Account 428 – Personnel – Accrued expenses and accrued income

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Account 428 "Personnel - Accrued expenses and accrued income" is an integral part of class 4 "Third-party accounts" of the General Accounting Plan (PCG). It is actually a transitional account that allows you to record expenses and income that concern personnel, but that have not yet been settled or collected at the time of the closing of the accounting year. In this article, we student data explain everything about account 428, follow us!

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Account Description 428
Account 428 “Personnel – Accrued expenses and accrued income” is an account that is part of the liabilities side of the balance sheet . It is used to record unpaid expenses and uncollected income related to personnel at the end of the accounting year.

Account 428 is divided into several sub-accounts such as:

Account 4282 “Provisioned liabilities for holiday pay”;
Account 4284 “Provisioned liabilities for employee participation in results”;
Account 4286 “Other charges payable”.
Good to know: charges payable and income receivable relating to other third parties are to be recorded in other accounts such as:

Account 438 “Social organizations – Charges payable and income receivable”;
Or account 448 “Status – Charges payable and income receivable”.
Rules associated with account 428
For a good understanding of the 428 account, it is appropriate to examine the two most common cases related to the use of this account:

Provisioned debts for holiday pay ;
Provisions for employee profit sharing .
Provisioned debts for holiday pay
By working, employees acquire paid leave of up to 2.5 days per month. These accrued leave rights constitute provisioned liabilities for the company . The recognition of these provisions is essential to ensure the reliability of the company's financial statements .