tag:support.easybooksapp.com,2011-04-05:/discussions/questions/7898-business-and-non-business-expenses
Easy Books: Discussion
2017-09-17T11:14:40Z
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-11-12T09:54:34Z
2014-11-12T09:54:49Z
Business and non-Business expenses
<div><p>Hi folks, I know your basic answer to this is usualy to just
keep separate accounts, but it isn't always that simple... One idea
that could be to add a field to the account detail giving a
percentage of business use - 100% would be totally business and 0%
would be personal - this would allow for things like use of home,
car use or travel to be done as a percentage of total cost, very
handy for us sole traders. I'm sure I am not the only user who
would find something like this very useful. Cheers</p>
<p>Ali</p></div>
ali.morris
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-11-12T10:00:10Z
2014-11-12T10:00:10Z
Business and non-Business expenses
<div><p>I didn't want this to be a private discussion, but can't see how
to make it public.</p>
<p>I'm using the latest versions of your software on both iPhone
and Desktop computers</p>
<p>Cheers.</p>
<p>Ali</p></div>
ali.morris
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-11-12T19:09:40Z
2014-11-12T19:09:40Z
Business and non-Business expenses
<div><p>I'll make the discussion public for you so people can add
comments.</p>
<p>Mathew</p></div>
Admin
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-11-30T22:41:03Z
2014-11-30T22:41:05Z
Business and non-Business expenses
<div><p>Hi there,<br>
I am having a similar problem as I use a room in my house to run my
business from, my accountant normally tells me to give him a list
of my bills and then he would take 20% of them. I have just tonight
sat and entered them as a supplier ie. EON energy then worked out
20% of each bill and entered that in as the cost for each month,
then manually marked them as paid. It then adds it my profit and
loss etc..<br>
The problem I am not sure about is that it looks like it's not paid
as it looks like an outstanding amount on the supplier list?<br>
Would be good to hear if there is an easy work around for this?</p></div>
Justin Mihulka
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-12-24T17:32:09Z
2017-09-17T11:14:40Z
Business and non-Business expenses
<div><p>Hi Justin,</p>
<p>Are you using one bank account for both business and personal financial movement?</p>
<p>Cheers</p></div>
darren.whelan
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-12-24T17:53:39Z
2014-12-24T17:53:39Z
Business and non-Business expenses
<div><p>Hi Darren,<br>
I just have the one account for all my business expenses.<br>
However, the electricity, council tax etc all comes out of my
personal account.</p>
<p>Cheers<br>
Justin</p>
<p>Sent from my iPhone</p></div>
Border Photography
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2014-12-24T18:50:07Z
2017-09-17T11:14:40Z
Business and non-Business expenses
<div><p>As your accountant has allowed for 20% tax deductible expenditure on certain items, these values need to be recorded in the P & L. You’ve achieved this by using the Accounts Payable/Purchase Ledger. At this point, it’s correct. However, as you’ve recorded these items through the Purchase/Accounts Payable ledger, the opposite side will be sitting on the Balance Sheet as a creditor/liability to your business. You need to remove this value. This can be done in one of two ways:</p>
<ol>
<li>
<p>Either physically transfer the money from your business account to your personal account for the total 20% value. Then pay these amounts via the supplier account on Easy Books. This will remove the liability on the Balance Sheet or;</p>
</li>
<li>
<p>if you don’t want the cash to be debited from the business account at present, move the balance to a Capital Account. This again, will remove the liability from trade creditors but will credit a capital account for you to be reimbursed at a later date. When you physically want to reimburse yourself for these values at a later date, you will need to record a payment, selecting the Capital Account which will return it to zero.</p>
</li>
</ol>
<p>Either way, from a personal perspective, your business owes you money on a personal level and the Balance Sheet needs to reflect that.</p>
<p>If you choose option 2, give me a shout and I can talk you through it.</p>
