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ashearer-outlook
Level 1

How do I record personal expenses from a personal bank account to owners equity/drawings? I am a sole trader and want to track business and personal expenses

 
3 Comments 3
Nona_O
QuickBooks Team

How do I record personal expenses from a personal bank account to owners equity/drawings? I am a sole trader and want to track business and personal expenses

Hi ashearer-outlook,

 

Welcome to Quickbooks Community.  

Sharing with you this article link that will guide you on how to record expenses from both business and personal accounts, click here .

 

Feel free to reach out to us if you have questions. 

ashearer-outlook
Level 1

How do I record personal expenses from a personal bank account to owners equity/drawings? I am a sole trader and want to track business and personal expenses

Thank you for your response, but that article is about mixing business and personal funds, and reimbursements.

I'm not mixing funds. I have a separate personal bank account and business account and all transactions are separate. I want to be able to track personal expenditure and business expenditure separately, but in the same chart of accounts. I was able to do this in previous versions of Quicken.

Nona_O
QuickBooks Team

How do I record personal expenses from a personal bank account to owners equity/drawings? I am a sole trader and want to track business and personal expenses

Hello ashearer-outlook,

 

Thank you getting back to Community.


With Quickbooks Online, to record personal and business expenses, we need to set them up separately on your chart of accounts.  For tracking purposes, we don’t advise to combine both in just one account. An owner’s equity is used by Quickbooks Online to track withdrawals of the company’s asset to pay an owner. 

 

To create an Equity account:
1.     Select the Gear icon at the top, and then select Chart of Accounts.
2.     In the Chart of Accounts window, select New.
3.     From the Account Type drop-down, choose Equity.
4.     From the Detail Type drop-down, choose Owner’s Equity.
        Enter an opening balance.
5.     Select Save and Close.
 
You can make a transfer to your owner’s drawing account by clicking on +New  > Other > Transfer. If you need to pay yourself, we can make a deposit to your personal account or you can create a checque then create an expense transaction to match the deposit or cheque. 

 

Recording expense varies on what type of expense transaction you have, as long as the expense accounts are correctly set up. We can pull up specific reports on the Reports tab to track Expenses.


For further assistance, we'd highly suggest you contacting our QuickBooks Online Support via Chat or Phone Support Hotline on this link: https://help.quickbooks.intuit.com/en_AU/contact They can walk you through the process and how this is being done in Quickbooks Online.