HEHENDRAWANTOAUDIT, ACCOUNTING & TAX

SERVICES · ACCOUNTING

Accounting, Financial Statements and SAK Implementation

Helping companies prepare well-structured financial statements, apply Indonesian Financial Accounting Standards (SAK) correctly, and build recording systems that support business decisions.

Financial Accounting Standards in Indonesia

Financial statements of entities in Indonesia are prepared under frameworks issued by the Institute of Indonesia Chartered Accountants (IAI), including SAK Indonesia (IFRS-based, with the new PSAK numbering such as PSAK 109, 116, 219), SAK for Private Entities (SAK EP) for entities without public accountability, SAK EMKM for micro, small, and medium enterprises, and SAK Syariah. Government entities use Government Accounting Standards (SAP). Choosing and applying the right framework determines the quality and reliability of financial statements.

Accounting Services

  • Financial statement preparation together with the notes to the financial statements.
  • Implementation of specific PSAK, such as financial instruments and credit loss allowances, leases, revenue from contracts with customers, investment property, and employee benefits (PSAK 219).
  • Reporting framework transition, for example from SAK ETAP to SAK EP.
  • Accounting systems and policies: chart of accounts, recording procedures, and internal controls.
  • Performance and cash flow analysis to support management decisions.

PSAK 219 Employee Benefits Calculation

For post-employment benefit and severance liabilities under PP 35/2021, I have developed a calculation tool using the Projected Unit Credit method, complete with reconciliations, journal entries, and sensitivity analysis. More information is available on the page Employee Benefits Calculation.

Why This Matters Before an Audit

Financial statements prepared with clear accounting policies and supported by orderly reconciliations speed up the audit, reduce adjustments, and lower tax risk. To maintain independence, financial statement preparation services are not provided to entities that are also audit clients.

Frequently Asked Questions

What is the difference between SAK EP and SAK EMKM?

SAK EP is intended for entities without significant public accountability and replaces SAK ETAP. SAK EMKM is much simpler and is intended for micro, small, and medium enterprises.

Are small companies required to apply full PSAK?

Not always. The reporting framework depends on the entity's characteristics and regulatory requirements. An initial discussion helps determine the most suitable framework.