Sapna Takia In: Category - Journal EntriesWhat is paid salary by cheque journal entry?journal entrypaid salary by cheque ShareFacebook1 AnswerVotedRecent Vaishnavi 2020-08-30T19:36:50+05:30Added an answer on August 30, 2020 at 7:36 pm Salary is an indirect expense incurred by every organization as consideration for the efforts undertaken by the employees of the organization. It is one of the most recurring transactions because it is paid monthly. It is usually paid by cheque or through netbanking.Here, I will explain you the journal entry for salary paid by cheque.Journal entry for paid salary by chequeI will present the journal entry using both the golden rule and the modern rule of accounting.1. According to the “Golden rules” of accountingSalary A/cDebitNominal accountDebit all expenses and losses To Bank A/cCreditPersonal accountCredit the giver(Being salary paid by cheque)2. According to the “Modern rules” of accountingSalary A/cDebitExpenseDebit the increase in expenses To Bank A/cCreditAssetCredit the decrease in asset(Being salary paid by cheque)ExampleSamsung Inc. paid salary amounting to 250,000 to its employees by cheque for the month of March 20xx on 31/03/20xx.Journal entry in the books of Samsung Inc. on 31/03/20xx will be as follows-Salary A/cDebit250,000Debit the increase in expenses To Bank A/cCredit 250,000Credit the decrease in asset(Being salary paid by cheque for the month of March 20xx)1Reply Share ShareShare on FacebookShare on TwitterShare on LinkedInShare on WhatsAppLeave an answerCancel replyYou must login or register to add a new answer.