How to make entries in the personal social security part of the company?

There are three steps to deal with the accounts: withdrawing social security fees, paying social security fees and paying employees' salaries.

I. Provision of social security fees

At the end of each accounting period, the company needs to extract the social security fees that should be paid according to the proportion of employee wages and social security contributions. This includes the part that companies should pay and the part that individuals should pay. The accounting entries are as follows:

Loan: management expenses/sales expenses/production expenses (depending on the department of the employee)

Loans: Employees Payable-Social Security (Company Part)

Loan: other payables-social security (personal part)

Second, pay social security fees.

According to relevant regulations, the company regularly pays social security fees to social security institutions. When paying social security fees, the accounting entries are as follows:

Debit: Employees Payable-Social Security (Company Part)

Debit: other payables-social security (personal part)

Loans: bank deposits

Here, the company paid social security fees including those payable by companies and individuals, and bank deposits decreased accordingly.

Third, employee salary payment.

When the company pays employees' wages, it needs to deduct the social security part that employees should pay. The accounting entries are as follows:

Debit: Payables-Wages

Loan: other payables-social security (personal part)

Loan: bank deposit/cash

In this way, the company has completed the commitment of employee social security and accounting treatment.

To sum up:

When the company undertakes the personal social security department, it needs to carry out three steps of accounting treatment: extracting social security expenses, paying social security expenses and paying employees' wages. Through reasonable accounting entries, ensure that the company accurately accounts for social security expenses, in line with accounting standards and tax laws.

Legal basis:

People's Republic of China (PRC) accounting law

Article 10 stipulates:

Accounting vouchers, accounting books, financial accounting reports and other accounting materials must conform to the provisions of the unified national accounting system. No unit or individual may forge or alter accounting vouchers, accounting books and other accounting materials and provide false financial and accounting reports.

People's Republic of China (PRC) social insurance law

Article 58 provides that:

The employing unit shall, within 30 days from the date of employment, apply to the social insurance agency for social insurance registration for its employees. If the social insurance has not been registered, the social insurance agency shall verify the social insurance premium it should pay.