I am not sure if this is country specific but
I have a client and I have imported all the bank statements they gave me for 3 accounts everyday account, credit card, and an account called earner.
So far so good
Now he tells me the earner is a personal trust account. but he has put sales through it and taken expenses like it is a company account…
soooo I get the feeling it should not be in his business at all and should have its own manager. and how do I deal with the sales and expenses
Use Find & Recode. Read the Guide: http://www.manager.io.s3-website-us-east-1.amazonaws.com/guides/how-to/find-recode-transactions. Once all transactions to the personal trust account have been recoded, you can delete that account.
Yes, the “trust” should have it own have its own Manager. Within that “trust” Manager post all those sales & expenses to a BS account called “Other Business C/A” (current account). Then in the “business” Manager, using the Expenses Claims tab, take up those items as though they were via the bank statement.
For the Expense Claim “Payer”, set up under Settings - Expense Claim Payer - Trust C/A.
If the expense claims tab is not being used for other then the above transactions, then you could rename that account to Trust C/A. The balances between the two should match - one in debit and the other in credit.
Later thought, as an option if there are lots of business transactions
You could leave the trust account within the “Business”, but create under Settings - Chart of Accounts - Equity an Earner Trust A/c and make it a Control Account - made up of Cash Accounts. Go to the Cash Accounts tab and edit the sub-account’s Control Account to be Earner Trust A/c. Now the private ownership is in the right location - Equity, the sales and expenses can be posted directly from the bank statement import and any other non-business transactions can be allocated to Drawings or another created “trust drawings” Equity account.
If there are only a few transactions - then separate Manager’s.
Thank you so much Brucanna. I was 1/2 way to this solution but I didn’t have it in the equity section. I am finding that a lot of clients have more and more complex situations and I did my bachelor in accounting years ago I have done refresher courses in tax accounting but they dont cover everything and there is no one I can chat with and ask or bounce ideas off. As I work from home I am finding it a lonely profession with alot of accountants not willing to talk in case you take a client . This is another reason I love manager because this forum.Would be nice if we could have a separate area where we could just ask questions(not about manager but maybe accounting questions or chat)