Sage query - rect's paid by client's money

Suzy

Hi

Does anyone know how I deal with client's paying for business expenses out of their own personal money? I have entered all the business expenses that have gone out of their business bank account but I don't know how to enter the receipts I have (that do not appear on their bank statement) on Sage.

Many thanks.

Monsoon

You set up Sage so it reflects exactly what happened in real life.

The simplest thing to do is set up a new bank account in Sage called "Personal bank" and pay those items out of that. Because that's what happened

Then do a Bank Receipt from owners drawings to bring that bank account back to zero.

The caveat to that if the personal funds come from a variety of sources (cash, credit cards, more than one personal bank account, their spouse's money) then I would still only use the one account in Sage. And no need to reconcile either (because otherwise you'd be entering loads of irrelevant transactions).