Accounts payable or "payables" are those amounts of money that a business must put aside to be paid for on-going debts.
Accounts Payable are listed under Liabilities in the company's Balance Sheet.
Examples of accounts payable include:
- Sales taxes payable - sales taxes collected from customers that must be paid to the state department of revenue
- Payroll taxes payable - amounts withheld from employee pay for income taxes andemployment taxes, and amounts owed by the employer for that payroll and which must be paid to the IRS for withholding and FICA taxes
- Loans payable and mortgages payable - total amounts due, and amounts currently due for loans and mortgages
