[GNC] Non-expense, non-income transactions?

[Rich Shepard]

On 9/3/2019 3:08 PM, Roderick Anderson wrote:

> I am looking for suggestions on how to account for cash pulled from the
> checking account to be used for making change for our fund raising event
> and then redeposited into checking.

Rod,

I have an asset account called 'Petty Cash'. Most of the time it has a zero
balance but when I need to fuel my diesel pickup truck (which I drive
to/from client sites) I'll withdraw cash from the checking account and enter
it in the books as a transfer from checking (credit, withdrawal) into petty
cash (debit, addition).

When I fill the tanks I'll enter that transaction as a credit (withdrawal)
from petty cash and a debit (addition) to the vehicle fuel account.

If I were using petty cash to make change what I'd probably do is add all
the cash received and add that to the remaining petty cash in the Income
'fund raising event' account. Then when I deposit the cash in the checking
account I do the reverse account transfer from one asset account to another
asset account.

I also do account transfers between the business checking and business
savings accounts when I move funds from one to the other. Transfer accounts
are your friend for moving amounts between accounts in the same parent
account type.

Regards,

Rich