Recoding money I "owe" myself?

[Jason Ahrens]

On March 11, 2005 11:35, David Harrison wrote:
> For the purchase of the house, you should have something like this:
>
> Withdrawal from RSP
> Asset:Bank                          $ x,xxx.xx
>      Asset:RSP                                         $ x,xxx.xx
>
> Purchase of house:
> Asset:House                        $ x,xxx.xx
>      Asset:Bank                                        $ x,xxx.xx

That part I understand, and have done already.

> That side is pretty straight forward.  Here's how I think you would
> set up the liability:
>
> Equity:Retained earnings      $ x,xxx.xx
>      Liability:Owing to RSP                         $ x,xxx.xx
> This would be for the full amount of what you borrowed.

Ok, this gives me an equity account with -$xxxx.xx in it.

> If you repay a portion:
> Liability:Owing to RSP         $ x,xxx.xx
>     Equity:Retained earnings                      $ x,xxx.xx
> And:
> Asset:RSP                         $ x,xxx.xx
>    Asset:Bank                                          $ x,xxx.xx

This is the part I don't understand. I am now recoding the movement of this
money twice? Once  from the RSP Loan liability back to the Equity account
(moving it back towards 0), and once from the back to the RSP?

I can see the logic behind each step individually, but does this not do
 really funny things with the reporting? Right now GNUCash reports my net
 assets to be in the red after setting up the loan/equity accounts.

Thanks

Jason

-- 
"He who is content with nothing possesses all things." -- Nicolas Boileau