60 account. "Settlements with suppliers" - 60 account

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

The most active movement of the organization's financial flows occurs during mutual settlements with counterparty enterprises. The rate of cash turnover, existing indicators of debt, the presence of pen alties are the criteria for assessing the company's solvency. All of these positions are evaluated by potential partners before concluding contracts.

Chart of accounts used for accounting

For the correct operation of the accounting department of organizations that maintain accounting and tax records, a single standard chart of accounts has been created. All business transactions used are reflected in the respective item. To increase the efficiency of application, they are divided into groups according to their purpose. The section for interaction with counterparties of the enterprise begins with the number 6, settlements with suppliers - 60 account, with buyers - 62, etc. The described group consists of passive and active-passive accounts that reflect the movement of financial flows under concluded business contracts.

Tasks facing the accounting system for settlements with counterparties

Analysis of the economic activity of the enterprise, the efficiency and profitability of its work is evaluated according to many criteria. These include tracking financial flows in settlements with suppliers. Account 60 provides information that enables you to perform the following tasks:

• Monitoring the status of amounts owed to contractors and suppliers of goods and materials (the information is relevant both for owners and for the provision of reliable reporting).
• Formation of the information base. Based on it, the turnover rate is monitored. It is used when generating management reports.
• Control over compliance with contractual obligations, terms, volumes of deliveries and payment for them.
• Drafting a plan of payments to suppliers for the distribution of financial resources.
• Exclude the possibility of violation of the law and track late payments.

Account number 60

60 The account is used by enterprises as a balance sheet, passive, regardless of the chosen accounting system, on the legal form of activity. It is designed to reflect information on each of the suppliers and contractors. The basis for starting accounting are:

• concluding an agreement for the supply of goods and materials, main non-current assets, intangible assets;
• providing services of a different nature (utilities, repairsand maintenance of buildings, structures, machinery and equipment);
• cargo transportation;
• execution of contract work, etc.

In the Standardized Chart of Accounts 60, the account is called "Payments to Suppliers and Contractors". Synthetic generalized accounting is maintained for all organizations. Sub-accounts are created for analytics. In the balance sheet, account 60 is reflected in an accumulative form and shows the amount of the enterprise's debt for all suppliers and contractors. Analytical accounting to obtain reliable and objective information must be maintained for a separate counterparty or contract.

Document flow for account 60

For the formation of the movement of settlements with counterparties of the enterprise, account 60 is used. Movement on it occurs due to the receipt of the following documents:

1. Invoice, bill of lading are documents for the occurrence of an enterprise's debt for supplied materials or services rendered, or for clearing the amount of an advance payment. The invoice and TTN are also the rationale for the formation of the purchase book (VAT received).



2. Payment order or demand, bank statement serve to clear accounts payable to contractors and suppliers.
3. Expenditure order, partial or complete elimination of debt in cash, through the cash desk of the payer's organization.
4. The act of completion signed by both parties is accepted as the basis for paymentthe amount specified in the contract.
5. A receipt order is posted on account 60 in case of return of the advance paid earlier, repayment of the claim amount by the supplier in cash to the cash desk of the enterprise.

When delivering goods without a document, the fact of receipt is also reflected in the registers. At the time of presentation of consignment notes 60, the invoice is adjusted for the difference between the accounting prices and the value of the goods according to the submitted documents.

Operations on K account 60

Balance sheet, passive account 60 shows the amount of debt arising from the enterprise to counterparties. The balance at the beginning and end of the period, as a rule, is reflected in the loan. For individual suppliers, the balance may be debit in case of prepayment in accordance with the terms of the contract. In correspondence with the 60th credit account, the debit can be the following accounts:

• 07, 08 - purchase, modernization, posting of non-current assets;
• 10, 15 - materials, goods received from the supplier;
• 19 - the amount of VAT reflected in the shipping documents;
• 20, 23, 25, 26 - work performed by third parties is attributed to an increase in the cost of the main, auxiliary production, general business or general production expenses;
• 41 - goods purchased;
• 43, 44 - increase in trading costs due to the provision of services by contractors;
• 50, 51, 52, 55 - return of cash or non-cash funds from the supplier (overpaid amounts, making part of the advance due tothe impossibility of delivering the agreed batch of goods or sending it to the partner for quality or other reasons, settlements on claims);
• 60 - offset of amounts previously paid as an advance;
• 66 - redemption of a part of a short-term loan (loan) at the expense of an assignment agreement;
• 76 - the amount of claims against the buyer;
• 79 - the parent organization paid for the goods and materials supplied to the branch or subsidiary;
• 91.2 - foreign exchange (negative) difference in settlements using foreign currency is written off as other expenses.

Operations on D account 60

The debit of the account reflects operations related to the repayment of accounts payable for a specific counterparty. Account 60 of the debit entry in correspondence with the following items:

• 

  10, 15 - return of goods and materials received from the buyer;

• 50 - payment of an invoice or repayment of an existing debt through the organization's cash desk in cash;
• 51 - non-cash transfer from a settlement or other account;
• 52 - settlement with suppliers in foreign currency (according to the terms of the contract);
• 55 - payment with funds blocked until the fact of delivery (money is pre-transferred from the settlement or other account of the organization to a special letter of credit in the recipient's bank, the amount is prescribed in the contractual obligations, signed by both parties);
• 60 - advance paid earlier;
• 66 - repayment of the amount of debt to counterparties at the expense of short-term fundsloan;
• 76 - assignment of debt under an assignment agreement in favor of a third organization;
• 92 - writing off accounts payable in the following cases: expiration of the limitation period, liquidation of the creditor's enterprise, exchange rate difference, revaluation of the amount of debt, pen alties provided for by the agreement.