Transfer money from a bank account to cash on hold account

I’ve just done importing bank statement and I am categorizing transactions.
Here is a transaction that I want to allocate to cash on hold account.

I want to allocate the 4th transaction to cash on hold account. but when I press edit to do it, the ‘Account’ dropdown list doesn’t show my ‘cash on hold’ account

What I am doing this is I sometimes withdraw some money from ATM and hold it as actual cash to pay for those who don’t take credit card or bank transfer.

Manager didn’t allow this so what I did is creating ‘cash on hold’ under Assets and allocated the transaction to this.
But then I cannot spend this money directly from the account under Assets.

So far you have done a Spend Money from a Blinds Main but you haven’t done a Receive Money into J&C Cash. When you do that receipt use your account “Cash On Hold”, then the funds will be available to be spent from J&C Cash. Read the below

@chris.chai, I recommend you update your software. Your second screen shot suggests you still have Cash at bank and Cash on hand as control accounts, and therefore as separate tabs in Manager. They were combined into a single tab called Cash Accounts many, many versions ago. The update will automatically move everything and nothing will be lost. And there are myriad other improvements in the later versions.

I also have a question: Is your J&C cash the same thing you were referring to as “cash on hold?” If not, you have no “cash on hold” account in Manager. That needs to be created within the Cash Accounts tab. (If J&C cash actually is the “cash on hold” account, disregard this paragraph.)

Lastly, withdrawing currency from your bank account via an ATM to use as petty cash is a transfer between cash accounts. Since your imported bank statement doesn’t know where it went, it looks like money spent, and the recategorization process expects you to allocate the transaction to something like an expense account or an account payable. You might find the easiest way to put it into a petty cash account is to delete the imported transaction and replace it with a Transfer Money operation within the updated Cash Accounts tab.

@Tut, How can I update the software? I am using free 7 days cloud version and I will pay for it from next week.
New version has separate tabs for cash accounts and bank accounts?
So what you mean is that I create a new account under expense group and then allocate the withdrawal transaction as an expense and then go to the ‘cash on hold’ account and then insert the amount as a receive money?

By the way J&C cash is my actual ‘cash on hold’ account.

No, unsure what @Tut was referring to - your 2nd screenshot is the current version. It shows Cash at Bank and Cash on Hand as subs of the Cash Accounts tab. With the earlier separated tabs edition of Manger you couldn’t have produced that screenshot.

No, J&C is your petty cash account which you can receive and spend money from. Your Asset “cash on hold” account is acting as a clearing account enabling the transfer of funds between different bank/cash accounts. As you have noted before "I cannot spend money directly from this account under Assets

No, please re-read the link provided above

@chris.chai, I am going to back out of this exchange so you don’t end up more confused because of two unsynchronized responses, not being able to tell exactly who is answering which question when. I am not disagreeing with anything @Brucanna has said. But I do want to clarify a couple things I already wrote.

  1. Forget my recommendation that you should update. If you are using the cloud edition, it is always up to date. When I referred to your 2nd screen shot, I was working with very little information, just the contents of a dropdown box. The way you had things set up at that point reproduced what might have been seen under a much older version of Manager. Had you been out of date, that might have explained your problem. It was easier to suggest updating than to request extra diagnostic information. Since you are up to date, it doesn’t matter. So, as I said, forget my recommendation.

  2. Following up on my question about whether J&C cash is the same as what you referred to as “cash on hold,” I am with @Brucanna. Regardless of what you may think or how you are treating things, they do not appear the same. According to the excerpt you posted from your chart of accounts, you created Cash on hold as an expense account. From an accounting standpoint, that is incorrect, as you have not spent money on anything when transferring money from the bank to Cash on hold, which should be just a petty cash fund as you described your use of it. Cash on hold should exist only under the Cash Accounts tab. It is an asset, not an expense.

Hey guys,

It’s getting complicated. I explained as much as possible with screenshots below. Is it possible or what should I do?

  1. See the screenshot. J&C Cash is actually ‘cash on hold’ account.
  2. I want to categorise the following transaction to the J&C Cash which is ‘cash on hold’ account. So that I can spend the money.
  3. I cannot categorise the transaction via ‘transfer money’ button but I need to edit it to categorise it.
  4. when I click ‘edit’ the transaction, there is no ‘cash on hold’ account that I can make the transaction as a transferring money to cash on hold account.
  5. what I did was that creating ‘cash on hold’ tab under asset and categorised as paying the wdl money to the created tab/account. And categorised the wdl transaction to this, but then there’s still no in the dropdown list when I make payment.

What I am thinking is Manager should allow this when I click edit the transaction to complete the transaction as transferring money.

By the way, as you can see my screenshots, there’s only cash accounts, but not the bank accounts on he LHS tabs…

Firstly - J&C Cash is a Cash on Hand account - not a Cash on Hold so that has been confusing.

Secondly - “creating ‘cash on hold’ tab under asset” doesn’t create a cash account so it will never appear in the drop down - only accounts created under the Cash Accounts tab will appear in the drop down.

Thirdly - for clarity and to avoid confusion with the following could you please edit/rename that Asset account to “Clearing Account”

Transfer Money is actually two separate transaction converted to a single transaction

  1. Spend Money - Payment from Blinds Main
  2. Receive Money - Deposit to J&C Cash

Therefore you have two choices - either use Transfer Money or Bank Rules, you can’t use both

To use Transfer Money as per your screenshot - DELETE the Import Bank Statement entry as the Transfer Money entry replaces the need to categorizes it.

To use Bank Rules you would categorize the Import Bank Statement entry to “Clearing Account” and then separately you would do a J&C Cash Receive Money with the categorizes to “Clearing Account” so the two separate transaction are complete.

  1. Spend Money - Blinds Main with Debit to Clearing Account
  2. Receive Money - J&C Cash with Credit to Clearing Account.

The Clearing Account entries cancel themselves out and the funds are now available in J&C Cash to spend.


@Brucanna answer is 100% correct. This is how it needs to be handled.

As for Cash at bank, Cash on hand drop-down, that will be removed in future versions so you won’t need to make a choice on type when creating new cash account.