Accountant's comments on GNUcash

[Timothy Wight]

For single currency A/R it's the way to go.  Wouldn't it be cool if you 
could create the bank charge within the Process Payment screen!


Maf. King wrote:
> On Thursday 22 October 2009 11:13:02 Timothy Wight wrote:
>
>   
>> Take the following example:  You bill a client USD1000 and the posting
>> of the invoice to the foreign A/R account is balanced by a posting to
>> 'Sales Income' of GBP 500 calculated using the exchange rate on that
>> day.  Thirty days later (I wish) your customer pays his bill with a bank
>> transfer.  Let's be generous and assume he has instructed his bank to
>> deduct charges from his account.   However, forex has drifted and that
>> USD1000 is now only worth GBP475.  What's more, your bank has charged
>> you GBP25 for receiving the transfer.  Your bank account now shows
>> income of GBP450 that had been booked as Sales Income of GBP500.  Even
>> using currency trading accounts your transactions will balance but your
>> accounts will not.  However, currency trading accounts will allow
>> balancing transactions to be added.
>>
>>     
>
> Hi Timothy,
>
> I have a slightly in-elegant solution to part of this problem.  I occasionally 
> issue an invoice (denominated in GBP) to customers in other countries.
>
> Admittedly, since all my accounts are in GBP, I don't see any of the 
> multi-currency problems you outline and I can't comment on those.
>
> Often these customers pay by international money wire, and my bank (receiving 
> bank) deducts some charges from the money as it passes through them.
>
> I handle the A/R payment in the usual way (Invoice->Process Payment), then go 
> to the bank account register and manually add an expenses:bank fee split to 
> the txn, which reduces the total which has actually hit the bank.
> eg.
> Bank:current    450
> Expenses:BankFee 50
> Assets:A/R			        500
>
> It seems to keep everything in balance and easily reportable.
>
> HTH, IANAA etc.
> Maf.
>   
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