Both large enterprises and representatives of small and medium-sized businesses often incur expenses associated with entrepreneurial activities, because without them the normal functioning of a business is simply impossible. Moreover, all expenditure and income transactions must be carefully monitored by accountants and reflected in accounting documents. And, for example, in large enterprises, its manager has to finance several departments that pay for certain goods and services. It is for the convenience of settlements that banks offer corporate cards. Next, we will talk about what a corporate card for legal entities is.
What it is
A corporate bank card of a legal entity is, in simple terms, bank plastic linked to the entrepreneur's current account. In fact, it is physically not much different from the usual plastic cards for us, but nevertheless, it has several of its own features, as well as its own special purpose. Using a corporate card, employees have the opportunity to pay for goods and services for the needs of the enterprise in Russia or abroad.
Please note that the corporate card is not intended for the transfer of wages and social benefits.
Why should a company issue a bank payment instrument? In fact, this is an integral payment instrument, because any company performs any debit transactions almost every day, and each of them is accompanied by a large document flow, which makes the work of an accountant difficult. A payment bank card linked to a current account of a legal entity makes it possible to simplify the settlement system and track all expenses more efficiently.
By the way, it is impossible not to note the fact that an entrepreneur can issue several unnamed bank cards for several employees, while each card will be tied to one main account, and when carrying out debit transactions, the funds will be debited from the general current account of the legal entity. In addition, the manager can set a certain limit for each individual card.
One hundred is a corporate card: definition
Why use payment plastic legal entities
The reason for issuing payment cards for each company, of course, is different. But still, the use of corporate bank cards may be required in the following cases:
- expenses of seconded employees;
- entertainment expenses;
- payment for utility services;
- settlement with suppliers;
- payment for stationery;
- payment for other services related to economic activity.
As you can see, a corporate card is a universal tool with which you can pay for goods and services. That is, in fact, this is the same payment instrument used by most individuals, but only corporate cards are intended to pay not for the personal needs of employees, but for the economic needs of the enterprise.
Corporate credit card: service features
The range of financial services of banks is quite wide, both for individuals and legal entities, respectively, each entrepreneur, at his own request, can issue a debit card or credit card. Accordingly, the debit card is easier to process because it does not provide for a credit limit, so all expenses will be made within the balance of the entrepreneur's current account.
A corporate credit card is issued at the personal request of a legal entity. A card with a credit limit allows you to pay for the current expenses of the enterprise at the expense of the bank's credit funds. The credit limit is set by the financial institution for each client individually, the average turnover for the billing period is taken into account. Accordingly, the credit limit cannot exceed the amount of monthly receipts on the card.
By the way, legal entities, as well as physically, undertake to pay interest to the bank for using the credit limit.
Registration of a corporate card
So, if your company needs a plastic payment instrument, then you can easily open it in a commercial bank. As an issuer, you should choose the financial institution where you have a current account. By the way, it is worth immediately determining the circle of officials who will receive payment plastic, that is, those employees of the company whose job responsibilities are related to debit transactions. For example, the card, as a rule, is needed by the director and his deputy, the chief accountant and other officials.
So, first of all, in order to get plastic, you need to contact the bank and write an application for issuing a card. By the way, the bank offers several products for corporate clients, including various types of plastic cards. Before making the right choice, you need to carefully study the service rates, account replenishment methods, limits, interest rates for credit cards, currency conversion conditions, validity period and other nuances.
By the way, if a representative of the board of an enterprise issues several cards linked to one account, then he needs to collect the data of all employees who will use plastic in the future. That is, you need to provide the passport data of employees to the bank.
Please note that no later than 7 days after receiving the plastic, you must report the opening of an account to the tax office.
Features of use
The procedure for using corporate cards must be approved by the company's management. Therefore, it is recommended to create a regulation on the procedure for using corporate cards. These provisions must contain several information:
- list of permitted operations on a plastic card;
- limit on monthly expenses for each individual employee, depending on his job duties;
- the period during which the employee uses the payment instrument;
- the procedure and terms for submitting a report for expenditure transactions;
- a list of documents that the employee is required to provide as a report for expenses;
- providing a receipt for the protection of access data to the card account (keeping the PIN code secret);
- responsibility for violating the rules of the regulation.
Please note that the rules for opening and using card accounts for legal entities are regulated by law, namely the Labor Code, the Tax Code, the Federal Law and the provisions of the Central Bank.
Let's give an example, when opening a card account at an enterprise, a representative of the board must issue an order, on the basis of which a certain list of officials will use the payment card on duty. Employees of the company must familiarize themselves with this order, who, in turn, must submit an application to the management for the issuance of plastic cards for the implementation of certain expenses. In addition, the accountant must keep a journal in which he will keep records of the acceptance and issuance of payment cards to certain employees, indicating the amount of expenses and the purpose of payments.
