[Ken]

Can anyone please advise if an owner has made payment to our trust account to pay renovation invoices what disection should this money be receipted as for the end of year statement.. More so should it be selected as an expense / income / or not to appear on the financial statement.. ? If chosen as a heading does this set it up on the financial statement in a seperate spot to the income & expenditure ? thanks,

[Barrie Mc Neil]

Money paid by the owner towards repairs or maintenance should be receipted with the dissection "Money to/from owner" as this will not show on the annual Financial statement.

Barrie McNeil
BB Software

[EmilyM]

I have a situation where an invoice has been paid to the incorrect creditor, the creditor reimbursed the funds and it was recipted into the incorrect property.

I would like to journal the funds from the incorrect property to the correct property, however I cannot find the appropriate disection for this error. What would you suggest?

[Ken]

Would suggest -
Reverse the most recent transaction in the incorrect property..
Then re-receipt to incorrect creditor so they have funds available
Then reverse the original incorrect creditor transaction putting the money back in the correct property.
Then do new payment to the correct creditor..

[EmilyM]

Thanks Ken, however I have the funds from the creditor, I can journal it across without a drama. I'm not clear on what disection to use to ensure the Owners Statements are correct....

[Ken]

Doing it that way will probably work but will probably not accurately be reflected in your records and could cause a pain in your end of financial year statements etc.. you can make any disection you want.. maybe 'adjustment' ..

[Beau Miller]

Emily, you could use the same dissection as the original payment that way when you journal it out it then debits that dissection and there for will not appear on the statement.

There is more details regarding dissections in our End of Financial Year videos and resources.