I have a personal loan that I pay out of my checking account and my parents reimburse me for this loan. I also share subscription services (netflix, hulu,etc) and phone bill with them and I pay for them and then they pay me back later.
The 4 accounts that I have setup for this are;
Asset:Money Owed to Me:Mom
Whenever I pay for Netflix I will just split out my share to my expense account and add the remainder to the
Asset:Money Owed to Me:Mom account. This works as I expect it and need it to.
Now, when I pay for the
Liability:Personal Loan out of
Bank:Checking Account it reduces my balance on the loan which I expect and need it to but how do I add that transaction to the asset account to add to the balance that is owed to me?
I have tried to make the liability account as a child account of the asset account, that didn't work as why would it?
I have tried to add an invoice under the asset account but if I invoice it for a positive integer it removes the invoice total from the balance. To solve for this I made the invoice amount a negative integer but that just seems messy and incorrect.
What would be the best way for me to handle this? Any help is appreciated!