Questions tagged [double-entry]

Double-entry is an accounting technique in which every event is recorded in two separate accounts. The event is recorded in one account as a credit, and in the other account as a debit.

Filter by
Sorted by
Tagged with
0
votes
2answers
103 views

Keeping track of birthday money with double-entry accounting

I'm trying to figure out how to keep track of my kids' birthday money in a double-entry accounting system (GnuCash). Currently I am keeping track of the amounts as sub-accounts of my checking account ...
1
vote
0answers
60 views

Double entry process for 401k account exchange

I'm entering journal entries for hledger for a 401k account and have questions about how it should work when an account goes through an exchange (I'm not sure what it is exactly; I guess the finance ...
1
vote
1answer
52 views

Including benefits in kind within accounts

I'm producing accounts for a local political party using GNU Cash. There are a lot of benefits in kind that we need to account for. Previously I included these on a separate spreadsheet, but would ...
-1
votes
1answer
138 views

Journal entries for payment of tuition fees [closed]

A student has total tuition fee of 8,000. The student paid 3,000 as a down payment and the journal entry is: Cash 3,000 AR 5,000 Tuition Fee 8,000 But what if the student will pay 3,500 for ...
1
vote
1answer
51 views

What's the double-entry bookkeeping method for tracking a Safe-to-Spend balance and amounts saved towards goals and expenses?

The bank Simple has three great features: Safe-to-Spend Goals Expenses The Safe-to-Spend balance is pretty simple: it's just the balance in your checking account minus the total amount set aside for ...
1
vote
4answers
182 views

Question about double-entry accounting [closed]

Here's a typical statement on the subject from this SO post: The logic, for those not familiar with accounting, is: money is not created nor destroyed, it is only transferred from account to ...
3
votes
1answer
81 views

How do I use a liability account (in ledger-cli)?

I don't think this is only applicable to the software, but it's the one that I'm using. In the documentation it talks about using charitable giving (e.g. tithing) as a Liability. An example for 10% ...
1
vote
2answers
213 views

double entry bookkeeping loan to myself

I have 3 accounts - savings, outgoing, and loan. I have $100 in savings. I then receive $50 into savings. so far, so good. Then I want to 'borrow' $25 from savings with the intention of paying it ...
1
vote
1answer
220 views

How to interpret equity

I understand Equity to be "Net Worth", as calculated by Assets - Liabilities. I also understand the "Expanded Fundamental Accounting Equation" to be Assets + Expenses = Liabilities + Equity + Income ...
0
votes
0answers
69 views

Tracking GST/VAT from invoice to payment

Contrived example: Alice and Bob both work for Charlie, who runs a lawnmowing service. Charlie bills $100 plus 10% GST/VAT for the job. If Alice does the job, she gets $50 - if Bob does the job, he ...
3
votes
0answers
122 views

Accounting for monthly vested stock options as compenstation in GnuCash

I am working for a company that has recently gone public. Now I see a monthly accumulation of options vesting every month. I would like to account for these options as compensation in my accounts. ...
1
vote
1answer
72 views

How to account for transferring money from a USD account to a GBP account?

I am using ZipBooks online software for my bookkeeping, however I do not know how to approach the following situation. I have 2 bank accounts; one in USD, the other in GBP, and I am transferring $...
1
vote
3answers
239 views

In double-entry book keeping, how should I track planned expenses

So, I'm working on getting a bit better at managing my household finances and am currently working to learn double-entry bookkeeping. One thing I need to separate out and track a little better is ...
4
votes
0answers
142 views

Accrual accounting: how to implement prepaid tax

I am trying to put my personal finances in order and I figured that accrual accounting fits my needs for keeping a better track of my records. I am new to accrual accounting and while I think that I ...
6
votes
2answers
321 views

How to enter credit card “statement credits” (e.g. cash back) in double entry accounting? [duplicate]

A credit card statement credit is a reduction in liability, so I would think it's "income" of a sort. But, I could also see it as a reduction in expense; for example, buying a plane ticket using a ...
1
vote
1answer
104 views

Do GnuCash Income entries ever stop contributing to the Income Account's total?

