How to record owners personal expenses
Hi there,
We have a small sole trader business. I need to account for expenses paid for from personal funds but don't need to reimburse.
I have Owner Drawings and Owner Contributions set up and am comfortable with how they operate. I am a little confused how to record the expenses e.g. for GST reporting, but allocate the funds back to the business.
Any help appreciated
Hi
Can I suggest that you set up a bank account called Owners Funds.
Anything that you pay from it can be paid for from that account - as you would normally but just changing the bank at the time of transaction
This will record your gst etc and provide the transaction details
You or your accountant can then journal that account to owners contributions at any time
Hope that helps
Lisa
