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Group medical insurance-accounting entries

A/c entries 2175 views 2 replies

My company has paid RS xxx as premium towards employees medical insurance for 1 full year. Each month we have to deduct specific amount from all employees from salary.

Suggest me accounting entries.

In case new employee joins, somebody resigns how to account it.

 

Replies (2)
If Salary Rs. 10k and You ll deduct Rs. 500 for Insurance amount

Journal :
Dr. Salary Paid A/c - Rs. 10000
Cr. Salary Payable Mr. A - Rs. 10000

Payment :
Salary Payable Mr A - Rs. 9500
To Bank / Cash A/c - Rs. 9500

Journal :
Dr. Salary Payable Mr. A - Rs. 500
Cr. Insurance A/c - Rs 500
Good explanation sir.


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