How are social security contributions recorded?

In the company's accounting, a distinction must be made between the social security contributions (AHV, IV, EO, BU etc.) of the employees and those of the employer.

Social security contributions of the employees:

The employee contributions are deducted directly from the salary, i.e., the journal entry reads Wage Expense/Creditors.

Social security contributions of the employer:

The employer contributions are recorded through the expense account for social benefits; i.e., the journal entry reads Social Benefits/Creditors.

The net salary payment is then made through liquid assets –> Entry: Wage Expense/Liquid Assets