INTERNATIONAL JOURNAL OF RESEARCH IN BUSINESS AND SOCIAL SCIENCE 10(3)(2021) 419-423 * Corresponding author. ORCID ID: 0000-0003-0984-9337 © 2021by the authors. Hosting by SSBFNET. Peer review under responsibility of Center for Strategic Studies in Business and Finance. https://doi.org/10.20525/ijrbs.v10i3.1093 Accountability in village financial management in Kludan Village Farida Nur Aini Kusumaningrum, Ali Djamhuri, Lilik Purwanti (a,b,c) Faculty of Economics and Business, Brawijaya University, Malang, Indonesia A R T I C L E I N F O Article history: Received 04 March 2021 Received in rev. form 14 April 2021 Accepted 16 April 2021 Keywords: Accountability, Village Fund, Financial Management JEL Classification: G32 A B S T R A C T This study aims to understand the practice of government financial accountability in Kludan Village, Tanggulangin District, Sidoarjo Regency. Village finances are very interesting to study, because of the large amounts of funds released by the centre for the development and welfare of communities in the village. This study uses two forms of public accountability, namely vertical accountability and horizontal accountability. The use of these two forms of accountability is expected to be able to dig deep information for the village government. This study uses an interpretive paradigm with a case study method. The data used are primary data, obtained from interviews with informants and secondary data obtained from documentation owned by the village government. Village culture is also a tool used by researchers in making decisions when observing research carried out. This is because village culture also influences the way the community and village government think about making decisions. The results showed that the village financial accountability vertically and horizontally had been carried out in accordance with the rules of government on 113 of 2014. This was evidenced by the implementation which was carried out in a transparent, accountable, participatory as well as orderly and budgetary discipline. However, there is still a lack of mastery by village officials regarding the recording of accountability reports. The village government tends to have less accountability. This will have an impact on the level of trust of the village community and the welfare of the village environment. © 2021 by the authors. Licensee SSBFNET, Istanbul, Turkey. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license (http://creativecommons.org/licenses/by/4.0/). Introduction The Law Number 23 of 2014 concerning Regional Government defines a village as a legal community unit that has territorial boundaries that are authorized to regulate and manage the interests of the local community, based on local origins and customs which are recognized and respected in the Government system of the Unitary State of the Republic of Indonesia. In accordance with the autonomy that the village has, it can be understood that the village has recognition of the rights of origin, customs and authority to regulate household and government affairs as outlined in Law No. 23 of 2014 concerning local government and government regulation no. 6 of 2014 concerning the Village. This shows that legally, the decentralization and regional autonomy policy format has touched the lowest level of government, namely the village. The rules of government number 84 of 2015 article 11 concerning the Organizational Structure of Village Government states that there is a village organizational structure that is adjusted to the level of village development. The level of village development consists of three forms, namely independent villages, self-employed villages, and self-sufficiency villages. Starting with independent villages, namely villages that are still bound by tradition because the quality of education is still low. self-subsistent villages have very little facilities and infrastructure due to the lack of education of the village community, and the community still adheres to customs. Furthermore, self-made village is a form of village where the customs of the community are undergoing a transition, resulting in changing ways of thinking and increasing employment opportunities. The last form of village, namely self-sufficiency village. Self- sufficient villages are also called developed or developing villages. This is because the community has been able to manage and utilize natural resources. Research in Business & Social Science IJRBS VOL 10 NO 3 ISSN: 2147-4478 Available online at www.ssbfnet.com Journal homepage: https://www.ssbfnet.com/ojs/index.php/ijrbs