The Book-keepers Forum (BKF)
The Book-keepers Forum (UK) -> General Book-keeping & Accounting -> Postage costs for general expenses
Post Info TOPIC: Postage costs for general expenses
Phoenix52866


Member

Status: Offline
Posts: 7
Date:
Postage costs for general expenses
Permalink Closed

Hi,

Can someone tell me if i'm right with this or whether I'm getting confused with the carriage Inwards part of stock.

 

If a sole trader buys say flyers for their business for £20 which would then have postage at £5 to total £25 do i do the following:

CR Bank - £25

DR: Advertising - £20

DR: Postage - £5

 

Or

 

CR Bank - £25

DR: Advertising - £25

 

I am thinking the latter but I think I'm just over thinking it.

Any help much appreciated.

 

Thanks

Phil



__________________
Phil
Phoenix52866


Member

Status: Offline
Posts: 7
Date:
Permalink Closed

It is for the accounts of my girlfriends business. I have it listed in the accounts as:

CR - Bank £25

DR - Advertising £20
DR - Postage £5

but for some reason when I was looking at it last night I thought you don't split out the postage from the cost of the actual flyers. I think I've got it right but just having mind blank.

Phil

__________________
Phil
EPF_Solutions


Senior Member

Status: Offline
Posts: 318
Date:
Permalink Closed

It's part of the cost of the flyers, so I'd charge it all to advertising.

I've always used the postage account for general stamps, sending letters and other postage for stuff sent out that's not part of the cost of sales, and charge postage on incoming items to the same account as the item that's been bought.

__________________
John
FoxAccountancyServices


Expert

Status: Offline
Posts: 2021
Date:
Permalink Closed

Agreed with John. Its part of acquiring the advertising. But in your circumstances, you could pretty much show it however you liked as long as your tax bill was correct!

__________________
Phoenix52866


Member

Status: Offline
Posts: 7
Date:
Permalink Closed

Ok, thank you both for the clarity with this. It has been niggling away at me for a few days so thank you for your replies.

Regards

Phil

__________________
Phil
Page 1 of 1  sorted by
 
Quick Reply

Please log in to post quick replies.
The Book-keepers Forum (UK) -> General Book-keeping & Accounting -> Postage costs for general expenses
Tweet this page Post to Digg Post to Del.icio.us
Members Login
Username 
 
Password 
    Remember Me  
©2007-2024 The Book-keepers Forum (BKF). All Rights Reserved. The Book-keepers Forum (BKF) is a trading division of Bookcert Ltd. Registered in England Company Number 05782923. 2 Laurel House, 1 Station Rd, Worle, Weston-super-Mare, North Somerset, BS22 6AR, United Kingdom. The Book-keepers Forum and BKF are trademarks of Bookcert Ltd. This forum is a discussion forum only. There will usually be more than one opinion to any question and any posting should not be viewed as a definitive solution. No responsibility for loss occasioned to any person acting or refraining from action as a result of any posting on this site is accepted by the contributors or The Book-keepers Forum. In all cases, appropriate professional advice should be sought before making a decision. We reserve the right to remove any postings which are offensive, libellous, self-promoting or engaged in covert marketing. We will not notify users of removals. The views expressed in the forum posts are those of the individual and do not necessary reflect or agree with those of The Book-keepers Forum. Any offensive or unsuitable posts will be removed by the moderators. Any reader of this forum can request for a post to be looked into by sending an email to: bookcertltd@gmail.com.

Privacy & Cookie Policy  About