Account Setup

Posted by Nell on September 5, 2006, 6:32 am

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I am trying to track all of my cash expenses, do I just setup a
libabilty account so that when I create a report of certain expenses
(such as gas) credit card purchases and cash purchases?

Posted by Andrew on September 5, 2006, 8:15 am

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Nell wrote:

> I am trying to track all of my cash expenses, do I just setup a

> libabilty account so that when I create a report of certain expenses

> (such as gas) credit card purchases and cash purchases?

Go through the Account Set Up menu, and one of the types of accounts it will
ask you for when creating is a 'Cash' account.
It ends up in the Cash Flow Accounts area of your account list; it is
actually an asset (note, lower case 'A' in this case) account, not a
liability account, since before you spend the cash on anything, it is
positive in your favor!

You 'feed' it by using transfers from, say, your checking account when doing
an ATM withdrawal, for example.
And when spending out of pocket cash, you'd use the correct category
('food', for example) when depleting the account.

But as far as gas for a Credit Card purchase, no! That transaction would
normally be entered in a 'Credit Card' account assuming you have one set up
for the credit card in question.

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Regards -

- Andrew