Credit Card

SUGGESTED

Sorry this may sound like a silly question but I am wondering if I am missing something. My employer has a credit card used for both personal and business and he is not the best at keeping receipts. Our previous bookkeeper would just not enter in items if there was no receipt. Our Visa ledger has an on-going credit. Would it not be more beneficial to enter in no receipts as "Invoiced not received" and debit Owners withdrawal? I do not account for HST without receipts either, maybe my OCD would just rather see $0 in the ledger ?!?

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    SUGGESTED

    Hi Ashley S:

    If you use the reconciliation module then I would suggest entering any item going through the credit card as either an Owners withdrawal or a legitimate business expense if it is a proprietorship. If it is a corporation or limited company then I would suggest the owner's amount(s) charges  be posted to a shareholder receivable account if paid by credit card. It definitely makes it easier to reconcile using the reconciliation module in Sage 50.

    Hope this helps!

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    Hi Ashley S.  I use the bank reconciliation to do my credit cards.  It's very helpful in balancing.  What I do is I enter every entry that is on the credit card statement if I have or don't have the receipts.  I enter them under each vendor that the line item is for and instead of using pay later I use the name of the credit card as the payment option such as mastercard or visa.  Then if you put your payments on the credit cards posting also to mastercard or visa etc. the bank reconciliation is very handy.  Any receipts that I do not have a physical receipt I like you said do not record the GST.  I also have set up a project code called "Missing Receipt".  That way I can run that project code if any of the receipts do show up so you can tell if there are any missing. 

  • 0 in reply to Marj@Swab

    That was suppose to say if any of the receipts do show up you can tell if there are any missing and you can also change the invoice to record the GST if there is any on the receipt.  :-)