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reconciling expenses


#1

Hi

I want to use receipt hub to collate my monthly business expenses (I am a director of a limited company). At the end of each month I always pay myself that month’s expenses. I’m confused as to how to record my expenses within QF so that they can be reconciled with my aggregate monthly payment. Should I set myself up as a supplier or, as suggested in a previous thread should expenses and their re-payment go through the directors loan account?

Thanks


#2

Log stuff as paid from the DL account at the point when you actually paid the supplier, then tag the repayment to yourself as a bank transfer. Otherwise you end up with a load of purchases appearing unpaid in QuickFile when the supplier has in fact been paid.

You could use a project tag to track which expenses were paid with your own money, and use that to easily find the total repayment due for a given month.


#3

Thanks Ian.

I’m new to QF… So I presume therefore that I set myself up as a supplier and each different expense needs a purchase record?


#4

You could do that. ideally it would be better to use the company card and keep things simple. Pay all expenses via company card.
Plz PM if any further info required.
Regards,
Momin Nz
Kube Accounts.


#5

Some people do a mixture of the two - record more significant purchases properly against a record for the real supplier, but record small incidental things (like buying a sandwich when you’re out visiting a client) against a generic supplier if it’s not worth recording everything in full detail. As long as you can refer back to the original receipt that should be enough for the tax man.

You are not the supplier here, the business is the one making the purchase from the actual supplier, recording it as “paid from the DL account” essentially means you’re lending the company some of your own money for it to use to make the payment. At the end of the month the company then pays you back what you lent it (the transfer from current account to DL).


#6

Thanks. Larger purchases are direct by company card/other methods so it will be a mix.

Can you please confirm that I am right in thinking each expense receipt needs to be recorded separately as a purchase i.e. there’s no easy way to do this.


#7

I find the simplest workflow for this kind of thing is to use the receipt hub “create new purchase” button. Scan a receipt, send it to the hub, “create new purchase”, enter some basic details (which could be the specific supplier or could be a single “generic expenses” supplier), and mark it as paid there and then from the DL account. This will record each receipt as a separate purchase in just a few clicks.

Come the end of the month when you want to know how much to pay yourself back, you can do that by going to the DL bank account and doing an “advanced search” for the appropriate date range and the reference “payment to” (when you mark a purchase as paid from the receipt hub the bank transaction it generates always says “Payment to [name of supplier]”).

It is possible to create one purchase record with several lines and attach several receipts to one purchase, but that isn’t really compatible with the receipt hub method of bringing in the receipt scans via dropbox/email, as the matching there is driven by the total value of the purchase record.


#8

Thanks - this has been very useful.