Thursday, February 27, 2014

What is the accounting services relating to financial statements and payroll?

There are various accounting services relating to financial statements and payroll. We shall discuss here what are they and how they are done. A company always reports on the income statement and balance sheet of an organisation.

Payrolls and financial statements include items such as salaries, wages, paying overtime, bonus to the employees, concessions to the employees, social security, Medicare, payroll taxes and costs, state and federal income tax, state and federal unemployment tax, insurance of worker compensation, paid benefits of the employers, vacations, holidays, sick days, insurance in the form of health, dental, vision, life, disability. 

There are also retirement and profit sharing plans. In all these items you can find items subjected to laws of state and federal and there are also labour contracts and policies of companies.

 The principles or services of accounting make us understand why and how the payrolls help in making financial statements. The principles require a company to combine the expenses to the time period of accounting where the revenues are related. If there is no connection between the revenues and expenses directly then in the statement of income, the expenses should be seen in the period in which it was made.

The services include Accounting related advisory, financial statement preparation, Accounting supervision, statutory bookkeeping, payroll-related advisory, payroll review services, executive payroll services, payroll accounting, payment order processing, invoice preparation, statistical reporting, travel expense claim preparation, corporate secretarial work, financial performance analysis, improvement of internal procedures, forecasting and budgeting, development of reporting packages and management report preparation.

There are also other accounting services that are given such as financial accounting. They are as follows: statutory financial accounting, preparation of profit tax, values added tax and other taxes, and preparation of final reports. 

For service payrolls they include registration or deregistration of new employees. There are also other roles that you may come along. You can calculate each employee’s monthly payroll combining the taxes, securities, etc.

There is also Preparation of monthly payslip, social security liabilities report, and annual report of employees combining the annual earnings payment of advanced tax. There is wide range of administrative support which also combines preparation of orders of payments.

Under administrative services what are the other things that you come along? It is the VAT system where the administrative services provide VAT refund form; there is optimization of VAT that can be refunded, and many other services.

Under management reporting you come along the building of financial accounting function which is made to collect information regarding the bookkeeping functions in your company. The payroll outsourcing team helps in full payrolls of the employees in the company combining the executive payroll system that are related to the salaries of higher managements.

There are more services you can find but the most important thing is to make proper use of these services!