Entering HP

[Spike]

I’ve just done a quick search for you. Do any of these help?

Hire purchase steps please

Paul’s suggestion was to create a custom nominal to represent the interest only. I think what you should maybe have done is: purchase invoice for £20k (not 23k) 7k deposit is a part payment against that purchase create a loan account to represent the HP element pay off the rest of the purchase from the loan account, leaving the purchase fully paid up and the loan account £13k overdrawn Now create a nominal in the overheads section to represent the cost of the interest. Your accountant’s i…

Buying new van on hp

Van costs £10,000 + VAT for eg . I have paid the VAT upfront but have the van on HP payments over 4 years . Do i just account for this like a normal purchase and then each month log a payment against