Cheques and Reconciling

[Henry Gomersall]

On Mon, 2003-10-13 at 15:23, Stewart V. Wright wrote:
> Hi All,
> 
> For some reason the UK is a big fan of cheques.  For example, I must
> pay my rent by cheque[1].
> 
> However when I pay for anything with a cheque there is a delay between
> the date that I write the cheque and the date that it is cashed (for
> example my landlord often waits and cashes three months worth of rent
> cheques at the same time...).  Naturally this screws up the
> reconciling of my bank statements, and confuses the amount of money I
> have in my account and the actual value of my Net Assets...
> 
> Does anyone have a suggestion for what to do?  I was thinking of
> creating a Liabilities:Cheques account, and then transferring money
> from my Assets:Current Assets:Savings Account over when the cheque is
> finally cashed.

Yeah, a control account would probably work.

But isn't that the point of reconciliation, you don't reconcile until
the cash is in or out of the bank. You don't really need to worry about
the actual account, just that someone is *going to take cash out - which
your own local accounts tell you. When it finally happens, you can
reconcile.

But then, IANAA. ;)

hen

-- 
Henry Gomersall
whg21 at cam.ac.uk
http://www.heng.pwp.blueyonder.co.uk/

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