Lost Checks - No Payee - Best Practice

[John Ralls]

> On Jun 7, 2015, at 4:36 PM, John R. Sowden <jsowden at americansentry.net> wrote:
> 
> "Orphan", as I best understand is a trick by gc to put an incomplete transaction somewhere.  What I do with a voided check is put "Void" in the payee field, and post the zero credit amount to the checking account, and post the zero debit amount to the expense account "misc".  If you choose to post every one of the voided checks, then I would create an expense account "Voided Checks", but I don't think entering all of the voided checks is necessary.  The intent of posting to the expense account "Misc" is to honor standard accounting procedures.
> 
> John
> 
> 
> 
> On 06/07/2015 03:35 PM, Milton Stern wrote:
>> Just an update on the Lost check situation.
>> 
>> 1. The bank, via secure email, informed me that their initial response was
>> in error. There would be no charge fo "Stop Check" orders for checks lost
>> in the mail from their order center to me.
>> 2. They sent me new checks that arrived within 2 days (no charge for
>> expedited shipping.) - I was impressed
>> 3. The "Lost" checks arrived the same day via regular mail (1 month late).
>> Asked the bank if they would unstop the "lost" checks, or I should destroy
>> them. There response was to disregard the "lost" checks, but I could use
>> them after 6 months because a check stop order is only good for 6 months.
>> Very strange response. But, I guess it makes sense for a dated check to be
>> stopped only for 6 months because a dated check is invalid after 6 months.
>> Good thing that I have a decent diamond cut shredder. Anybody need some
>> confetti?
>> 
>> Anyway, back to the uses of the "Orphan" account.
>> Wm... I'm confused. From your description, wouldn't it be appropriate for
>> the "Orphan" account if a "Voided" check has no Payee matching account?
>> Is it better to let our confused financial banks keep track without a
>> notation within our local software?
>> 

“Orphaned Gains XXX” is a special account hard-coded into GnuCash for the use of the Lots system for sticking capital gains and losses. “Imbalance XXX” is hard-coded account for the residual splits of transactions that don’t balance when they’re saved. To avoid confusion it’s wise to invent other account names for other purposes.

Voided transactions stay in the same accounts with their amounts changed to 0. The old amount is saved in a place not displayed in the GUI so that it can be restored if the transaction is un-voided.

Regards,
John Ralls