refunds: how to file?

[Paul Lussier]

In a message dated: Thu, 08 Feb 2001 10:14:11 +0200
Andrea.Borgia@nokia.com said:

>> Technically, what's happened is that when you purchased the thing on
>> behalf of your friends you gained an asset (the debt owed to you).
>> When the debt is paid, your cash increases, but your debt asset
>> decreases.
>
>So, how should I structure the accounts? Another account for the money I'm
>owed?
>
>Also, how should I file it? A split between my expenses and this asset? I
>was thinking along the lines of entering it as a rebate of the original
>entry, but maybe this is not correct.

Well, what I do is just receive it into the account it was spent from.

For example, I have:

	Assets	  ->...
		  ->Wallet (what's in my pocket right now)

	Expenses  ->...
		  ->Food

So, suppose I buy lunch for a friend and that costs $10, $5 each.  I debit the 
'Wallet' Account $10 for 'Food'.  When my friend pays me back, I credit the 
'Wallet' Account $5 as coming from the 'Food' Expense account and just write
in memo field 're-imbursement from Joe'.

This allows me to see how much I really spend on food, and track what's in my 
wallet at all times (in theory, anyway :)

I thought about setting up "loan" and "Reimbursement" accounts for this type 
of situation, but it just seemed way to tedious, and really didn't represent 
what was really happening.

Just my $.02, and please keep in mind, IANAA :)
-- 

Seeya,
Paul
----
	It may look like I'm just sitting here doing nothing,
   but I'm really actively waiting for all my problems to go away.

	 If you're not having fun, you're not doing it right!