Payment made now for the months ahead - how to split it?

[James Kerr]

On 12/02/2012 07:45, llny wrote:
>  I pay my rent once every
> three months, but I'd like the payment to be split into three, such that my
> housing account shows a consistent rent payment each month and thus my
> monthly profit/loss doesn't spike every three months.
>
> How do I enter such a payment?
>

Create an asset account "Prepaid Rent"

Assuming you pay 300 every three months:

When you pay the rent:
	Rent expense 100
	Prepaid Rent 200
	Bank              300

In each of the following two months:
	Rent expense 100
	Prepaid Rent      100

Jim