Undeposited Funds

[Mike or Penny Novack]

Brenda Reed wrote:

>Does anyone use GnuCash and the "undeposited funds" account? I want to use
>it but I'm having trouble finding any documentation on using it in GnuCash.
>I set up the Asset:Undeposited Funds account and I'm using the A/Receivable
>business account for invoicing. How to use the undeposited funds account
>when creating the invoice and when paying the invoice, and when making the
>deposit to the checking account?
>I'm running v2.6 on Windows 7. Thank you.
>  
>
I'm not using the business features and not using any built in 
"undeposited funds" account. I always create the chart of accounts by 
hand and I did create an account for "undeposited funds" because this is 
something common for me. I don't live in town and not going to make a 
special trip to drive in just to make a bank deposit unless a very large 
one.

So if it's going to be a while, I enter the transaction debiting 
undeposited funds for the amount (and assigning the other side of the 
transaction as appropriate). Then when I finally get around to making a 
bank deposit record that as a debit to the bank account and a credit to 
undeposited funds.

Michael