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-   -   Paid for postage stamps journalize it? (https://www.askmehelpdesk.com/showthread.php?t=598620)

  • Sep 24, 2011, 05:25 AM
    jay301289
    Paid for postage stamps journalize it?
    Paid for postage stamps journalize it?
  • Sep 24, 2011, 10:53 AM
    pready
    If you are paying as you use the stamps:
    Debit Postage Expense, Misc Expense, or other appropriate Expense account for the amount paid
    Credit Cash for the amount

    If you are purchasing stamps to be used later:
    Debit Prepaid Postage for the amount
    Credit Cash for the amount

    Then as you use the stamps the journal entry will be:
    Debit Postage Expense for the amount used
    Credit Prepaid Postage for the amount

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