2.5. Accounting entries related to expense accounting The most important entries are provided with brief comments. Accounting accounts are arranged in the manner prescribed by the current Chart of Accounts for Accounting for Financial and Economic Activities

3.5. Accounting entries related to profit and loss accounting The most important entries are provided with brief comments. Accounting accounts are located in the manner prescribed by the current Chart of Accounts of Accounting for Financial and Economic

Business transactions and accounting entries There are several ways to generate business transactions and accounting entries in the 1C Accounting 8 program, which are listed below.? Automatically at the same time as posting the document. For this

Accounting entries and payroll reporting

6.2. The main accounting entries on account 20 "Main production" Information on production costs (core production of this organization) is reflected in the active account 20 "Main production". The balance of account 20 "Main production" at the end

6.3. Basic accounting entries on account 23 "Auxiliary production" To determine the cost of products and services of auxiliary production, an active account 23 "Auxiliary production" is used. Account 23 is similar to account 20. Account balance

6.4. The main accounting entries on account 25 “General production expenses” On the active account 25 “General production expenses”, they keep records of the costs of managing and maintaining workshops, that is, on account 25 they reflect the costs of the workshop. Account 25 balance at the reporting date

6.6. Basic accounting entries on account 28 “Rejection in production” Active account 28 “Rejection in production” is used to record the costs of correcting the marriage and the corresponding funds spent on the final marriage. Account 28 has no balance at the end of the month and,

6.7. The main accounting entries on account 29 “Service industries and farms” On the active account 29 “Service industries and farms”, the corresponding costs are taken into account if, for example, dormitories, hotels,

6.8. Basic accounting entries on account 96 “Reserves for future expenses” The most common is the reservation of employees' salaries during the holidays. The fact is that vacations for employees of the organization are provided unevenly throughout the year. This

6.9. The main accounting entries for account 97 “Deferred expenses” Deferred expenses are expenses incurred in the reporting period, but in fact related to future periods. The main example of such expenses is the costs of preparing and developing a new

In the course of carrying out business activities, companies incur general business expenses that are in no way connected with the production process. As part of today's topic, we will talk about what is meant by general factory costs and what is their structure, how account 26 works, what typical accounting entries look like and consider a practical example of using position 26.

The concept of general business expenses and their structure

The structure of such costs is as follows:

• the cost of spare parts and materials that are necessary for the maintenance and repair work in relation to the equipment used in the manufacturing process of products;
• remuneration of employees serving the process of creating products with social contributions;
• accrual of depreciation of fixed assets and other property involved in production;
• lease payments for premises and equipment used in the process of creating finished products;
• costs related to the operation of production equipment, for example, fuel, electricity, gas.
• amount of shortages and downtime.

How does account 26 work?

26th position of the Chart of Accounts, called "General Expenses", accumulates data on costs that are related to management needs, but not to the process of creating finished products. This account is active. Thus, the accumulation of incurred costs is reflected in the debit part, and the write-off of these costs at the end of the reporting period occurs on credit, i.e. at the end of the reporting period, the balance of account 26 is reset to zero. Analytical accounting in this case is carried out in the context of the units for the maintenance of which the financial flows were directed.

Standard accounting entries

Typical accounting entries reflecting the movement of the designated category of costs are as follows:

Kt 10 - write-off of the cost of materials and spare parts used for administrative purposes or for the repair of equipment;

Kt 02 or 05 - depreciation for fixed assets and intangible assets involved in administrative purposes;

Kt 70 - payroll for this category of employees;

Kt 60 or 76 - write-off of the indicated costs for the maintenance of the premises;

Kt 26 - write-off of the indicated costs of auxiliary production;

Kt 26 - write-off of general production costs of service production, etc.

Analysis of a practical example

As the results of the reporting period showed, a certain company incurred production costs, the total amount of which amounted to 850,000 rubles, including:

• 350 000 rubles – direct costs of key production;
• 500 000 rubles ancillary production costs.

