Hospitality

Distribution of Staff Service Charge

Recording the payout of collected service charges to employees via payroll.

Account NameTypeDebit ($)Credit ($)
Service Charge PayableLiability (-)1,000.00-
Cash / Wages PayableAsset/Liability (-)-1,000.00

💡 Accountant's Note

In many regions, the 10% service charge is mandatory and belongs to the staff. It is not an expense for the hotel; it is a pass-through liability.

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