Thanks, I'm keeping my books on gnucash only so the answer was exactly what I wanted. <br><br>Jim.<br><br><div><span class="gmail_quote">On 1/26/06, <b class="gmail_sendername">Dale Alspach</b> <<a href="mailto:alspach@math.okstate.edu">
alspach@math.okstate.edu</a>> wrote:</span><blockquote class="gmail_quote" style="border-left: 1px solid rgb(204, 204, 204); margin: 0pt 0pt 0pt 0.8ex; padding-left: 1ex;">You are increasing your equity in the business by paying these bills out of
<br>pocket. I don't quite understand whether you have mixed system (personal<br>and business) or the gnucash file contains only business entries. This<br>difference will affect the transactions a little.<br><br>If you are doing only the business, then I would set up an owner's equity
<br>account. Every time you pay a business expense out of your pocket you<br>should credit that account and debit the expense acount. If you take money<br>out of the business then you will need to decide whether you are paying
<br>yourself a salary or you are drawing down the owner's equity. You probably<br>want to contact an accountant about the right way to handle this if your<br>business might be scrutinized by the government.<br><br>Dale Alspach
<br><br><br></blockquote></div><br>