[GNC] Third Party Transactions & More

[R Losey]

Hello, and welcome.

Entering the data is easy, but setting up accounts (and stuff) is more of
an accounting question than a GnuCash question.

I am not an accountant.

#1 below sounds like a checking account; however, a normal checking account
is an asset, and I'm not sure that the account for #1 should be an asset.
However it is set up, as you pay things, it would decrease the amount in
the account and increase the expense - whether you can just have Client001
for all expenses, or whether you need to have Client001's expenses further
categorized is not really a GnuCash option (you CAN do it, but do you need
to?); it's an accounting question.

Regarding #2, recording the transactions isn't hard -- I think you really
want to know about how it should be set up for reports or tracking or other
things you need.  But as to entry: you would enter a transaction against
your credit card & the client for the expense. When the client pays you
increase the account that is holding their payment & adjust the client's
account. Then you'd pay the credit card by decreasing the account that
received the payment and allocating the payment to the credit card.

The layout you use really depends on multiple things: possibly legal
requirements, tax needs, the kind of reporting you must do, the reports you
want to look at, and possibly other things. (After all, the simplest filing
system is one HUGE "Miscellaneous" file folder, but that doesn't meet most
people's needs.)


On Wed, May 24, 2023 at 11:19 AM Lex Medeiros <tech.guy415 at gmail.com> wrote:

> Dear Group:
>
> I am a beginner with GnuCash.  Could someone share with me how to record
> these transactions using Gnucash?
>
> 1 - One of our clients has a company that  has revolving funds from
> clients.  We use this fund to pay for client's expenses.  For example, we
> have a revolving fund of $1,000USD.  Then, client asks us to pay her energy
> bill, house cleaning, and other services.
>
> 2- Sometimes we make one time payments on behalf of clients without a
> fund.  For example, a clients asks us to hire a chef and pay this chef for
> the services client receives. Sometimes we pay with our credit card and
> then we simply pay the credit card when a client pays us for the service we
> paid.
>
> I appreciate your guidance as how to record the above instances in GnuCash.
>
> Thank you,
>
> Lex
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-- 
_________________________________
Richard Losey
rlosey at gmail.com
Micah 6:8