Personal Expenses

Hi Guys,

I have now moved on to using QuickFile from this tax year forward so I am getting to grips with the basics.

This is probably a simple question but on the odd occasion where I use my Business account for a Personal expense how do I go about recording this - Is it just a case of tagging it to the Proprietor Drawings Account or do I simple delete the entry from the statement and leave it untagged?

Hopefully this makes sense!

Thanks in advance

tag it to the Proprietor Drawings Account

Easiest way is to raise a money out transaction in your business current account, then tag that by taking the option ā€˜something else not on the listā€™, then from the post to account dropdown, take nominal 3100 (proprietor or partner drawings) and save. In double-entry speak, itā€™s Dr 3100, Cr bank (1200). Hope that helps.

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Wouldnā€™t that increase a debit on the BS?

The proprietor drawings ā€œbankā€ account shows as an asset on the balance sheet, but normal practice would be to clear the balance at year end off into an account under the capital and reserves range (typically 3100).