My business owes a debt to a director.
I’m able to record the weekly repayments from the bank account to a clearing account via a payment to the clearing account.
https://screencast.com/t/82bFEQIX306I
Then I’ve recorded the transfer from the clearing account to the loan account with Journal entries.
https://screencast.com/t/oiHic7xi
The credits arrive at the loan account OK, but don’ make it from the bank account to the clearing account.
https://screencast.com/t/F0vTNwtxwLxo
So the balance in the clearing account is irreconcilable!?
Can anyone help?
The Journal entry, as per your screenshot, has the debits and credits allocated incorrectly. It should be:
Debit: Loan From Andrew
Credit: Clearing Account
Thanks for your suggestion, AJD.
If I debit the loan account then the outstanding loan balance will increase, not decrease,
And should not the credits to the clearing account come from the Bank account, where the originated?
Something a bit odd, your loan accounts are all negative and should be positive.
What is in your suspense account - it should be zero
Show a screen shot of the payment
Thanks Joe91.
My suspense account is under control - just a bit of tidying up needed;
https://screencast.com/t/sOOfEyk9
I think AJD’s suggestion will work if the loan accounts have a positive opening balance, as you imply.
I thought that because the amount owing is a liability, it should show as a negative balance rather than a positive one.
Wouldn’t be the first time I’[ve been wrong.
It does say "less liabilities "
Accountants have a strong aversion to neegative numbers
@ASM1953, please do not post screen shots on outside web sites. Upload them directly to the forum using the upload arrow: 
@ASM1953, the question is - why are you using a clearing account ?
Why don’t you post the bank account repayment directly to the loan account ?
Then you don’t need the Journal Entry.
Also, under the Summary tab > Equity, you have an account Starting Balance Equity.
To have this account it indicates you are transferring from another accounting system.
If yes, then this transfer hasn’t been properly entered, as that account shouldn’t be showing.
Tut
Sure will do. Sorry, my first time on the site.
@ASM1953, the question is - why are you using a clearing account ?
Why don’t you post the bank account repayment directly to the loan account ?
Yes, Brucanna, very good point. I tried this when I had the mindset that the loan account should show a negative balance, as does my loan account with the (real) bank. Thus I was frustrated that the transfers from the Manager bank account would not show up as credits, thereby increasing the size of the amount owed.
Following Joe91’s and AJD’s input it’s now clear that all I needed was a + sign in front of the opening balance in the loan account (duh).
This has rendered the whole procedure much simpler, so you’re right, I no longer need the clearing account, or the journal entry - I can go straight from bank account to loan.
Thanks heaps!
Yes Brucanna, I am transferring from Quickbooks 2002.
But why should that account not be showing?
It contains all my bank account balances + the inventory.
Starting balance equity is an account Manager activates automatically when your books don’t balance. It does this so it does not have to throw away entries you’ve made. Instead, you can correct them. Basically, the account is used to force your books to balance.
Your closing balances from QuickBooks should have satisfied the accounting equation, so that Assets = Liabilities + Equity. If that wasn’t true in QB, you will need to track down and correct the problem(s) there before you can migrate successfully to Manager.
@ASM1953, the solution is probably as simple as this, you haven’t entered an opening equity account balance. Starting Equity Balance is currently being a replacement account.
If you go to Settings > Starting Balances, your Debit / Credit columns should balance like this
If you have matching Asset and Liability account balances between QB and Manager, then you also need to have matching Equity accounts such as “Contributions” and “Retained Earnings”.
O I see,
Thanks Tut and Brucanna.
I’ll go with Brucanna’s suggestion, because after 17 years of fumbling with QB I never did get it under control. I’m not inclined to go back and wrestle with it again.
