How to get started in buying boiler oil for heating in winter?

The company buys heating equipment by itself to provide unified heating for employees. In this case, the heating cost is included in the "management fee" subject, and the accounting entries are as follows:

Borrow: management fee (or other related subjects)-heating fee

Loan: wages payable to employees.

Special reminder:

The heating costs of large companies are generally shared by all departments. The management department is included in the management expenses, the sales department is included in the sales expenses, and the workshop is included in the manufacturing expenses. The second-level subject of this expense is uniformly recorded as "heating expenses".

Situation 2 Property Collection

The company's heating fee is collected and remitted by the property management company, and the company's heating fee is accounted for. The accounting entries are as follows:

Borrow: bank deposit (or cash on hand)

Loan: other payables-heating company

bookkeeping methods

Case 3 is included in the electricity bill.

The company has central air conditioning in the relatively high-end office building, and the heating cost of the company in winter will be included in the electricity fee allocation. The accounting entries are as follows:

Accounting entries for prepaid electricity charges:

Debit: Other payables-electricity charges

Loan: Cash on hand or bank deposit.

Accounting entry for receipt of electricity invoice:

Borrow: management expenses or operating expenses or manufacturing expenses.

Credit: other payables-electricity charges

Situation 4 Cash subsidy

In a large machinery factory, there is no heating equipment in the factory, and the company gives heating subsidies to employees in the factory. This subsidy belongs to employee benefits. In this case, the heating fee is included in the "accounts payable" account, and the accounting entries under the new accounting standards are as follows:

Borrow: management fee-welfare fee

Credit: Cash on hand

Note: The new accounting standards cancel the subject of welfare expenses payable, and welfare expenses need not be withdrawn!

Heating subsidies should be included in welfare funds!

Special reminder:

(1) Although the heating subsidy is incorporated into the employee's monthly salary as a welfare fund, it is not a tax-free item, and the company needs to withhold and pay personal income tax in advance.

(2) Because the heating subsidy can be used as a part of the salary, it can be deducted before the enterprise income tax.

(3) Heating subsidy is a kind of welfare, and the company has the right to decide whether to grant it or not, which is not legally mandatory. If there is no agreement, employees have no right to ask the company to pay heating subsidies.