temporary allocation of money

[Maf. King]

On Friday 30 Apr 2004 00:21, fideli wrote:
> say i had $1000 in my savings account and from that cash, and i would like
> to make a note of the fact that i need $750 of that for a certain purpose
> in the future.  so what i've done is i've created a sub-account under my
> savings account (even though it doesn't really exist at the bank) in
> gnucash and stashed the $750 there.  it makes me wonder now what happens to
> the sub-account once i'm done with it.  from what i can tell, it'll just
> sit there with ageing transactions in it, until i choose to close the book.
> is this proper procedure?  i'm not quite an accountant, so forgive me if
> this is a trivial theory question.  thanks in advance!
>
> -\ fideli /-

Hi,

Just a thought, and IANAA, but as I see it, that sub-account is there to help 
your memory only ;-)

So you have a single transfer of $750 into a "virtual" account, which you need 
to keep aside. To keep your account tree tidy, when you need to spend that 
$750, you could just delete the transaction which placed that money into your 
"virtual" account, and make the payment from the complete savings account.   
Then, you can delete the (empty) virtual account.

Just $0.02 worth.

Cheers,
Maf.