I'm building a personal budget in GnuCash and after entering my starting equity, I've added my new paycheck in the Income section of my budget. I've entered it as transferred to my Checking Account ...
1
vote
2answers
214 views

How to track multiple savings in a single bank account with double-entry accounting

I have multiple savings that I want to track, eg - new car, vacation, etc. I'm storing all the money for those in a single bank account. I'm not sure how to track this via double-entry bookkeeping. ...
3
votes
1answer
97 views

Should ledger entries reflect actual bank charges, orders, or totals?

I recently purchased a few things on Amazon, but they split the items into multiple charges and orders: Order 1: $40, 2 items Order 2: $50, 1 item Order 3: $250, 5 items Charge 1: $40, Order 1 ...
2
votes
5answers
2k views

Should tax refunds be debited from expense or income accounts?

I've been using Ledger to keep track of my finances. A typical income entry looks like this: 2018-01-05 * My Company Assets:Cash:Checking 1,000 USD Expenses:Taxes:Federal:...
4
votes
4answers
2k views

Is the blockchain similar to double-entry book-keeping?

As far as I know, blockchains keeps transaction records from the beginning of time. This lets the blockchain retain a history of traceable transactions so it can maintain validity. Double-entry book-...
3
votes
1answer
99 views

How to get visibility into contributions to assets

I'm using double entry with Assets, Expenses, Income, Liabilities, and Equity. To illustrate my question with easy round numbers: Income one month is 10k; 5k goes into an asset like a 401k account (...
3
votes
1answer
786 views

How to account for digital currencies in a double ledger book

I put my personal finance records in GnuCash and I would like to understand how to best account for digital currency transactions. My book is for tracking EUR transactions. Scenario 1: I hold 1 BTC ...
1
vote
1answer
346 views

How to manage shared expenses with double entry

I am struggling to find a good answer but I didn't.(spent over 40 hours thinking it). I know that there is a similar question here Link but it doesn't solve my problem. How would you manage shared ...
0
votes
1answer
555 views

How do you set up current year bookkeeping based on previous year balance sheet and profit and loss items?

I'm setting up this year's accounting ledger for a sole proprietorship. It used to be done by CPAs in the past but I decided it's time to bite the bullet and start doing it myself. All is going well,...
1
vote
3answers
652 views

Double-entry bookkeeping: When selling an asset, does the money come from, Equity or Income?

I use a double-entry system (ledger) to manage my personal finances. I have set it up so that the only entries in my Equity are my opening balances. If I sell an asset (e.g. laptop) whose value I ...
3
votes
1answer
499 views

Setup Rental Security Deposit account in GnuCash

I'm new to GNUCash and creating a new GNUCash file to track my rental. I have a security deposit account with my bank, and am trying to make sure I get this all setup correctly. In quicken, I had an ...
7
votes
3answers
7k views

How to handle cash back or rewards in Gnucash, what account

One of my credit cards gives me a cash back reward that I have credited to my account when it build up to a large enough amount. What account should I use for it, or is there a specific way to handle ...
1
vote
1answer
1k views

How to record currency exchange in double entry

I decided to make my own double entry accounting program that deals with multicurrency. However, I am facing an issue in dealing with following scenario: I have two bank accounts: From: Opening ...
3
votes
3answers
683 views

Accounting equation: does income really decrease equity?

I am new to using double-entry bookkeeping for personal finances. GnuCash uses a variant of the accounting equation that has five variables, and which seems to be known colloquially as an "expanded" ...
0
votes
1answer
125 views

How to categorize shared income?

I'm a total bookkeeping noob. My LLC has an agreement with another LLC where we split income coming from a particular source. As it happens the income comes to my business's bank account and then I ...
2
votes
1answer
559 views

Gnucash: how to combine scheduled transactions and online banking data?

I don't know how to combine scheduled transactions and banking data in practice. What I have done already: I am fairly new to accounting, but have read Accounting for Computer Scientists, so I know ...
1
vote
1answer
7k views

Should written checks be accounted in Accounts Payable?

Should the checks I write be logged via my Accounts Payable account, or just directly from my Bank Asset account to my Expenses account? I see issues with both methods: Bank Asset => Expenses An ...
4
votes
1answer
679 views

Double-entry bookkeeping: How to account for non-monetary taxable benefits received from employer?

