Accounting Account 26 General Business Expenses An account designed to summarize information about management and business expenses that are not directly related to the production process. In particular, the following expenses can be reflected on this account: administrative and managerial; maintenance of general economic personnel not related to the production process; depreciation deductions for full restoration and expenses for the repair of fixed assets for management and general business purposes; rent for general purpose premises; expenses for payment of information, audit and consulting services; other similar expenses. General business expenses are reflected on account 26 from the credit of accounts for accounting for production inventories, settlements with personnel for wages, settlements with other enterprises, etc. Expenses recorded on account 26 are written off to accounts 20 ""Main"", 23 ""Auxiliary production" ", 29 ""Serving industries and farms"".
Dictionary of business terms. Akademik.ru. 2001 .
See what "Accounting Account 26 General Business Expenses" is in other dictionaries:
Glossary of business terms
ACCOUNTING ACCOUNT 26 GENERAL EXPENSES- an account designed to summarize information on management and business expenses that are not directly related to the production process. In particular, the following expenses can be reflected on this account: administrative and managerial ...
Glossary of business terms
An account designed to summarize information on the costs of the main production, that is, production, the products (works, services) of which were the purpose of creating this enterprise. In particular, this account is used to record costs: ... ... Glossary of business terms
Glossary of business terms
An account designed to summarize information on the costs of production, which are auxiliary (auxiliary) for the main production or the main activity of the enterprise. In particular, this account is used to record costs ... ... Glossary of business terms
An account designed to summarize information about expenses incurred in a given reporting period, but relating to future reporting periods. In particular, this account may reflect the costs associated with mining and preparatory work; ... ... Glossary of business terms- an account designed to summarize information on the costs of production, which are auxiliary (auxiliary) for the main production or the main activity of the enterprise. In particular, this account is used to record costs ... ... Big Economic Dictionary
Account 26 "General business expenses" is intended to summarize information on expenses for management needs that are not directly related to the production process. In particular, the following expenses may be reflected on this account: administrative and management expenses; maintenance of general economic personnel not related to the production process; depreciation deductions and expenses for the repair of fixed assets for management and general business purposes; rent for general purpose premises; expenses for payment of information, audit, consulting, etc. services; other similar administrative expenses.
General business expenses are reflected on account 26 "General business expenses" from the credit of accounts for accounting for production stocks, settlements with employees for wages, settlements with other organizations (persons), etc.
Expenses accounted for on account 26 "General business expenses" are debited, in particular, to debit accounts 20"Main production", "Auxiliary production" (if auxiliary production produced goods and work and provided services to the side), "Service production and farms" (if the service production and farms performed work and services to the side).
Organizations whose activities are not related to the production process (commission agents, agents, brokers, dealers, etc., except for organizations engaged in trading activities) use account 26 "General business expenses" to summarize information on the costs of conducting this activity. These organizations debit the amounts accumulated on account 26 "General business expenses" bills 90"Sales".
Analytical accounting on account 26 "General business expenses" is carried out for each item of the relevant estimates, the place of incurrence of costs, etc.
Account 26 "General business expenses"
corresponds with accounts
| by debit | on credit |
|
02 Depreciation of fixed assets 04 Intangible assets 05 Depreciation of intangible assets 10 Materials 16 Deviation in the value of material assets 19 Value added tax on acquired valuables 21 Semi-finished products of own production 43 Finished products 60 Accounts payable and 68 Calculations for taxes and fees 69 Social security payments 70 Settlements with personnel for 71 Settlements with accountable 76 Settlements with different 79 On-farm 94 Shortfalls and losses from 96 Reserves for upcoming 97 Deferred expenses |
08 Investments in non-current assets 10 Materials 20 Main production 23 Ancillary industries 28 Manufacturing defects 29 Service industries and farms 76 Settlements with various debtors and creditors 79 On-farm settlements 86 Targeted funding 90 Sales 97 Deferred expenses 99 Profits and losses by contractors insurance and ensuring payment of labor by persons debtors and creditors calculations of damage to valuables expenses |
Chart of Accounts Application: Account 26
- What exactly is hospitality expenses?
