Bonuses & Incentives
Code: 5216
👁 Views: 114
Account Information
| Financial Statement | Income Statement |
| Normal Balance | Debit |
Definition
Annual bonuses, production incentives, year-end profits, and other cash incentives.
📐 IFRS vs US GAAP Accounting Treatment
IFRS
IAS 19
Employee Benefits
US GAAP
ASC 710
Compensation - General
❓ Frequently Asked Questions
Q: How are bonuses and incentives recorded?
A: When accrued: Dr. Bonuses & Incentives, Cr. Salaries Payable or Bank.