Salaries Expense Journal Entry

When Salaries Expense is paid by company to employees for the services done by them for the selected tasks or projects during the accounting period, then following Accounting Journal Entry is posted in the Salaries Expense T Account:

                                                   

                                                    Salaries a/c  XXX

                                                                      Cash / Bank a/c   XXX

(Paid Salaries To Employees By Cash or Cheque)

Here Cash is the Rs. amount received by the employees and bank is the cheque deposited into the bank’s accounts of employees.

Salaries Expense is an indirect expense so it is recorded on Income Statement as an operating expense.