In this case, hospitality expenses are recorded on accounts 26 “General business expenses” or 44 “Sales expenses” in ... correspondence with accounts: 60 “Settlements ... 000.00 An invoice for transport services 26 “General business expenses” has been paid, subaccount “Representation expenses » 76 “Settlements ... invoice” 10,000.00 The invoice for the provision of translation services 26 “General business expenses” sub-account “Representation expenses ...
- Security expenses. Accounting and tax accounting
With an account for accounting for the corresponding costs (accounts 20 "Main production", 26 "General business expenses" ...; or 44 "Expenses for ... 000 Bank statement on the current account Expenses for the protection of leased property ... accounting is reflected in accounts 26 "General economic expenses" or 44 "Sales expenses" in ... correspondence on the credit of the account ...
- How to account for expenses until the organization has revenue?
3/6494). Expenses incurred by the organization both at the expense of its own funds and ... expenses do not apply to the types of assets named in the above PBUs. Management expenses (account 26 ... "General expenses") can be taken into account in two ways ... as part of other expenses: Debit 20 Credit 26 - management expenses are reflected in ... production costs (in analytics ...
- Correction of significant errors
The organization erroneously wrote off the cost of unsold goods on ... but by incorrect posting - D 26 "General expenses" - K 70 & ... income or expenses of the current reporting period on account 91 "Other ... income and expenses". Example B ... corrective entries were made: Debit of account 26 “General business expenses”, Credit of account 60 “Settlements with ... Sales”, sub-account “Cost of sales”, Credit of account 26 “General business expenses” - 500,000 rubles. - written off...
- The procedure for accounting for expenses for setting up an accounting program
Account 97 "Expenses of future periods" is intended for reporting periods, the Chart of Accounts. ... services). The specified types of expenses are reflected in the debit of the cost accounting accounts (20 ... "Main production", 25 "General production expenses ...", 26 "General expenses", 44 "Sale expenses & ... destinations) in correspondence with the credit of account 60 "Settlements with ... and contractors" or accounts 76 "Settlements with ...
- Tachograph. Accounting and taxation
The procedure for recognizing material expenses is used for the purposes of taxation ... production "or account 26" General business expenses "(Instructions for the application of the Chart of Accounts). In order to ensure ... correspondence with the credit of account 19. Corporate income tax Organization expenses for. .. how: - the implementation of these costs is justified and documented; - the costs are incurred for the implementation ... the cost is taken into account as material costs associated with the production and ...
- Export: in which section of the VAT return should VAT be reflected on general business expenses accepted for accounting after July 1, 2016?
It should reflect the VAT presented on general business expenses accepted for accounting after ... reflect the VAT shown on general business expenses accepted for accounting after ... the Tax Code of the Russian Federation); there is a correctly executed invoice of the supplier (clause 2 ... other rates, including VAT on general business expenses (if the appropriate procedure is fixed ... 0%, all expenses incurred by him are related to the specified activity and ... -07-08 / 73930, dated 10/26/2016 N 03-07 ... goods named in groups 25, 26, 27 of section V, in ...
- Accounting costs in the HOA
Production and economy". On account 26 "General business expenses" HOA has the right to reflect ... correspondence with accounts: 20 "Main production" or 26 "General business expenses" .... The Recommendations do not mention account 26 "General business expenses", since the costs of servicing production ... on account 26 "General business expenses", for example, administrative and management expenses, or take into account all expenses on the account ...
- Recovery of damages from the Federal Property Management Agency upon the purchase of a leased land plot
1 million rubles, as well as the cost of paying the state fee and ... The amount of rent was taken into account on account 26 "General expenses". The amount of land tax paid by... 30,000 rubles, expenses for a representative - 20,000 ... Expenses are reflected in the form of rent for a land plot 26 76 ... 68 30,000 Expenses for the payment of state duty 91- .. 76 30 000 The costs of paying for the services of a representative 91 ... losses, state fees and court costs 76 91-1 950 ...
