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    jsoliz's Avatar
    jsoliz Posts: 1, Reputation: 1
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    #1

    Apr 21, 2007, 11:42 PM
    Salary payable?
    When crediting salary payable which account should be debited?
    ThePhantom's Avatar
    ThePhantom Posts: 4, Reputation: 1
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    #2

    Apr 22, 2007, 08:06 AM
    'Salary expense' should be debited.

    As per accrual basis of accounting, expenses should be recognized when incured.

    [Dr.] Salary expense XX
    [Cr.] Salary payable XX

    This adjusting entry is passed at period end.

    When actual payment is made :

    [Dr.] Salary payable XX
    [Cr.] Cash XX

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