Handling Business Expenses with Personal Bank Account, and Still Having a Bill

dpDesignzdpDesignz Member Posts: 23

Hey Team,

Just posted over here about following this help centre article, and I want to know, if I still want a bill for this item, even though it was paid for from my personal account, how do I add a payment?

I followed the instructions to do the Journal Transaction, and then I thought I would just be able to add a payment to my bill and set the payment account as "Owner Investment / Drawings", however now I have a bill payment transaction and a journal transaction in my transaction list, and if I try to merge them I get an error saying you can't merge journal transactions. How do I make this work please?

Comments

  • dpDesignzdpDesignz Member Posts: 23
    @Alexia any suggestions please? Sorry, I'm finally trying to do all my books properly and am still trying to wrap my head around all this 😊
  • Michelle_AMichelle_A Administrator Posts: 45 admin

    @dpDesignz Thanks so much for your post. As you have discovered, merging a bill payment and journal transaction is not possible- so I've touched base with a team member to see what would be the best workaround in this case!

    So, there are two options here:
    Option 1: Mark your bill as paid using the account 'Owner Investment/Drawings'
    Option 2: Debit the expense and credit owner's drawings when creating a journal transaction.

    Now, in the event that a bill was created, you will need to use Option 1. Option 2 will duplicate the expense, so you would need to delete the bill in that scenario.

    Let me know if you have any more questions and we can work on this together! :)

  • dpDesignzdpDesignz Member Posts: 23

    @Michelle_A thanks! So they're both going to give me the same results with reporting etc? Perfect, because that makes it way easier than journal transactions 😀

  • TylerTyler Administrator Posts: 104 admin

    @dpDesignz they will both show the accurately on your Reports - the debits and credits will still hit the necessary accounts to give you the best picture of the expenses.

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