Office Payment: Expense Accounting
The effects to know about office payment accounts for office reimbursement costs will be clarified in this composition. Before going into the details, we will learn about the factors that affect the hunt for office space. To have a perfect office, you first need to have a clear and specific plan.
Office payment charges that need an account
Before conducting account for office reimbursement services, businesses need to precisely force all costs.
Fixed cost of office reimbursement
Fixed costs are the utmost introductory charges that every business has to pay when renting an office. Before subscribing to an office parcel contract, you need to review the parcel contract, including the costs
- Office rental cost: This cost will be calculated according to the rental price/ m2 multiplied by the rented area of the business. This cost will be bared in the office rental information. You can choose one of the payment styles by time, by period, or by month. All are grounded on the agreement of the two parties and are easily stated in the contract.
- Administration costs: are freights paid for mileage services for the use process. Including construction donation freights, elevator operation freights, tree care freights, nonentity control freights, and freights paid to staff working at the structure.
- Office rental duty: This is a veritably important expenditure that you must pay attention to when renting an office. Since it’s a matter of law, the protestation process will have to be extremely accurate.
- Cost of renting cabinet work( if any): some office structures will be equipped with cabinetwork left by the former business. You can exercise the cabinetwork to save costs for the business. At the same time, adding vittles on the responsibility to save cabinetwork during use. In case of damage, your business will have to compensate for the cost of restoring the original interior condition.
- Cost of returning the point to its original state: This cost will be reckoned for at the time of handing over the demesne. Due to the process of use, the unit may change some details in the office. At the end of the contract, it’s your responsibility to return the demesne to their original state. Account for a one-time payment of office reimbursement costs needs to be accurate and fast.
- Cost of interior construction: When renting an empty bottom in the office structure, your business will design and construct office cabinetwork yourself to work. This cost will be paid only formerly during the rental period.
How is the office payment service account calculated?
Payment in advance
The unit will pay the entire office rent in advance according to the vittles of the contract. Consequently, you’ll have to rigorously misbehave with the agreed office parcel term. However, the two parties will concertedly make a new office parcel contract, If you want to continue renting after that. When enforcing an account for repaid office leasing, you’ll misbehave with the terms of Dr 331, credit 111,112.
In addition, if you can not go to pay all at formerly, you can make a deposit in advance. The letter will keep the deposit to secure the performance of the contract. Note that the damage of the deposit must issue a tab to insure the interests of both parties. After the agreed period, the enterprise will have to pay the entire cost of office reimbursement to the erecting party.
This system allows startups to plan costs after the period of use. For illustration, with a 6- month office parcel contract, only the 6th month needs to be paid. At this time, the letter can issue a tab. This is an advantage for small units to reduce the original burden of rental costs. still, you also need to be veritably careful to avoid being late for the contract.
Yearly account Dr 154, 627, 641,642, There are 335 charges incurred but not yet paid.
When paying or entering checks Debit account 335, Credit account 111,112 if it’s paid. disbenefit account 331 if the damage of tab.
Pay office rent in advance
This way is illustrated in detail Your business party rents the office of the structure, from January to December, paying 1 time in January, and has not entered a tab. Or when entering a tab, the computation will be as follows
-Dr. 242 Total quantum
-Dr. 133, has accounts 331, 111, 112
For the periodic allocation of the repayment, depending on the rental purpose, the plan is as follows
– For disbenefit account 154, regarding 627, regarding 641, regarding 642.
– For Credit account Have account 242
Account for office reimbursement services by month
utmost office reimbursement units want to choose this system. Because when paying yearly, the quantum will be distributed, the unit won’t have to worry about paying a large quantum. either, the account is also important and simpler. Each month the unit will admit a tab for payment. Depending on the purpose of office reimbursement, you’ll conduct the account according to the following terms Debit 154, 627, 641, 642,…
You can read the previous article here: Contract Liquidation: Minutes
Or follow us on Facebook
Q: What are the legal requirements for lease contracts in Vietnam?
Vietnam has specific legal requirements for lease contracts, such as registration with the local authority and the inclusion of certain clauses, including those related to rent adjustment, termination, and dispute resolution.
Q: What are the different types of lease contracts available in Vietnam?
There are several types of lease contracts available in Vietnam, including commercial office leasing, co-working space lease contracts, and business center lease contracts.
Q: What is an office lease contract?
An office lease contract is a legally binding agreement between a landlord and a tenant, which sets out the terms and conditions for renting office space.