Dealing with business items paid for with a personal credit card

[Elizabeth Dodd]

On Monday 08 May 2006 16:31, Wouter van Marle wrote:
> On Sun, 2006-05-07 at 23:08 -0700, Des Dougan wrote:
> > I found it necessary during last month to use a personal card for goods
> > which I acquired on behalf of clients. I use GnuCash solely for my
> > business, and I would like to determine how I can show these purchases
> > correctly so that my income is not over-stated.
>
> Just add a credit card account to your business account tree the way it
> is described in the manual (account type "credit card"), and add only
> the items that are related to your business into GnuCash. That's how I
> do it.
>
> When paying off the credit card, I always pay everything from my company
> account, booking the cheque as split transaction: partly to the credit
> card, partly as personal cash taking (which is an equity account; see
> thread from me a few weeks ago), thereby accurately setting the date of
> the particular transaction by credit card, and accurately keeping my
> income. You could of course also make separate payments from your
> company and personal account, and again only book the company payment to
> that credit card account.
>
> Wouter.

I maintain a liability account for anything I buy for the business. Whether it 
is credit card, debit card or petty cash, I list it all there and pay myself 
back periodically.


-- 
Q:	What does it say on the bottom of Coke cans in North Dakota?
A:	Open other end.