In this example, the accounting entries would look like this:

Kt 70, 60, 69.10 and 02 - accounting for general business costs - 400,000 rubles;

Kt 26 - transfer of general business expenses to key production - (350,000 / 850,000 * 400,000) 164,706 rubles;

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:

1. 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).
2. Depreciation of fixed assets that do not have a production purpose, as well as their repair.
3. Services of auditors and consultants.
4. Mandatory payments to the state budget (taxes, fees, penalties, fines).
5. 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”

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 departments 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.

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.

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

To solve the problem, it is necessary to collect and close accounts 25 and 26.

Account 26 "General business expenses"

In this article, our experts will reveal the secrets of using account 26, which is used in accounting. What are the main functions of this account? Are there any nuances in accounting methodology? How to draw up standard wiring for it? When can it be used in accounting practice?

Account 26: basic accounting functions

In our country, accounting specialists use those accounts that are prescribed for use in the Chart of Accounts specially developed for these purposes. By the way, this document is standard, as it is approved at the government level by the Ministry of Finance of the country. In addition, it is necessary to apply it in accounting if economic activity is carried out within the Russian Federation. True, this does not apply to state organizations that operate on a budgetary basis.

This Chart of Accounts is developed on the basis of a single instruction so that it is convenient for any employee of the accounting department to use it. It has its own clear structure - division into several thematic groups, each of which generalizes a certain type of economic activity.

Account 26 is called “General business expenses”, because it serves to account not only for business expenses, but also for management, which are not directly related to the production activities of the company or individual entrepreneur. What exactly is meant by the term "general expenses"? The compilers of the Chart of Accounts include:

• administrative and management costs;
• the maintenance of workers engaged in general economic work, and not in production processes;
• depreciation charges that should be used for the full restoration of fixed assets;
• repair of those fixed assets that have both general economic and managerial purposes;
• rent for premises intended to meet the needs of the general economy;
• payment for various types of services (for example, consulting, information, etc.);
• other costs of a similar type.

Thus, account 26 in the Chart of Accounts performs an accumulative function of collecting information on costs that are directly related to management needs, and not to the production process itself. In addition, instructions are attached to the named document with detailed recommendations on how this account can be used, and a list of all suitable costs.

Methodological nuances of application

As already mentioned, in the Chart of Accounts there is a strict distribution into three classification groups:

1. Active - designed to keep records of the company's assets, do not have negative balance results (that is, there is no credit type).
2. Passive - collect all data on the sources of financing of assets, do not have a debit-type balance.
3. Active-passive - accumulate information about the performance of the company, as well as its debts to other companies (the balance can be of both types - credit and debit).

The expenses that the accountant is obliged to reflect on account 26 do not relate to performance or to any sources of financing of the firm's assets. That is, according to the standard classification, it should be attributed to the active type. This can also be explained by the fact that the costs recorded on account 26 should be included in the cost of goods already produced (and this, as everyone knows, is the company's assets).

Correct execution of standard postings on account 26

Experts remind: each accounting transaction aimed at economic activity is always reflected in several debit and credit accounts. Such a fixed reflection is called wiring. Therefore, each individual account has a number of postings that are most common (because of this they are called typical or standard).

Our specialists have prepared two information tables, which contain the main typical entries on account 26 of accounting.

Table number 1 - "26 - debit"

Table No. 2 - "26 - loan"

Practical application of count 26

In accounting practice, this account can only be used to display general business expenses. Let's look at this with specific examples:

As you can see, in order to properly arrange the wiring, you need to be able to clearly distinguish between general business needs and general production needs. These are completely different accounts (the second is 25). Their main difference is the functional features of each individual account. Experts give the following explanation:

• general housekeeping includes general expenses for any unit or department of the firm;
• conducting general production involves spending directed specifically to meet the needs of the company's production activities.