Purchased Gift Vouchers

[Westbury]

We purchase Gift Vouchers from stores like Woolworths and then use them  when we need to purchase odd groceries to suppliment our supplies for food parcel handouts.

Can someone suggest the best way of recording the original purchase of the voucher and then  record as they are redeemed over time for the purchase of grocery items from say Woolworths.

Thanks

[CathyS · Accepted solution]

@Westbury Gift vouchers which are purchased by the business for use within the businesse are an asset as cash is.    Therefore I would treat them similar to a petty cash drawer.

Setting up a Bank Account called Gift Vouchers Account, you can then spend money directly from the account, reconcile the account.  New Gift Vouchers can be credited to the account by transfer from the account you purchased them from.

Hope this helps

Cathy

[Westbury]

Thanks for the quick reponse.

This is what I was hoping so I will treat it the same as petty cash.