Wages and salaries payable意思

"Wages and salaries payable" is an accounting term that refers to the amount of money that a company owes to its employees for the work they have already performed but have not yet been paid for. This includes both hourly wages and salaries that are earned by employees on a regular basis, as well as any overtime pay, bonuses, commissions, or other forms of compensation that are due but have not yet been paid.

This account is typically listed as a current liability on the company's balance sheet, as it is money that is expected to be paid out within the next fiscal year. The balance in the wages and salaries payable account is usually updated at the end of each pay period, and the amount owed to employees is then paid out through the issuance of paychecks or direct deposits.

Companies must ensure that they have sufficient funds available to cover their wages and salaries payable, as failure to pay employees on time can lead to legal and financial penalties, as well as damage to the company's reputation and employee morale.