[GNC] Accounts which are both Income and Expense accounts

[Adrien Monteleone]

I do this with family and friends often.

The simplest options are *either* asset or liability, based on whichever 
you like, or which one you think will most likely be the case. (if they 
more often owe you - then asset, otherwise liability, or just pick one, 
it doesn't matter)

I chose to create asset accounts for each person so I can see who I owe 
or who owes me at a glance.

If the amount is positive (since this is an asset) that means they owe 
me. If it is negative, I owe them. The signs and what they mean would be 
reversed if you chose to create liability accounts.

You don't need separate expense or income accounts.

Regards,
Adrien

On 7/24/23 10:53 AM, Chris Green wrote:
> Is there a 'right' way to handle an account which gets payments in two
> directions?
> 
> E.g. I have good relations with a friend and we often buy things for
> each other and settle up at the end of the month.  Sometimes I owe the
> friend some money, other times the friend owes me some money but it's
> very definitely one account and one wants to see all the payments in
> one place.
> 
> I guess one can just say it's an 'Expense' account and make payments
> in either direction as required, is this the only way or is there a
> special name for such an account?
>