OA - Accounts & Financial Services

• Accounts department


  One of the most important offices in an organisation, responsible for channeling the finances of the company in a direction that will increase profitability and raise the standard of service provided
• Accounting


  The process of recording, classifying, reporting and interpreting the financial data
• Role and functions of the accounts office

  • Preparation of payroll
  • Credit control and collection of accounts
  • Treatment of debit and credit notes
  • Preparation of accounts for audit
• Current accounts


  Allow account holders to withdraw money from their account by writing cheques out of their cheque book, purchase goods, pay for services and transfer money between accounts
• Savings accounts


  Earn more interest than current accounts, intended for funds that will not be accessed on a frequent or regular basis, limit the number of deposits and withdrawals, do not come with cheque book privileges
• Fixed deposits


  High interest bearing accounts for 1, 3, 6, 9, 12 or 24 months duration.
• Duties and responsibilities of the accounts clerk

  • Preparation of payroll
  • Preparation of cheques
  • Reconciling accounts
  • Making ledger entries
  • Preparing statement of accounts
  • Writing up the cash book
  • Preparing final accounts
  • Liaising with other departments
• Attributes of the accounts clerk

  • Integrity
  • Confidentiality
  • Reliability
• What is Salary ?

  The minimum pay for an employee's normal time according to the hours agreed by employer and employee, by law or be dictated by the type of work or profession
• Wages


  Hourly pay for an employee
• Overtime payments


  Paid when an employee works above their regular working hours, at a rate of time and a half or double time
• Commissions


  Where an employee is paid solely on performance or sales, either a set amount per sale, a percentage of each sale, or set increments of pay depending on targets met
• Allowances


  Paid to executives in addition to the basic salary, usually includes travelling, housing or entertainment allowances
• Types of Statutory deductions

  • National Insurance Scheme contributions
  • Income tax (PAYE)
  • Education tax
  • National Housing Trust
• Voluntary deductions


  Withheld from an employee's gross pay at the instruction of the employee, for various benefits the employee has chosen to participate in
• Net pay


  The amount of earnings remaining after all deductions have been made from the gross salary
• Payroll documents


  • Payslip
  • Payroll/paysheet
  • Employee record card
• Currency memorandum


  Document used to record the disbursement of money for wages from the largest to the lowest increment of money
• Cash summary


  Document used to summarise the cash disbursements for wages
• An invoice is a document sent by the supplier to the purchaser (a customer) when goods are ready for delivery
• Insurance provides protection against risks such as accidents, illnesses, theft, fire, and natural disasters.
• Banking is the provision of financial products and services by banks to individuals or businesses.
• The cash flow statement reports the cash generated and used during a specific time period.
• The main types of financial services are banking, insurance, investment management, and payment systems
• The balance sheet provides a snapshot of a company's financial position at a particular point in time.
• The income statement shows a company's revenues and expenses during a specific period.
• Income tax is paid on income earned over a certain threshold or limit set by the government.
• The main types of insurance include life insurance, health insurance, property insurance, liability insurance, car insurance, travel insurance, business insurance, and pet insurance.
• Investment involves putting money into an asset with the expectation of receiving more money back at some point in the future.
• National insurance contributions are mandatory payments made by employees and employers towards social security benefits provided by the state.
• Banking refers to the provision of financial products and services by banks and other financial institutions.