- Payment for work on weekends (holidays)
Surcharges should be qualified as labor costs and taken into account ... The Tax Code of the Russian Federation in terms of recognition of expenses is obviously complied with. The validity of this statement ... PBU 10/99 "Expenses of the organization"). It is reflected in the credit of account 70 “Calculations ... he performs administrative functions, this is account 26 “General business expenses”, if his activities are related to ... liquidation of the consequences of emergencies) this expense on the basis of paragraph 13 of PBU ... be recognized included in other expenses. In terms of the amount of the surcharge, ...
- How to account for expenses incurred from rental income?
Activities (clause 11 of Resolution No. 640 of June 26, 2015 “On the procedure ... it is advisable to record expenses on account 2,109,80,000 (in terms of non-distributable general business expenses ...). If expenses incurred from rental income are reflected in accounts 2 ... the option of allocating general business expenses, which does not contradict the above instructions, will be the correspondence of accounts: Debit account 2 ...
- Accounting for income and expenses in a budgetary institution
... "). In sections 24-26, account numbers for analytical accounting of accounts 504.00.000, 506 ..., services (sub-account 109.70) - overhead costs; general business expenses (sub-account 109.80); distribution costs ... are related to the increase in expenses of the current financial year - account 401.20.000. ... is set for at least one account of general expenses (109.70 or 109 ... there is no analytics on both accounts of general expenses, then on account 109.60 analytics ... also allows you to write off the organization's total expenses from accounts 109.80, 109.70 ...
- How to reflect marriage in the accounting in the absence of fault of employees
Losses - to accounts for accounting for expenses and (and) for sales expenses ... 26 "General business expenses" and others, 44 "Sales expenses"); at the expense of ... the perpetrators; on the financial results of the organization (account ... 91, sub-account "Other expenses"), in ... income for the amount of expenses incurred (with the exception of the expenses specified in the article ... of taxation of profits, losses incurred by the taxpayer are equated to non-operating expenses .. .
- Accounting for the costs of creating and maintaining the AC website
Such an agreement is carried out on account 0 302 26 000 “Settlements for other ... 226 “Expenses for other work, services” Credit of account 0 302 26 000 “Calculations ... periods for other expenses, services” Credit of account 0 302 26 000 “ Calculations for ... for deferred expenses 4,401 50,226 4,302 26,000 ... Off-balance sheet account 01 - 50,000 Reflected the allocation of deferred expenses to general business expenses (monthly ... 226 "Expenses for other works, services" Account credit 0 302 26 000 "Calculations...
- Air conditioners as fixed assets: accounting and reflection of expenses
Through air conditioning. In this article, we will consider the procedure for accounting for the costs of acquiring ..., due to air conditioning. In this article, we will consider the procedure for accounting for acquisition costs ... upon reaching lower temperatures (26.5 - 27.5 ° С). If... ;000 2,302,26,000 5,000 ... the subsidy account for the state task. According to the accounting policy, these costs are classified as general business expenses .... Decree of the State Standard of the Russian Federation dated 12/26/1994 No. 359 (with ...
Interested in those accountants who need to reflect the write-off of indirect costs. Final postings at the end of the month are formed in order to reset the operating accounts that do not have balances in the balance at the beginning / end of the period. How account 26 is closed, including postings, this material tells.
The value of account 26 in accounting
Active account 26 is used in the accounting of enterprises of any industry direction in order to reflect and write off costs that are not directly related to production activities. The list of general business expenses differs by type of organization and is not closed, that is, it can be supplemented by the company on its own. In particular, management costs include:
- Administrative and management costs - entertainment expenses, travel, consulting services, salary of the accounting department, company administration, marketing, etc.
- Deductions for depreciation and repair of non-productive fixed assets.
- Rent for non-production areas.
- Other similar expenses.
Reflection of costs is carried out on the debit account. 26 in correspondence with corresponding accounts - in correspondence with accounts - 20, 29, 23, , 28, 99, etc. To obtain reliable and complete information about cost items for each type of cost, as well as their places of occurrence, analytical accounting is organized.
