[GNC] Need help with a Savings account

ToddAndMargo ToddAndMargo at zoho.com
Mon Apr 15 18:43:55 EDT 2019


 >> On Apr 15, 2019, at 5:11 PM, ToddAndMargo via gnucash-user 
<gnucash-user at gnucash.org> wrote:
 >>
 >> Hi All,
 >>
 >> Now that I am feeling brave coming off of creating a charge
 >> card account, I decided to create a saving account.
 >>
 >> My bank statement shows deposits as positive numbers and
 >> withdrawals as negative numbers, so I decided to follow suite
 >>
 >> Okay, I set the initial test balance to +100.  It shows in
 >> balance as 100.  All is well so far.
 >>
 >> Then I put 10 in the debit column of the account, meaning I
 >> withdrew 10 from the account.
 >>
 >> Problem: the balance went to 110, not to 90.  What did
 >> I do wrong THIS time?
 >>
 >> Many thanks,
 >> -T

On 4/15/19 3:17 PM, Adrien Monteleone wrote:
> Another reminder - the Bank’s use of “debit/credit” with respect to your account is with respect to your account in *their* books which lies on the opposite of the ledger/accounting equation from *your* books.
> 
> So when they ‘debit your account’ to decrease it, that is because *to them* your account is a liability. (right side of the equation)
> 
> But in your books you would credit your account to decrease it, because it is on the left side of your equation. (an asset)
> 
> And notice, that when they debit, you credit - debits and credits still balance - even across books! (neat hunh?)
> 
> Regards,
> Adrien
> 

Hi Adrian,

So, when I deposit something to the bank, I am actually
losing money (giving it to someone else), so it is a debit?

So I should switch my opening balance to a negative number?

I think I might be going insane.  :'(

Thank you for all your patience with this!

-T




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