Financial Liabilities

Financial Liabilities are what the business owes to others.

In a Balance Sheet Report, Financial Liabilities are listed in order of their required payment date.

• Current Liabilities
  • Outstanding Suppliers Bills
  • Interest payable
  • Rent, tax, utilities
  • Wages payable
  • Customer prepayments
  • Dividends payable and others
• Long-term liabilities
  • Interest and principle on bonds issued
  • Pension fund liability
  • Deferred tax liability

Note that some liabilities are off-balance sheet, meaning that they will not appear on the balance sheet. Operating leases are an example of this kind of liability.