Quick question..please help! If the owner of our company uses the company bank card (debit card) to pay for his gas, how do I enter this in QB? Under what account in chart of accounts?
Thank you in advance for any help you may provide!!
Are you trolling?
You should already have an account for the credit card (or for each corporate credit card) existing that you configured when you started accounting. Gas is just another vehicle expense.
You should also be reconciling this account the same as your checking and payroll accounts. Payments from checking to the credit card will be reconciled when you reconcile the bank account.
Thanks for submitting your question. Using company funds to pay for personal expenses is a very common scenario and luckily the accounting is not overly complicated. Glad you're reaching out to others for help - when in doubt, lean on others so you stay compliant!
We recently created an article about how to handle owner and company funds and what to do if they are intermingled. For a quick summary, you'd use an "Owners fund" account when you as the owner pay for business expense out of your own pocket and an "Owner's Draw" equity account when you use business funds to pay for your personal purchases.
So in your case, pay attention to the second video in the article that covers Owner's Draw.
Your question also really speaks to the fundamental framework you should use whenever you do your accounting: by drawing from one account, another account will be impacted to keep things in balance, knowing the source of the initial draw/debit is going to help you determine which account is going to be impacted.
Hope this helps!