Pay an invoice with personal funds

jody2

Hi team

I have recently paid a companies invoice with the directors private credit card. How do I process this in MYOB? There was a credit card charge of 2.5% for this transaction too, how do I process this.

The payment will be reimbursed at a later date back to the director.

Thanks

Tracey_H

Hi @jody2 

 

Thanks for your post. Generally speaking, you could have a Director loan liability account set up with the Account Type as Credit card. When you record the payment transaction the Pay from account would be that liability account. 

 

For the credit card charge you could record a Spend money transaction with the Pay from account as the liability account and allocated to the applicable expense account.

 

When you reimburse the amount to the director, record a Spend money transaction with the Pay from account as the bank account you are withdrawing funds from and allocated to the loan liability account. This would be the full amount including the card credit charge.

 

The liability account should clear back to zero.

 

If you're unsure about the accounts and transactions I would recommend speaking to your accountant.

 

Please let me know if you need further help.

 

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