Paid business expense with personal account

Hi awco, 

I'm glad you reached out to the Community for clarification, and I'd love to help you record this reimbursement. 

Before I provide you with the steps, can you please clarify if you're using QuickBooks Online or QuickBooks Desktop? The process may vary from product to product, so I want to ensure we're on the same page. 

I'll keep an eye out for your reply so I can share that answer as soon as possible. 

Online. Thanks!

My pleasure! 

Here are two ways to record the reimbursement in QuickBooks Online: 

1. Reimbursement by check/cheque:

• Click the + sign and select Check/Cheque.

• Bank Account: The account you reimburse from (bank or petty cash). 
• Pay to the Order of (Choose a Payee): Yourself or your partner. You can also leave this blank. 
• Amount:  Amount to reimburse yourself.
• Account: Owner's equity or Partner's equity. 
• Customer: Leave empty, even if you recorded a customer in the Name field above.
• Click Save or Save and Print.

2. Using an Expense:

• Go to the + sign and select Expense.
• Purchased From (Choose a Payee): Yourself or your partner. You can also leave this blank.  
• Bank Account: The account you reimburse from (bank or petty cash).  
• Payment Method
• Account: Owner's equity or Partner's equity.
• Amount:  Amount to reimburse yourself.
• Customer: Leave empty, even if you recorded a customer in the Name field above.
• Click Save. 

Here is the article those steps came from, just in case you'd like more details: https://community.intuit.com/articles/1145751. Please let me know if you need anything else. 

Thank you!

Sorry, I'm still very new at QB.

on expense:

- Bank account: Do I add new: Owner's name?

- Amount: Business bank, where reimbursed mmoney is coming from?

-Payment Method: Do I add new.. my personal bank info? I would like it to be transferred to my personal bank account.

- Account: What should I use here? what the charge/expense I paid for with my personal account, is that what I put?

Sorry again.

Thank you!!!! 

On the front page it says Account. If I create Owner's equity, what do I choose on the drop down menu? Please see atatched.

On the front page it says Account. If I create Owner's equity, what do I choose on the drop down menu?

Owner's equity: Is this a draw?

Shouldn't I just allocate it to each proper expense account? 

HI,

I am new at using quickbooks.  I have been using my personal credit card for business expenses.  I have entered the expenses in quickbooks.  What is the best way to reimburse me for those business purchases?

I paid for office supplies with my personal account. If I reimburse myself from the business using my equity account, how do I account for this expense as far as reporting taxes are concerned? 

Hi there, Jordanmp627.

Welcome to the Community. I'm here to walk you through recording an expense that was paid with your personal account in QuickBooks Online.

You'll need to record the expense that was paid with your personal account then enter a reimbursement as a check or an expense.

Here's how:

1. Select the Plus icon (+) on the Toolbar.

2. Under Other, select Journal Entry.

3. On the first line, specify the appropriate expense Account for the purchase.
4. Enter the amount of the purchase in the Debit column. 
5. Enter a customer Name to associate the expense with a customer.
6. On the second line, in the Account column, enter the Owner's equity or Partner equity.
7. In the  Credit column, enter the amount of the purchase.
8. In the Memo field, add Reimbursable to help you identify the transaction later.

9. Select Save and close.

After that, record the reimbursement as a check:

1. Select the Plus icon (+) on the Toolbar.

2. Under Vendors, select Check.

3. (Optional) In the Choose a payee field, enter the name of the partner/owner.
4. Select the Bank Account you are reimbursing from (you can also use petty cash).
5. In the Account column, select Partner's Equity or Owner's Equity.
6. Enter the Amount of the reimbursement.

7. Select Save and close or Save and new.

For more details about this process, kindly refer to his article: How to pay for business expenses with personal funds?

There you have it, Jordanmp627 your expense has been recorded properly on your QuickBooks.

Please let me know if I can be of additional assistance. Wishing you and your business continued success.

I had this same problem with a client. How do I do this if it was for year 2018? The year is over so I can't reimburse the owner until 2019. 

Thank you for joining this thread, @tiffanyj.

Allow me to chime in and help record the expense and reimbursement for the year 2018.

You're unable to reimburse the owner if you've turned on the closing date feature in QuickBooks Online. To successfully enter the transactions, change the closing date or turn off the Close the books preferences.

1. Click the Gear icon.
2. Choose Account and Settings.
3. Go to the Advanced tab.
4. On the Accounting section, uncheck the Close the books to turn it off.
5. To change the closing date, edit the Closing date field.
6. Click Save.
7. Click Done.

After configuring your closing date, you can already follow the steps provided by the previous agent. That way, your recordings are correct.

Keep me posted if you have additional questions. I'm still here to help you more. Just add a comment. Have a good one.

I am using desktop. He told me a month ago that he paid his business phone bill with a personal account. He wants the expense but since it is after 2018, how do I account for it? Journal Entry? If so, please provide details on how. Thank you!!