[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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