How to close the 26th account at the end of the month
Reasonable closing of account 26 at the end of the month is carried out in accordance with the method approved in the accounting policy of the enterprise. There are two ways to form the cost of products:
- Complete- this option implies a detailed write-off of expenses for the main, servicing or auxiliary production through cost accounts: 20, 29 or 23. Accordingly, closing account 26 - postings D 20 (29, 23) K 26.
- abbreviated- with this option, the total amount of expenses incurred is debited directly to the account. 90 posting D 90 K 26, cost accounts are not involved.
For large organizations, the first method is optimal, while the second is more convenient for small enterprises. If more than one type of product is produced, but several, for a competent distribution, the base indicator can be taken as the value of revenue or the volume of output of products, data on material costs, payroll, etc.
How to close account 26 if there is no revenue
Is it possible and how to close account 26 with zero revenue from the sale of goods, products or services/works? According to the accounting rules, this cannot be done, since it is necessary to write off indirect costs only if there is revenue, but also the final balance on the account. 26 should not accumulate. There is a way out - you need to carry out a minimum implementation of 0.01 rubles. with a technical counterparty, after which account 26 will be automatically closed to account 20 (WIP), and at the end of the year, the extra penny will be squandered by manual operation.
Closing account 26 - postings:
- D 26 K 02 - depreciation is reflected for fixed assets for non-production purposes.
- D 26 K 10 - reflects the write-off of the inventory for management needs.
- D 26 K 70 - reflects the accrual of the salary of the company's administration.
- D 26 K 68, 69 - the accrual of taxes and fees is reflected.
- D 26 K 94 - reflects the write-off of the shortage of MPZ without identifying the perpetrators.
- D 20, 21, 29, 90 K 26 - reflects the write-off of general business costs for the main production, semi-finished products, servicing, cost.
How to work with account 26 of the chart of accounts
Account 26 in accounting
26 hours "General business expenses" is used in the accounting of both manufacturing organizations and companies in other industries to summarize information about costs that are not related to production activities, but are intended to ensure the management process.
26 accounting account is a display of the funds spent by the enterprise aimed at providing management and administrative needs that are not directly related to production. For example, the following information about indirect costs may be reflected here:
- Payments for rented general business premises;
- Costs for information, advertising services;
- Maintenance of economic departments;
- Expenses for maintenance and repair of non-production equipment;
- Transfers to the budget of taxes and contributions.
That is, on the count. 26 contains all the information about the cost of funds by the organization, not directly related to the production process, but necessary to continue doing business. Cost monitoring allows you to highlight the weakest aspects of the management process and reduce non-production costs.
Enterprises engaged in non-productive activities (with the exception of companies engaged in the field of trade) display on the account information on the funds spent to ensure this activity. Write-off of incurred costs - to debit 90 "Sales".
Account 26 in accounting is active, that is, the costs incurred are displayed in debit, for example, the amounts of accrued contributions to the budget for wages in correspondence with the reflection of inventories, wages, etc., (10.70 and others), on credit - writing off costs to the debit of corresponding accounts (for example, 20 "Main production").
Attention! In accounting, all displayed on the 26th account. expenses must be distributed monthly by the enterprise to the appropriate accounts, the closing balance is zero. The method of distribution is determined by the enterprise independently, depending on the industry of doing business (it is necessary to fix it in the accounting policy).
Analytical monitoring
Expenses of the enterprise, the collection of information about which takes place on the account. 26, are an integral part of production costs and affect the formation of the cost of manufactured products, services rendered. The analytics is carried out by departments, to which the funds are directed, as well as by cost items.
Example: Purchasing antivirus software for computers
Subconto 1: IT department
Subconto 2: material costs.
The chart of accounts does not provide for the opening of sub-accounts 26 of the accounting account.
Normative base
The use of 26 "General expenses" in accounting is carried out in accordance with the current Chart of Accounts, approved by Order of the Ministry of Finance dated October 31, 2000 No. 94, PBU 10/99 "Expenses of the Organization" and other legally approved documents.
