

Typical wiring

This section is best presented in the form of a table.

Balance

Account 70 displays information about settlements with employees for wages. The credit balance means the debt to the staff. In most cases, the account is passive and is reflected in the second part of the balance sheet. But there are situations when the advance payment issued exceeds the accrued salary for the month. This balance is recorded in the debit. The employee must return the money to the cashier.