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Accounting

What is accounting? Definition and meaning

Accounting (also known as bookkeeping) deals with all financial aspects relating to the assets of a company. These can include, for example, loans, payments and receivables, as well as payroll and salary payments.

Areas of accounting

Accounting is an umbrella term for the following areas:

  • Financial and balance sheet accounting
  • Accounts receivable and accounts payable accounting
  • Fixed asset accounting
  • Payroll accounting

Financial and Balance Sheet Accounting

Financial and balance sheet accounting deals with business figures such as quarterly and monthly statements. At the end of the year, the annual report and the balance sheet are also presented. The financial and balance sheet accounting department maintains an overview of all key figures and can intervene when problems arise.

Accounts Receivable and Accounts Payable Accounting

Accounts receivable and accounts payable accounting deals with all incoming and outgoing invoices.

Fixed Asset Accounting

Fixed asset accounting deals, as the name suggests, with financial assets such as real estate, machinery, interest and depreciation.

Payroll Accounting

Payroll accounting is responsible for calculating wages and salaries. It also handles the associated social security contributions and taxes. This also includes special payments such as holiday and Christmas bonuses, bonuses or premiums.

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Frequently asked questions

What does accounting include?
As an umbrella term, accounting covers several areas: financial and balance sheet accounting, accounts receivable and payable accounting, fixed asset accounting and payroll accounting. The financial accounting from projectfacts brings these tasks together with software support.
What does payroll accounting do?
Payroll accounting is responsible for calculating wages and salaries. It also handles the associated social security contributions and taxes, along with special payments such as holiday and Christmas bonuses, bonuses or premiums.
What does financial and balance sheet accounting deal with?
Financial and balance sheet accounting deals with business figures such as quarterly and monthly statements, and presents the annual report and the balance sheet at the end of the year. It keeps an eye on all key figures and can intervene when problems arise.