Journal entry for salary paid in advance

15th dec 2009.

DEBIT Salary Account $5,000
CREDIT Bank Account $ 5,000

Salary for month of December paid
To Mr XYZ not due until the end of the month.

DEBIT ADVANCE A/C Rs. 500
CREDIT CASH A/C Rs. 500

maduraimachan is correct; however, the thread is over 2 months old.

Salary Account 100
To Prepayments 100

Salary Advance A/C Dr 100
Cash/bank A/C Cr 100

Salary advance dr.100
Cash/bank cr.100
(being paid in advance)


Salary dr 200
Salary advance cr.100
Employee cr.100
(being salary due)

Employee dr.100
Cash/ bank cr.100
(being salary paid)