It should be noted that the bank, at the end of the month, is obliged to provide cardholders with a report on the movement of funds, that is, on income and expenditure transactions.
And finally, pay special attention to the fact that company employees are required to provide a full report on the expenses incurred. Accounting documents include invoices, cash receipts, sales receipts, documents that will indicate the intended use of funds. By the way, it is not forbidden to withdraw cash from a payment card, the only caveat is that for the use of these funds you also need to provide a full report in the form of payment orders, cash and sales receipts. Those employees who misused the funds should be punished as follows, the amount of funds for which the report was not submitted to the accounting department will be deducted from the employee's salary.
Use of corporate cards
accounting entries
The accountant must carefully monitor all income and expenditure transactions in the company. Today, accounting is carried out in a specialized program 1C. According to the established rules, accounting entries for corporate cards are recorded in a specialized account number 55. For plastic cards, the entries will look like this:
- Dt 55.04, Kt 51 - receipt of funds on the card account;
- Dt 71.01, Kt 55.04 - expense operation;
- Dt 91.02, Kt 55.04 - commission fee in a financial institution.
Benefits of payment corporate cards
First of all, it should be noted that a payment card is a universal payment instrument that can be used in Russia and abroad. This is especially true for enterprises that often send their employees abroad. Indeed, in this case, they do not need to exchange currency to pay for goods and services in foreign currency, the conversion is carried out automatically.
Plastic corporate cards also have other clear advantages:
- There is no need for the management or an official of the company to contact the bank each time in order to receive the necessary amount for certain expenses, including when arranging a business trip for employees.
- Servicing corporate cards is cheaper than a commission for receiving money from a bank.
- It is enough to open one card account in the bank and receive several payment cards for employees who, on duty, perform debit transactions for the needs of the company.
- Thanks to plastic cards, it is easy to track the expenses of employees.
- There are several ways to replenish a card account, including remotely using Internet services.
- With the help of bank cards, you can receive cash at any time of the day, as ATMs work around the clock, but bank branches work on a certain schedule.
- If a corporate card is available, the procedure for receiving funds by employees greatly simplifies the work of the accounting department, to receive cash it is enough to receive a plastic card against receipt, the procedure for issuing cash is longer.
- Finally, the last advantage is security, because the funds on the card account are reliably protected from fraudulent actions by third parties, they are almost impossible to steal, even if the card is lost, and it is easy for it to block and reissue.
By the way, the main advantage of the card is that it is enough to contact the bank once and write an application for issue in the future within 3 years, you can use it without additional visits to financial institutions. Then, after the expiration date, you can order a new plastic.
Thus, it will be obvious for every entrepreneur what corporate cards are for. They allow you to carefully track the expenses of employees, reduce the time for the procedure for issuing cash for spending transactions. In addition, it will be easy and fast to get bank plastic in any commercial bank.
Designed to pay expenses related to the business or core activities of the company, including overhead, hospitality, transportation and travel expenses, as well as cash receipts. The card cannot be used for payroll and social payments. At its core, a corporate card is an analogue of funds issued for a report. Can be both debit and credit .
To issue a card, a legal entity must conclude an agreement with the bank on the issuance and maintenance of corporate cards, which displays information about the employees who will use these cards. Applications of employees for issuing cards and powers of attorney for them from the company should be attached to the contract. And also, to open a card current account, you must submit the relevant documents to the bank.
The possible number of opened cards to the account is determined by each bank at its own discretion.
Advantages of using corporate cards for an organization:
Reducing operating costs and time associated with the issuance of imprest amounts. The company does not need to receive cash from the bank for business expenses, as well as carry out their delivery and storage;
There is no need to buy foreign currency for business trips abroad or open a foreign currency account, and there is no need to issue declarations when crossing borders. Funds will be debited from the company's card account with automatic conversion into the currency of the country in which the cardholder is located;
Management and control of the company's expenses. The ability to set limits on cards and the connection of SMS informing allow real-time control over the expenditure of funds by an authorized employee. For example, an organization can replenish the card at any time or increase the limit on the operations of a seconded employee. The bank also provides the company with a detailed statement of transactions using cards. Due to this, the accounting department of the company can control the targeted spending of funds by employees;
The ability to make payments in excess of 100 thousand rubles. In accordance with the instructions of the Central Bank of the Russian Federation dated July 20, 2007 No. 1843-U, cash settlements in the Russian Federation between organizations, including individual entrepreneurs, related to their entrepreneurial activities, under one contract can be made in an amount not exceeding 100 thousand .rubles Settlements using a corporate card are non-cash payments - thus, this restriction does not apply to transactions with corporate cards;
Using the card, you can make purchases on the Internet;
Round-the-clock access to funds on the account of the organization. Possibility to receive cash at ATMs at any time;
The ability to attach all corporate cards to one card account with a single spending limit for all employees of the organization or divide all corporate cards into groups with their own spending limit;
Reducing the risk of loss or theft of cash. If the card is lost, the client can block it, saving the funds;
Also, depending on the type of card and the bank's program, corporate cards have certain types of discounts and benefits.
