The transactions recorded as Owner's Pay & Personal Expenses are shown on the Balance sheet as Liability AND Equity. Should it not be listed as Equity only?

Welcome to the Community, touchdownlogisti.

To properly identify how owner's pay and personal expense transactions should be shown on your balance sheet, I'd recommend working with an accounting professional. If you're in need of one, there's an awesome tool on our website called Find a ProAdvisor. All ProAdvisors listed there are QuickBooks-certified and able to provide helpful insights for driving your business's success.

Here's how it works:

1. Go to our Find a ProAdvisor page.
2. Use the City or ZIP search field to specify a location.
3. Select Find a ProAdvisor.
4. Browse through your results and find one that works best for the business. You can click on each ProAdvisor's profile to learn more information about them.
   
   

Once you've found an accountant, they can be contacted through their Send a message form:
 

1. Use the available text box to introduce yourself. Be sure to include details about which services you're looking for.
   
   
    
2. Enter your appropriate info in the Your name, Your email, and Your phone number (optional) fields.
   
   
    
3. Hit Send message.
   
   

You'll also be able to find many detailed resources about using QuickBooks in our help article archives.

If there's any additional questions, I'm just a post away. Have an awesome day!

@touchdownlogisti 

What kind of business entity is this?  Sole proprietorship, S-corp, partnership...?

Just to confirm, these are credit card charges made to the business card for personal items that the business is paying for, correct?  If that's the case, then the charges should be BOTH an increase in liabilities and a corresponding decrease in equity.  The liability is the amount of the personal charges that are owed to the credit card company and the reduction in equity is because the business is paying for the owner's personal items.  If you have a decrease in equity you must have a corresponding increase in liabilities or equity or a corresponding reduction in assets to keep the accounting equation (assets = liabilities + equity) in balance.   Record them as Owner's Draw or Owner's Capital if this is a sole proprietorship (SP) or an LLC taxed as an SP.  If this is an S-corp, it is a Shareholder's Distribution.  If there is more than one shareholder of the S-corp, distributions need to be made in proportion to their ownership percentages.