Reimbursing Myself

[Watto82]

Hi

Recently started own business as a sole trader. Before my business starting receving income from clients I had a couple of purchases which I paid for using my personal money. 

Now that I have received income I am able to reimburse myself for these purchases and need help with the myob essentials side of things.

Note on what I have done so far -

**In MYOB I had already created the bill for the money spent and is currently sitting as an "Open" Bill.

**Through online banking I have transferred the amount from my business account back to personal account.

**Once this transaction shows in my bank feed in MYOB - What next to make everything all happy? Do I "match transaction" "Allocate" or "Transfer Money" or neither?

Thanks in advance

[Yanike_S]

Hi @Watto82 

Welcome to the MYOB Community Forum, I hope you find it a wealth of knowledge

I would recommend speaking with an Accountant in regards to the best way to record reimbursement of business expense from a personal account.

Generally speaking, clients set up a new bank account in their MYOB Essentials (Accounting>>Chart of Accounts>>Create account). You would then record the relevant expense transactions with the Pay from Account being that new account. When the company does pay back those personal expenses, you would record a Banking>>Spend Money transaction from the main bank account to the personal bank account.

Because you entered both transactions in MYOB, you would match these transactions. Read more about Allocating bank transactions and Matching bank transactions. You would use Transfer money when you have transferred money from one bank account to another within your business.