The annual maintenance of one corporate card in Russian banks on average costs from 1 thousand rubles. For example, in Avangard Bank, the annual maintenance of a MasterCard Business card costs 900 rubles, and MasterCard Gold costs 2,000 rubles. In St. Petersburg Industrial Joint Stock Bank (SIAB), an annual maintenance of a Visa Business card will cost 1,000 rubles.
Banks can set a minimum account balance on the card. So, in the bank "Avangard" it is equal to 10 thousand rubles.
- Corporate cards "MIR" Accounting on a corporate card "SMS-Informing" service on a corporate card
- Card transactions are non-cash transactions, so accounting is much easier;
- When paying for goods and services using a card, there is no need to draw up funds and advance reports. When receiving cash, it is not required to draw up an application and an expense cash warrant;
- It is possible to control the movement of funds on the card through the Internet bank. The spending limit is set individually for each card;
- It is possible to make an unlimited number of transactions by bank transfer;
- Operations using cash received with a card are possible in the amount of not more than 1,000,000 rubles. one card per month. At the same time, within the framework of one agreement, settlements are possible in an amount not exceeding 100,000 rubles, or in a foreign currency equivalent to 100,000 rubles at the official exchange rate of the Bank of Russia on the date of cash settlements (instruction of the Central Bank of the Russian Federation dated October 7, 2013 N 3073-U ).
- card limits;
- a list of expenses and operations that may be committed by the employee;
- list of documents for the advance report;
- the procedure and terms for the provision of advance reports.
It's easy to pay with a Business card, it's even easier to carry out accounting operations!
Primary documents and accounting 1
| Debit | Credit | Accounting | Source documents |
|---|---|---|---|
| 55 | 51 | Transfer operation from the main current account to the corporate card account | Bank statement on account |
| Cashless payments for purchases | |||
| 60 | 51 | The amount of paid goods, works and services is reflected | |
| 10, 20, 25, 26, 44 | 60 | The amount of paid goods, works and services | Tickets, receipts, original slips, ATM and terminal receipts |
| Issuance of cash account | |||
| 71 | 55 | The amount of cash withdrawn from the card is reflected in the context of accountable persons - cardholders | ATM or terminal check, bank statement with the purpose of payment: cash withdrawal from an ATM (terminal number and address, city, date, time, amount, card number). If the transaction date in the check differs from the transaction date in the current account statement, account 57 “Transfers in transit” is used to register the transaction gap in days |
| 10, 20, 25, 26, 44 | 71 | The amount of cash received using a corporate card, based on the advance report submitted by the employee with supporting documents (on the date the employee submits the advance report) | Advance report: documents confirming cash withdrawals made by a corporate card (accounts, cash and sales receipts or an act in the form No. M7, approved by the Decree of the State Statistics Committee of the Russian Federation of October 30, 1997 No. 71a. Original slips, ATM checks or cashier's checks). |
In the accounting policy of the organization, it is necessary to take into account the main provisions for the use of corporate cards:
The list of employees entitled to receive corporate cards is established by order or instruction. The holder of a corporate card must be familiar with the procedure for the application and use of corporate cards approved by the organization. A liability agreement is concluded with cardholders. The issuance and return of cards must be kept in the book of accounting for corporate cards, specially established at the enterprise.
The general rules for organizing accounting of settlements with accountable persons are established by the Instructions for the Application of the Chart of Accounts for the Financial and Economic Activities of Organizations, approved by Order of the Ministry of Finance of the Russian Federation dated October 31, 2000 No. 94n.
How to keep records of payments on a corporate card in 1C: Accounting?
Today, almost all companies use corporate cards. Their use is a very convenient process and versatile. For example, it is very convenient to use such cards on business trips or when making household and hospitality expenses. Also, if necessary, withdraw cash.
For the movement of money on a corporate card, a special account is opened in the bank, which is subsequently linked to it.
To keep track of money on a corporate card, account 55 “Special bank accounts”, subaccount 55.04 “Other special accounts” are used.
