Small bug in booking supplier invoices and sales invoices

When booking a supplier invoice it is not possible to book (part of) the invoice on a capital or capital subaccount.
These accounts don’t show up in the window where you can pick an account. The same counts for a sales-invoice.
Could this be solved.

Kind regards


Can you explain your use case? Capital account transactions record interaction between the business itself and the capital account owners (members). Neither purchase nor sales invoices would normally be capital transactions.

@ Tut
When the company has two owners and they buy goods and amongst these goods, there are items that are for private-usage, I want to book those private items on their respective capital-accounts as a disposal

In bankaccounts and journal-entries, i can book direct on the capital accounts, why not in sales and purchase invoices?

You need that capability for bank accounts to handle draw payments and contributions. You need it in journal entries so you can distribute retained earnings, clear expense claims, and so on.

As for purchasing goods for private usage:

  1. The purchase invoice you enter in response to a supplier’s sales invoice records a transaction between the business and the supplier. Bringing in one of the owners (partners) makes it a three-way deal, which it is not. The entire amount is paid from company funds. Accounts involved will be Accounts payable (debited) and a cash account (credited). You can’t pay the supplier from an owner’s capital account because there is no cash there.

  2. The capital transaction is separate and involves no movement of funds, only a reduction of the owner’s (partner’s) remaining investment in the business. So you can’t mix it with something that involves actual payments, like a purchase invoice. When making the journal entry, you would debit the capital account to reduce it and credit the expense account where the item’s cost was posted to similarly reduce it, since the business did not really incur that expense on its own behalf. (Exact capital subaccount choice will depend on your capital structure.)

@ Tut,

I disagree.
Let me tell it in journal entries

What you say is:
Book the invoice as:
Supplier A 1500 CR
Expense account 1500 Dt

Book the payment of the invoice:
Bank 1500 CR
Supplier A 1500 Dt

Book this journal entry
Capital partner A 250 Dt
Capital partner B 250Dt
Expense account 500 Cr

What I want when booking the invoice is::
Supplier A 1500 CR
Expense account 1000 Dt
Capital partner A 250 Dt
Capital partner B 250Dt

The actual payment of the invoice:
Bank 1500 CR
Supplier A 1500 Dt

This saves me one journal-entry which I could forget and at the end the effect is exactly the same.
In small companies, very often the owner buys goods for the company and for private usage in one buy or part of the purchase is for tax-reasons considered to be for private usage.
So please do me a favour and make life less complicated, by showing the capital accounts in the booking window.

OK. You have convinced me. I thought you were trying to pay the supplier from the capital account(s).

But I can’t make your life less complicated. I’m just a forum moderator (a user) and have nothing to do with software development.

You also mentioned sales invoices in your title and original post. What is the use case there?

No specific use for sales-invoices, but very often you see in the software-industry that sales and purchase are each others opposite (with minor differences). So no direct need to make this little change for sales, but again for purchase-invoices, it would be great if it could be realized.

@ Lubos,
Could you please realize this minor change I asked for in purchase-invoices. See the discussion between Tut and myself.
Thanks very much

Hennie Eerhart.

Makes sense. Added to the latest version (16.10.88)

Thank you very much Dank je hartelijk.

Has this feature been removed in recent versions? I’m using 19.12.14 and purchase invoices’ ‘New payment’ options only include cash and bank accounts but not capital accounts (in which I’ve created 2 accounts: Owner deposit and Owner drawing). I would like to use the ‘Owner deposit’ account when a purchase invoice was paid by the owner.

@Mark, you seem to have two erroneous understandings about Manager:

  • Payments can come only from bank or cash accounts, because they record movement of funds out of the business. Funds are not stored in capital accounts. Capital accounts record how much investment members have in the business. Such investments might be portions of bank accounts, fixed assets, accounts receivable, etc.
  • Capital accounts should be in the names of people or entities who have investments in the business. Read Set up and use capital accounts | Manager. Your Owner deposit and Owner drawing represent capital subaccounts and duplicate what is already there by default. Read Use capital subaccounts | Manager.

Well, I’m the sole proprietor and I created the 2 mentioned capital accounts so I can see how much I’ve deposited and how much I’ve drawn. There’s absolutely no difference in the account’s balance between creating a sole account called, e.g., ‘Sole Proprietor’ and using the 2 separate accounts as I do.

Example: I pay the internet provider’s invoices by using my private bank account but I can deduct part of them as business expenses. So as I pay those invoices through my private bank account, I would like to use the capital account to book the payment (whether that is by using ‘Sole Proprietor’ or the ‘Deposit’ account doesn’t matter).

But Manager doesn’t allow to book payments that way so now I have to make an additional entry by crediting the Suspense account to book the payment and make a separate journal entry to debit the Suspense account and credit the ‘Deposit’ account.

Other bookkeeping programs do use the capital account to enter purchase invoices’ payments.

For expenses paid with personal funds, you should be using expense claims. Read the Guide.

With over 30 years of experience I think I don’t need a guide to do some simple bookkeeping. I know that it can be done by using an expense claim. You do not seem to get the point that it’s easier to use the capital account directly to enter a payment. But never mind. Why do things the easy way if you can do it the hard way? :wink:

because inexperienced users can know where to look for a particular transaction type rather than searching for a needle in a haystack. it also makes reporting easier.
experienced accountants would even be happy with a simple credit-debit program but Manager aims to be of use to the least experienced users.

Firstly @Mark, I have no problem with your 2 capital account structure but I am unsure why you are complicating matters by creating two transactions - Purchase Invoice and the “payment” - when only one transaction is required. You only create a Purchase Invoice if you are buying on credit and paying later. From your descriptions there is no buying on credit, so the Purchase Invoice is not required.

The simplest one transaction solution for your situation is to setup a simple Recurring Journal Entry which you process each month. No need for any purchase invoice or suspense account hoopla.

Rightly or wrongly, Manager only sees “payments” as occurring with internal cash or bank funds, not via externally non-business funds - these “payments” become reimbursement transactions.