Yeap, like Orsorum and ggnl said, since this is a business and most all are accrual basis, you have to record it when it's accrualed, which is this year (and as such shows up on this year's balance sheet and income statement). But to show that you didn't pay it until the next year, it shows up on the next year's Statement of cash flows (and possibly the IS as well depending on when you pay and if you have any interest expense results from waiting to pay it).