How are operations to replenish a corporate card reflected?
From the company's current account, funds are transferred to a special card account. This operation is reflected in the posting DT 55.04 KT 51.
In the 1C program, such an operation can be carried out in the "Bank and cash desk" section, in the "Bank statements" tab.
To do this, you need to write off funds from the current account to the card using the "Debit" button.
In the column "Type of operation" it is necessary to indicate the operation "Transfer to another account of the organization". Then, you need to select the name of the organization and the bank account on the corporate card. You also need to set up accounting accounts, namely, the debit account should be 55.04, and the credit - 51.
After the document is filled out correctly, you must click the "Submit" button. The operation will be carried out and postings will be automatically generated. They can be viewed on the "DtKt" tab.
After viewing "Record and close" all operations.
How is money withdrawn from a corporate card?
A corporate card is a card of an organization and all money withdrawn from it is accountable. That is, in fact, the employee, withdrawing money from the card, is obliged to report for them.
For example, an employee of an organization received a corporate card to buy office supplies. He withdrew cash from an ATM and paid with it at a stationery store.
Withdrawing money from an ATM, in the 1C program, it is necessary to reflect the operation on the tab "Bank and cash desk" - "Bank statements" - "Debit from the current account".
In the “Type of operation” tab, you must specify “Transfer to an accountable person”.
Specify account 55.04 in the accounting account and link it to the corporate card account. In the column "Reporting person" it is necessary to indicate the employee who withdrew money from the card and who will subsequently report on these amounts to the accounting department.
After posting this document, posting DT 71.01 Kt 55.04 will be automatically generated. It can be viewed on the "DtKt" tab.
How to reflect the bank commission when withdrawing cash from a corporate card?
When withdrawing cash from a card, the bank charges a commission from the company. In the 1C program, the commission is also withdrawn through the "Debit from the current account" function.
In the "Type of transaction" column, select "Other write-off". In the column "Account" you need to specify account 55.04 and link it to the bank account of the corporate card. In the debit, indicate account 91.02, on which bank commissions are recorded. In the column "Other income and expenses" it is necessary to indicate the item "Expenses for banking services".
After this operation, the posting will be automatically generated: DT 91.02 - KT 55.04.
Very often, companies work with a Bank-client. And all statements are automatically loaded into the program. This means that there is no need to debit your account. They will be generated automatically. The accountant will only need to check and, if necessary, correct the “Type of transaction” and “Account account”.
How to confirm expenses on a corporate card?
After the accountable person performs operations on the corporate card, it is necessary to draw up an advance report.
In the 1C program, this document is formed in the tab "Bank and cash desk" - "Cashier" - "Advance reports".
In order to reflect expenses on a corporate card, you must create an advance report and fill in all the required fields.
In the column "Advances" it is necessary to reflect the "Write-off from the current account" of exactly the amount that was formed earlier.
Then go to the "Products" tab. In this tab, information is filled in on the purchase of all office supplies, an accounting account is indicated, and VAT is allocated or not allocated.
After posting the document, the program will automatically generate postings: DT 26 KT 71.01.
Accounting for a corporate card is not as complicated as it seems at first. For experienced accountants, it is not difficult to record transactions. As a rule, difficulty arises when compiling a report on the corporate card of the employee for whom it was issued.
General concepts of a corporate card
Corporate card- this is a settlement bank card that belongs to the enterprise itself and is tied to its current account, but at the same time it is issued to an employee of the enterprise. The corporate card is designed to pay for expenses that are related to the economic or core activities of the enterprise. Corporate card payments include payment of overheads, entertainment expenses, as well as transportation and travel expenses, as well as the ability to receive cash for settlement with counterparties.
Important!!! A corporate card cannot be used to pay salaries and other social benefits.
From the above, we can conclude that the corporate card is an analogue of the funds issued to the sub-report.
A corporate card can be issued as a debit or credit card.
To issue a corporate card, an enterprise needs to contact a servicing bank and conclude an agreement on the issuance and maintenance of corporate cards, which will reflect all the information about employees who will use corporate cards. Together with the contract, it is necessary to attach statements of employees and it is necessary to immediately issue a power of attorney for them from the organization itself. It is mandatory to notify the tax office within seven days after opening a corporate card. For violation of this requirement, penalties are provided in the amount of 5,000 rubles in accordance with Article 118 of the Tax Code of the Russian Federation.
Classification of corporate cards
Corporate cards can be divided into two types:
- Debit (settlement) corporate card - on this card there are funds that belong to the enterprise itself and payment is made from the organization's current account or at the expense of an overdraft.