I'm trying to keep detailed books for my personal finances. One thing I haven't figured out how to represent is various non-monetary taxable benefits that I get at work. For example, a gift or a meal. ...
2
votes
1answer
335 views

Errors that double entry accounting reveals [closed]

This is a naive question but I'm trying to understand accounting. I've read online that one of the purposes of double entry accounting is to allow checking for errors. The only type of error that ...
4
votes
2answers
1k views

End of financial year: closing transactions

What book-keeping practice is best to keep each year's transactions balanced within that year? This question seeks specifically an answer that benefits from the consensus of the accumulated wisdom of ...
1
vote
2answers
470 views

How to record “short premium” in double-entry accounting? [closed]

I write (sell to open) puts on margin for “short premium” on my personal account. The contract note for an opening transaction lists a number of components: • contract number • option symbol • strike ...
4
votes
2answers
335 views

Double entry for mortgage

Q. What entries should be made for mortgage and interest only repayments? For info I use GnuCash. Situation: I have an interest (repayment) only mortgage of, say, £50,000. They added their fees to ...
3
votes
1answer
467 views

GnuCash during holiday: expenses in foreign currency

I am using GnuCash for keeping track of my personal finances. My currency is mostly Japanese Yen and I live in Japan. I keep track of every single Yen, every single purchase. Now I am going on ...
11
votes
3answers
38k views

What is the difference between equity and assets?

I am (going to be) using GNU Cash, which uses the double-entry method; I use it for personal finance. Reading various tutorials for GNU cash, it lists 5 types of accounts: income, expense, assets, ...
6
votes
1answer
789 views

Accounting for reimbursements that exceed actual expenses

When I travel on business, my employer pays for my meals by reimbursing me at a statutory "per diem" rate. Often this exceeds the amount I actually spend on meals. How should I account for the ...
2
votes
3answers
6k views

Simplified version of double-entry bookkeeping for personal and business finance?

I currently manage my personal finances based on a single-entry bookkeeping. It turns out that it doesn't fit my needs in the long run. After learning about double-entry bookkeeping and researching ...
2
votes
1answer
219 views

Double entry accounting: as an employee, how do I enter expenses in foreign currency?

I use gnucash. For my company expenses I follow advices from In double entry accounting, as an employee, how do I enter expenses? and I am happy with the results. But I get to travel often to country ...
1
vote
1answer
482 views

GnuCash, how do I book loan from credit card, being paid back with salary? [duplicate]

I am doing double-entry bookkeeping with GnuCash to track my personal finances. Sometimes I spent money on expenses which my employer is supposed to spent, and I later get reimbursed. For example, I ...
1
vote
1answer
33k views

How to account for shares in a double entry accounting system [closed]

I am using a double-entry bookkeeping system. Currently, only actual journals (purchases, sales, credit notes, cheques, deposits, transfers, etc.) are recorded in the system. Reports like Trial ...
4
votes
2answers
359 views

How to record HSA-reimbursable medical transaction into gnucash?

I'm using gnucash to record my finances (but it should apply to any double entry accounting system). I wonder how should I record transactions for medical expenses which I can reimburse from HSA (and ...
1
vote
1answer
2k views

Double entry bookkeeping for a defined benefit pension scheme

I'm a member of the UK's Civil Service pension scheme nuvos which is a defined benefit scheme and I use double-entry bookkeeping software (Gnucash). Every month this happens on my payslip: ...
7
votes
1answer
454 views

How to double-entry bookkeep money incoming from sold items?

I started doing double-entry bookkeeping with GnuCash to keep track of my personal finances, down to the penny. I have as assets my bank account and "cash in wallet", and many expense accounts for ...
1
vote
1answer
186 views

In double entry book keeping terminology, what is the term or expression for when a journal entry both debits and credits the same account? [closed]

I configure point of sale software and thus deal with my clients' accounting people. I need to know how to properly express to them this situation, when they describe it. Thank you.
2
votes
1answer
169 views

Newest transactions added on top, not bottom, of accounts in GnuCash?

In GnuCash, with ascending date the transactions are listed from top to bottom. Is there a way to have the transactions listed with ascending date from bottom to top? I.e. I want the newest ...
1
vote
1answer
630 views

How can I find out in GnuCash how much I have spent in a given time period?

I started doing double entry bookkeeping with GnuCash to keep track of my personal finances, down to the penny. I think I am familiar with most of the basics of double entry bookkeeping, I took a ...