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1 vote

Accounting question about recording debits & credits

This would be a simple ledger. A balance sheet is a summary and doesn't show individual transactions
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1 vote

In a Budget is Saving Considered an Expense?

As "Grade 'Eh' Bacon" said: I would put it in as an expense. I have an account that my money goes into and whatever comes out is considered an expense for me. I like to think of it as a &...
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2 votes

In a Budget is Saving Considered an Expense?

Budgeting is just a miniature version of proper accounting, which uses a variety of reports to account for money movement. Suppose you earn $1000, spend $600, "save" $300 and keep $100 as ...
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13 votes
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In a Budget is Saving Considered an Expense?

I have a saving section but I am not sure if it is considered an expense? and how do you account for it at the bottom of the budget Budgeting approaches can vary. In my opinion, a zero-based budget ...
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2 votes

In a Budget is Saving Considered an Expense?

If you are new to budgeting, and especially if you have not been diligent about saving money every month in the past, I suggest you treat your monthly savings amount as a regular 'expense'. When used ...
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8 votes

In a Budget is Saving Considered an Expense?

It could (and maybe should) be considered an outflow but I would not call it an expense. It's just moving money from one pocket to another. You might be saving up for a particular expense (car, ...
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1 vote

What type of accounting practice is this and is it good, bad or depends on other circumstances?

This is called "guaranteed payments" in partnership accounting. Guaranteed payments are usually used in lieu of salary to partners (partners are not employees of the partnership and cannot ...
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