[GNC] scheduled transactions: simple or compound interest calculations in

[Name Same]

Hi Adrien,

Thanks for the reply, I figured out how to use the formula
system with scheduled transactions with some trial-and-error.

I tried both a simple formula like 1000*4/100 for a recurring
fixed 4% deposit, and a compounding formula, like:
computeInterestIncrement( 1000.00 : 0.4 : 12 : i )
which made me quite rich.

One thing I note is that in the transaction template, I had to show
a debit action into the bank account, and a credit action from
Income:interest to keep the sheet balanced. Is that the right thing to do?
If I don't credit from income:interest, the interest deposited in the bank
account shows under imbalance.

Best,

Robin



On Sun, Oct 22, 2023 at 9:11 AM Adrien Monteleone <
adrien.monteleone at lusfiber.net> wrote:

> I could be misunderstanding the desired goal.
>
> Do you want the interest portion to be calculated on the immediate
> deposit or on the entire account balance?
>
> If the immediate deposit, you would simply add a split for the interest
> and indicate the amount. (since it is fixed, the rate is irrelevant as
> the math always produces the same result, thus no formula is needed.)
>
> If on the account balance at the time, you can prompt yourself for that
> as a variable and let GnuCash do the math.
>
> The interest split would in this case have a formula instead of a fixed
> amount but where the current balance would appear you simply use a word
> say 'balance' and gnucash will treat that as a variable. When the
> transaction fires, GnuCash will prompt you to enter the balance amount
> to be used in the formula.
>
> Create a copy of your file and do a test transaction as practice if it
> helps.
>
> -----
> Note, the example you cite of adding code to a Scheme file is a much
> more advanced approach and it appears to be for a more complicated
> situation than you are describing.
> -----
> The first transaction in just about any Asset or Liability account will
> be to Equity:Opening Balances. This is fairly standard accounting practice.
>
> In double-entry, money does not appear or disappear. It moves from one
> account to another. With respect to Opening Balance, you think of it as
> a reason or explanation more than a source or destination account if
> that helps.
>
>
> Regards,
> Adrien
>
> On 10/20/23 2:38 PM, Name Same wrote:
> > Hi there,
> >
> > I am new to gnucash, so please pardon me if this sounds too simple a
> > question.
> >
> > How do I schedule transactions to automatically add a percentage interest
> > for a fixed deposit for a fixed deposit account?
> > https://en.wikipedia.org/wiki/Fixed_deposit
> >
> > The material on how to enter/use simple or compound interest formulas in
> > scheduled translation is not clear. Here are the links I found: 1)
> >
> https://wiki.gnucash.org/wiki/Scheduled_Transactions#Bank_Account_Interest
> ,
> > and 2) https://code.gnucash.org/docs/C/gnucash-guide/invest_int1.html
> >
> > Link 2) doesn't have a screenshot that shows what entries were made in
> the
> > fields/forms to calculate interest, and shows just the result.
> >
> > Another side problem I face is: When I create a fixed deposit account
> with
> > an initial amount, the scheduled transaction template for some reason
> keeps
> > adding "opening balance" to the transactions. How do I just schedule
> > interest deposits based on opening balance of fixed deposit account?
>
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