Start a Post

How to record payment of business credit card with business funds

Contributing Cover User Chappie
12 Posts
Contributing Cover User

How to record payment of business credit card with business funds

Hi all

 

We have been using our business credit card to make payments to suppliers.  We have bank feeds set up so I match the credit card transactions to Bills I have created and allocate to the appropriate expense account e.g. travel.

 

What I need advice on is how to account in Essentials for the payment we make to the credit card provider to pay the monthly balance off.  For example, last month the total credit card bill was $80.   We transferred $80 from our business cheque account to the credit card provider.

 

In bank feeds, I can see an $80 withdrawal from the cheque account and an $80 deposit in the credit card account.  What next? If I click on the down arrow (bank tranactions page) on the $80 deposit page you can click on Transfer and then select the circle which holds the details of the $80 withdrawal.  Is that all I need to do?

 

Thanks all, 

Chappie

1 REPLY
Super Partner TallBooks
234 Posts
Super Partner
Australia

Re: How to record payment of business credit card with business funds

Hi @Chappie

 

Yes you're on the right track, I usually recommend my clients use the allocate function and simply choose the other account.

 

Then this creates a spend/receive money on one side and when reconciling the other account it will show as 1 match available.

 

 

Kind Regards

Samuel Burmeister
Tall Books - Certified MYOB Partner
Training, Set-up & Small Business Bookkeeping
info@tallbooks.com.au
www.tallbooks.com.au
Didn't find your answer here?
Try using advanced search to find a post more easily Advanced Search
or
Get the conversation started and make a new post Start a Post