Basic business transactions
- Depreciation of general business equipment
- Write-off of purchased inventory items and household equipment for maintenance of business departments (for example, purchase of stationery)
- Conducting payroll calculations for business units and the administrative department
Dt 26 Kr 70 - wages of employees;
Dt 26 Kr 69 - accrual of mandatory contributions to social funds from the amount of accrued wages
- Display of accounts payable to service providers
- Tax accrual
- Write-off of deferred expenses
- Closing the month and writing off costs based on the results of work performed
7.1 Inclusion in the cost price when distributed between productions
Dt 23 Kr 26 - auxiliary production;
Dt 20 Kr 26 - basic
Dt 29 Kr 26 - service production
Attention! Write-off of expenses in DT 23 and 29 accounts is carried out in cases where additional production performed work or manufactured products for third-party organizations.
7.2 Inclusion in total cost directly
Dt 90 Kr 26 - at semi-fixed costs
Viktor Stepanov, 2017-01-11
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Related reference materials
Accounting
Chapter 4. Classification of accounting accounts
Collection and distribution accounts
Collection and distribution accounts are intended for the collection and subsequent distribution of costs at individual stages of production and sale of finished products.
Collective distribution accounts include the following active accounts:
25 "General production costs";
26 "General business expenses";
44 Selling costs.
The structure of accounts 25 and 26 has some features that distinguish them from other active accounts. These accounts do not have a balance, as they are closed at the end of each month. In this regard, accounts 25 and 26 are not reflected in the balance sheet.
Chart of accounts 25 "General production expenses" and 26 "General expenses"
Account 25 “General production expenses” keeps records of overhead costs that are associated with servicing the main production, for example, shop expenses for the maintenance and operation of equipment, salaries for equipment adjusters, depreciation and repair of fixed assets for general production purposes, etc.
Account 26 “General business expenses” keeps records of general business costs associated with the management of the enterprise, i.e. maintenance of the administration, accounting, office, payment for various legal, information, audit services, etc.
Closing account 26 - postings
The indicated expenses are collected during the month on the debit of accounts 25 and 26, and at the end of the month they are written off as a result to account 20, i.e., they are included in the cost of production. Expenses on accounts 25 and 26 are called indirect, since they are not directly related to the production of specific products.
Account 44 "Expenses for sale" reflects the costs associated with the sale of products. Such expenses include the cost of packaging, packaging, transportation, advertising of finished products, etc.
Example 4.7. Keeping records on collection and distribution accounts 25 and 26.
During the month, indirect costs are reflected in Table. 4.5.
Exercise. Determine the amount of write-off of overhead and general business expenses on accounts 25 and 26 at the end of the month.
Table 4.5
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one . Salary accrued: a) accountants |
10000 |
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2. Social tax (35.6%) is charged on wages: a) accountants |
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3. The postage of the office was paid from the cash desk |
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4. Inventory written off to the personnel department |
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5. Parts written off for equipment repair |
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6. Accepted and paid invoice for legal services |
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7. Freight elevator depreciation charged |
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8. Accepted and paid the bill for the installation of the alarm |
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9. At the end of the month, overhead costs are written off to production costs |
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10. At the end of the month, general business expenses were written off for production costs |
To solve the problem, it is necessary to collect and close accounts 25 and 26.
1a) 10000
2a) 3560
3) 240
4) 800
6) 1 300
The amount of general production costs for the month amounted to 23,200 rubles, and the amount of general business costs - 15,900 rubles.
At the end of the month, accounts 25 and 26 are closed. To do this, the amount of debit turnover in the same amount is debited from the credit of these accounts to the debit of account 20. Since the turnover on accounts 25 and 26 will be equal, these accounts will not have a balance.
There are costs that are directed directly to production, such costs are direct and also directly affect the cost. But there are other costs that are not directly related to production, however, they are necessary in order to manage all economic activity as a system. Such expenses indirectly affect the cost and are called General Business Expenses, in order to track the movement of such expenses in accounting, account 26 of the same name is intended.
Which costs will be related to general business, the organization sets depending on the industry in which it operates. There are many such expenses, but we can list them in a general way:
- Administrative and management expenses are always classified as general business expenses, since they are not directly related to production in any industry (for example, the salary of company management, accounting, HR, etc., business trips, security services, office, mail, communications).
