How to show cash purchases in sage for a sole trader?

Simon
Simon Registered Posts: 8 Regular contributor ⭐ ? ⭐
Good morning from a very new newbie. I love the forum and the interesting subjects that come up. Its so different from social security benefits!

Anyway....
A quick question which should be simple for the right person please, How on earth do I input a cash payment on sage 50 for items such as stationary, security equipment and the like?

I thought it should be a straight bank payment however, the cash did not come from the bank but the traders personal pocket.

I am sure its simple, it cant be hard, can it?

Thanking you in advance.

Si...

Comments

  • ademoore
    ademoore Registered Posts: 146 ? ? ?
    Dr Expense, Cr Drawings
  • Rozzi Rainbow
    Rozzi Rainbow Registered Posts: 465
    Or, if you are not happy with posting it as a journal and want to use the Bank module:

    Post as a bank payment from the "Petty Cash" account.
    Post a bank receipt to the Petty Cash account and Capital Introduced.
  • Monsoon
    Monsoon FMAAT, AAT Licensed Accountant Posts: 4,071 ? ? ?
    Or set up a new 'bank account' on Sage called Personal Bank and pay it from there.
  • imeldabye
    imeldabye Registered Posts: 147 ? ? ?
    guess also it depends on how you are going to use this expense in the accounts- ie do you want to show it in the Balance SHeet or is it just a question of keeping tabs on what the personal expenditure is? If just a simple Profit and Loss then not really so important where you CR
  • Simon
    Simon Registered Posts: 8 Regular contributor ⭐ ? ⭐
    Thanks all for the replies.

    The cash payments are cash introduced to the business so I have started using journal entries DR expense NC 7502 as most is stationary and CR capital introduced nc 3010.
    I think that should cover it.

    Advised that a bank account should be opened!

    Si...
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