- Credit corporate card - this card provides borrowed funds that are provided by a credit institution.
Features of the operation
Receipt of funds to the corporate card is carried out by bank transfer from the main settlement account of the enterprise. To do this, you need to draw up a payment order and send it to the bank for execution.
The expenditure of funds is made only with the use of a corporate card. This can be either non-cash transactions, for example, payment is made at the terminal, or cash withdrawal, that is, withdrawing funds from an ATM to pay for expenses related to the business activities of the enterprise.
Corporate cards are not subject to the established limits of the Central Bank for cash settlements. Meanwhile, banking organizations, guided by the recommendations of the Central Bank, can set a limit for issuance. For example, on a Sberbank corporate card, the maximum amount is 100 thousand rubles per day.
Advantage of a corporate card
A corporate card allows the head of the enterprise where, when and for what the company's funds were spent by the employee. Therefore, consider what advantages a corporate card has:
- Monitor employee spending. Firstly, all transactions carried out by the employee are reflected in the current account of the enterprise. And secondly, a corporate card report is generated, which reflects all the expenses that were incurred for a specific period.
- The ability to use the company's funds at any time without being tied to the work of a credit institution in which a current account is opened. That is, access to funds around the clock.
- The ability to quickly block a corporate card if there are any problems.
- It is possible to use cash during a business trip abroad. In this case, there is no need to purchase foreign currency when leaving the Russian Federation. Also in this case, the accountant can replenish the corporate card at any time if the employee runs out of money during a business trip abroad.
- Save a lot of time when booking tickets and paying for tickets and hotel rooms.
Drafting of internal documents
After choosing corporate cards and concluding an agreement with the bank, it is necessary to develop local acts of the company that regulate the accounting of corporate cards and control over money.
To carry out accounting and control over the movement of a corporate card and funds on card accounts, it is necessary:
- Introduce appropriate elements into the accounting policy of the economic entity;
- Develop an appropriate regulation or regulation in the form of an independent annex to the accounting policy.
It is optimal to draw up an internal document that defines the rules for using electronic means of payment. It's good to include:
- Types of spending funds;
- Limit on transactions, namely non-cash payments, cash payments, limits per day, month;
- Deadlines for reporting on the use of funds;
- What documents must be attached to the report on the use of funds;
- responsibility and procedure for collecting funds if the accountable person did not report on time.
Instead of a separate act, you can include the rules for corporate cards in other local documents, for example, in the regulations for the enterprise on regulating the payment of business trips, issuing money as a sub-report, and submitting advance reports.
The list of employees who have the right to use corporate cards is determined by the order or order of the head. It is desirable to sign contracts with employees on full liability. In this case, the employer will be able to recover from the employees the missing funds on the card in full (Article 242 of the Labor Code of the Russian Federation). In the absence of an agreement, the maximum amount of damage to be compensated cannot exceed the average monthly salary (Article 241 of the Labor Code of the Russian Federation).
Accounting for corporate card transactions
In accounting, card transactions are reflected using accounts 55 “Special accounts in banks” and 71 “Settlements with accountable persons”. Typical operations are presented in the table:
| Dt | ct | Content | Note |
| 55 | 51 | Replenishment of a corporate card | Account 55 is maintained in analytics for each card account |
| 55 | 66 | Use of bank credit | For credit card and overdraft |
| 91 | 55 | Charged off payment for services or bank commission on the card | |
| 71 | 55 |
| Posting is performed if the accounting department has means of operational control over movements on the card, for example, Internet banking |
| 25, 26, 44, 60, 76 | 71 | The report of the employee on the amounts spent is reflected | Posting is done on the date of acceptance of the report |
| 71 | 57 | The fact that the employee used the card to pay expenses is reflected |
|
| 57 | 55 | Reflected the use of card funds according to the bank's report and the employee's report | As of the date of receipt of the bank's report |
| 91 | 66 | Interest accrued on loans | For credit cards and overdraft |
| 66 | 55 | Credit card loan repaid | Usually in the amount of the mandatory card payment presented by the bank |
FAQ
Question number 1 When should an employee report to the accounting department for the funds used?
Answer: The employee reports to the accounting department within the period specified in the specially developed regulation on corporate cards.
Question No. 2 Can the head of the enterprise demand damages from the employee for the misuse of funds?
Answer: Yes, it can, only in this case it is necessary to comply with a number of conditions, namely: the amount of damage can be assessed, proved, it is necessary to issue an order to withhold damage from wages no later than a month from the moment the damage was established, the amount of the deduction to be made complies with the norms in accordance with the law, and also, the employee does not dispute the deduction.