<p>Going forward, it might be easier not to use supplier accounts for these types of expenditure. It may be easier just to either record a payment to your bank and expense nominal account direct (so longs as you move the money from your business account to personal account at the same time) or a record a journal from the expense nominal account to a capital account to be reimbursed at a later date. That’s how I’d do it. Double entry would be:</p>
<p>Reimbursement from business account to personal account</p>
<p>DR Expense Nominal i.e. Room rent etc<br>
CR Bank</p>
<p>Or to be reimbursed later:</p>
<p>DR Expense Nominal i.e. Room rent etc<br>
CR Capital Account</p>
<p>Darren Whelan<br>
Executive Council Member<br>
VAT Lecturer<br>
[<a href="http://www.ilfm.org.uk/Portals/0/ilfm-logo.gif">http://www.ilfm.org.uk/Portals/0/ilfm-logo.gif</a>]<a href="http://www.ilfm.org.uk/">http://www.ilfm.org.uk/</a> DD: 01159 338 958<a>tel:01159%20338%20958</a><br>
Main: 020 8302 2867<a>tel:020%208302%202867</a><br>
Mobile: 07772 722239<a>tel:077727%2022239</a><br>
E: <a href="mailto:darren.whelan@ilfm.org.uk">darren.whelan@ilfm.org.uk</a><a href="mailto:darren.whelan@ilfm.org.uk">darren.whelan@ilfm.org.uk</a><br>
W: <a href="http://www.ilfm.org.uk">www.ilfm.org.uk</a><a href="http://www.ilfm.org.uk/">http://www.ilfm.org.uk/</a><br>
[<a href="http://i50.tinypic.com/1otwlh.gif][http://i49.tinypic.com/za3qr.jpg][http://i45.tinypic.com/1492rvd.gif">http://i50.tinypic.com/1otwlh.gif][http://i49.tinypic.com/za3qr.jpg...</a>]<a href="http://uk.linkedin.com/pub/darren-whelan/2b/811/a98">http://uk.linkedin.com/pub/darren-whelan/2b/811/a98</a></p>
<p><strong>The ILFM now offer Live Chat Support. Click here<a href="http://occ.bz/chat/25451-54502">http://occ.bz/chat/25451-54502</a> to speak to an online advisor now</strong></p>
<p>The ILFM © 2005-2014, ILFM, 2nd Floor, Marlowe House, 109 Station Road, Sidcup, Kent, DA15 <a>x-apple-data-detectors://17</a> 7ET<a>x-apple-data-detectors://17</a> | Tel: 020 8302 2867<a>tel:020%208302%202867</a> | Fax: 020 8302 7481<a>tel:020%208302%207481</a>| DX: 31711 Sidcup | Email: <a href="mailto:exec.sec@ilfm.org.uk">exec.sec@ilfm.org.uk</a><a href="mailto:exec.sec@ilfm.org.uk">exec.sec@ilfm.org.uk</a></p>
<p>This message contains information which is confidential and may also be privileged. It is for the exclusive use of the intended recipient(s). If you are not the intended recipient(s) please note that any form of distribution, copying or use of this communication or the information in it is strictly prohibited and may be unlawful. If you have received this communication in error please return it to the sender. The views of the author may not necessarily reflect those of the ILFM. Any opinions or other information in this message that do not relate to the official business of the ILFM are neither given nor endorsed by it.</p></div>
darren.whelan
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2015-01-06T11:36:56Z
2015-01-06T11:36:56Z
Business and non-Business expenses
<div><p>Hi Darren,</p>
<p>Thank you for getting back to me with such a detailed reply.</p>
<p>I hope you have had a nice Xmas and New Year!</p>
<p>I think to fix this at the moment I will need to go through
option 2, so if you could talk through that, it would be much
apprecaited.</p>
<p>Going forward , i will take your advice and put it through
as</p>
<blockquote>
<p>DR Expense Nominal i.e. Room rent etc CR Capital Account</p>
</blockquote>
<p>So it can be credited at a later date, would i just have a line
in indirect expenses i.e. Room rent.. and then do a credit to the
same value in the Capital account?</p>
<p>Cheers again for you help.</p>
<p>Thanks</p>
<p>Justin.</p></div>
Justin Mihulka
tag:support.easybooksapp.com,2011-04-05:Comment/35254898
2015-06-19T12:29:56Z
2015-06-19T12:29:56Z
Business and non-Business expenses
<div><p>Hi Darren</p>
<p>That seems like an awful lot of faffing around to do for every
single item that isn't 100% work related. For those of us that
aren't a limited company or have fairly basic accounts some kind of
option would be very handy. I have all my bank accounts and credit
cards in my system which is very useful so being able to mark them
as work or not would be fantastic.</p>
<p>Also, any chance of a better invoice editor?</p>
<p>Cheers</p>
<p>Ali.</p></div>
ali.morris