If I used my personal money to buy something for my business how to enter it?

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Zito_C
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If I used my personal money to buy something for my business how to enter it?

Hi all,

 

I just started my own business and spent my personal savings to buy somethings for my business.

I want to know how I can give the money back to me and still put the items in MYOB?

for example)

I used my personal money to buy a laptop for business purpose.

how to put in MYOB as a expense so the company can get GST back?

and pay the money back to me?

 

Please understand if this question is silly or not making sense..I'm a beginner haha.

 

Thank you so much in advance for your help.

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Super Partner GDay53
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Re: If I used my personal money to buy something for my business how to enter it?

@Zito_C

 

The quickest way is to simply create a  Liability Account for Owners/ Directors Loans & Drawings.

make the account a Credit Card type and have it at the bottom of the Liabilities 2-9999.

Enter the purchase as normal but as paid from this 2-9999 account.

To pay yourself back do a transfer from the bank account to this liability account.

Graeme Day
Registered BAS Agent #24745540
First Class Accounts Clayfield
MYOB Certified Consultant
MYOB Diamond Partner
Zito_C
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Re: If I used my personal money to buy something for my business how to enter it?

@GDay53

 

Thank you so much for your helpful and quick reply.

 

It would be great if you can have a look that I am understanding right.

-> I make an account(2-9999 as you said) and purchase the laptop from 2-9999 account so this account will show(example -$1000)

->pay it back to 2-9999 account it will be $0

->and transfer the actuall money from business bank account to my personal bank account?

 

Sorry if I'm wrong...

Thank you for your time and help Smiley Happy

Super Partner GDay53
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GDay53
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Re: If I used my personal money to buy something for my business how to enter it?

@Zito_C

 

Yep that right.

The entry in MYOb will show paid from business bank account to the 2-9999 account.

In reality the payment is to your personal bank account that does not show in MYOB.

 

Graeme Day
Registered BAS Agent #24745540
First Class Accounts Clayfield
MYOB Certified Consultant
MYOB Diamond Partner
Zito_C
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Zito_C
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Re: If I used my personal money to buy something for my business how to enter it?

@GDay53

 

Thank you so much for your help!

 

I hope you have a great day Smiley Happy

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