Jump to content

Can an accountant help me please?
How I should do something in MYOB.

2 replies to this topic

#1 katbalou

Posted 19 November 2012 - 06:09 AM


A friend of mine has just set up a small business.  She is using MYOB.  She has already entered dozens of purchases into the register, but has not entered any of the payments.  She has paid the bills out of her own personal account, before the business account was set up.  Problem is now, MYOB won't let you pay a bill from an equity account (not he way hers is set up anyway).

What is the best way to do this from an accounting perspective?

a)  Delete the purchase entries from the register, and just do a big-ass general journal entry debiting expense/asset accounts and crediting equity.

b) Leave the purchase entries as they are in MYOB, and pay them out of the electronic clearing a/c or some such, then do a GJ entry transferring them to equity.

c) or another way.

Trouble is, she continues to use her personal account to pay bills when the business account is low, so until she gets established, this will be an ongoing problem.

Any accountants out there that can help me?  She has Account Right Standard.

#2 leathebeezkneez

Posted 19 November 2012 - 06:13 AM

Get her to set up a bank account called personal funds and pay everything from here.  Once a month do a general journal to clear back to equity.
Hope this helps

#3 katbalou

Posted 19 November 2012 - 06:15 AM

Leathebeezkneez, that makes a whole lot of sense.  Thank you.  biggrin.gif

Reply to this topic


0 user(s) are reading this topic

0 members, 0 guests, 0 anonymous users


Top 5 Viewed Articles

Essential Baby and Essential Kids is the place to find parenting information and parenting support relating to conception, pregnancy, birth, babies, toddlers, kids, maternity, family budgeting, family travel, nutrition and wellbeing, family entertainment, kids entertainment, tips for the family home, child-friendly recipes and parenting. Try our pregnancy due date calculator to determine your due date, or our ovulation calculator to predict ovulation and your fertile period. Our pregnancy week by week guide shows your baby's stages of development. Access our very active mum's discussion groups in the Essential Baby forums or the Essential Kids forums to talk to mums about conception, pregnancy, birth, babies, toddlers, kids and parenting lifestyle. Essential Baby also offers a baby names database of more than 22,000 baby names, popular baby names, boys' names, girls' names and baby names advice in our baby names forum. Essential Kids features a range of free printable worksheets for kids from preschool years through to primary school years. For the latest baby clothes, maternity clothes, maternity accessories, toddler products, kids toys and kids clothing, breastfeeding and other parenting resources, check out Essential Baby and Essential Kids.