[GNC] new user woes

[Rich Shepard]

On Sat, 11 Mar 2023, Jamie Tolbert wrote:

> Started a new property rental business, and for now, am on a cash basis,
> Originally , I thought I would just pay each bill, and credit owner equity
> and debit the bill, but that seems very cumbersome and confusing, so
> before I get into the actual upcoming rental season, I thought I would
> credit owner equity, lets say 500.00 and debit petty cash. and then pay
> the bills out of petty cash......but I cant get that initial transaction
> correct, I tried the TRANSFER button on the toolbar, and I end up with
> 1000.00 in owner equity instead of 500.00........what would be the best
> way to do this?

Jamie,

Your accountant should advise you on this, depending on any local laws or
requirements.

It's a business so use the business functions. Set up each rental unit as a
customer and have a matching income account and damage/pet deposit account.
If you have multiple people renting the same unit you'll have a lot of
customers, but that provides you with a history for each one.

Since you're operating on a cash basis, issue an invoice each month for each
renter/customer, don't post that to accounts receivable until it's paid and
pay it the same time with the money debited to your rental income account.

HTH,

Rich