- Depreciation of fixed assets that do not have a production purpose, as well as their repair.
- Services of auditors and consultants.
- Mandatory payments to the state budget (taxes, fees, penalties, fines).
- Other
For general business expenses, both synthetic and analytical accounting are necessarily kept. On account 26 “General business expenses”, synthetic accounting is kept, and the analytics details by expense items or places of occurrence of general business expenses.
As an example, consider typical business transactions on account 26 “General business expenses”
| Debit | Credit | Operation |
| 26 | 02 | Depreciation of fixed assets that do not have a production purpose. |
| 26 | 10 | Write-off of materials for general business needs |
| 26 | 70, 69 | Calculation of wages and insurance premiums for employees who are not engaged in production (management and maintenance personnel) |
| 26 | 60 | Debts to third parties for services provided for general business needs. |
| 26 | 97 | Write-off of deferred expenses |
| 26 | 68 | Tax accrual |
| 26 | 68 | Write-off of accountable funds |
| 23 | 26 | Write-off of general business expenses for auxiliary production |
| 29 | 26 | Write-off of general business expenses servicing production |
| 20 | 26 | Write-off of general business expenses for the product of the main production |
To account for general business expenses, you can use the full or partial journal-order form. If the company uses the full one, then it uses statement 15 for analytics to account for the expenses of interest to us, and for synthetic accounting, journal-order 10 (or 10/1). In order journal 05, both analytics and synthetic accounting are maintained, if a partial form is used.
The information that is reflected in these registers is formed on the basis of tables on the distribution of wages and materials, the amount of depreciation of fixed assets, transcript sheets for various types of cash expenses, which are reflected in other order journals, etc.
Methods of write-off from account 26 "General business expenses"
Russian accountants write off from account 26 “General expenses” the expenses attributed to it. They have the right to do this in two ways (the method that the organization has chosen must be fixed in the accounting policy).
Using the first method, accountants write off each month to account 20 "Main production", then the full cost is formed, already taking into account these costs. In addition, the amount of general business expenses is sometimes transferred by debit to account 29 “Serving production” and to account 23 “Auxiliary production” (if goods were sold at these sites). If general business expenses are directed to the main production, then they should be distributed in accordance with the type of product, and in proportion to the indicator that was chosen in advance (salaries of production workers, direct costs, production volumes, revenue, etc.). This indicator must be reflected in the accounting policy of the company.
In the second way, the amounts on account 26 are written off to the debit of account 90 “Sales”, subaccount 90-2 “Cost of sales”, based on this, a reduced cost of goods produced is formed, but the cost of products that we are going to sell is growing. When the month comes to an end, the costs charged to the account of general business expenses are written off as follows: Dt 90 Kt 26. It follows that general business expenses are added to the cost of products that the organization sold during the reporting period.
Methodology for the distribution of general business (indirect) costs
After choosing an approach to the distribution of costs, taking into account the special characteristics of the economic activity of the organization, as well as the accounting policy, it is necessary to form a methodology for their distribution.
Consider the main stages of the methodology, which is most widely used among domestic organizations.
First, indirect costs are allocated between the service and production divisions of the firm's responsibility centers.
Then indirect costs are redistributed from service units to production units. After that, shop rates are calculated, according to which indirect costs are distributed for all production units.
The organization independently chooses the basis for the distribution of indirect costs, based on the specific features of its activities, reflects the base in the accounting policy of the company. The base is fixed and remains unchanged throughout the year.
Widespread distribution methods are based on accounting: the basic salary, standard hours worked by the main production workers, the amount of time the machines work.
The procedure for the distribution of general business expenses
a) the amount of general business expenses incurred in a certain reporting period is verified from the accounting registers;
b) based on the base for the distribution of general business expenses, fixed in the accounting policy, it is necessary to sum up the elements that are included in this base in monetary terms;
c) the distribution coefficient is calculated by dividing the results of point "a" by the result of point "b";
d) the amount of general business expenses that fall on each element of the base is calculated by multiplying each of the elements by a coefficient.
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