I'm glad that my colleague's post has been helpful to you, Jude. I know that balancing everything can be quite a challenge. It's great to hear that you have a new tenant and are moving toward recovering the funds you loaned to your rental property.
Yes, you can use the same method mentioned above. You'll have to create a liability account to track the amounts you've lent to the property each month during the vacancy. Additionally, I would recommend consulting your accountant for further guidance in setting this up.
Whenever you lend more money, add that amount to this liability account. This approach will enable you to maintain precise records of what is owed to you.
Once you start paying yourself back, use the same liability account to record these transactions. For each repayment made, you would debit the same account to reduce the amount owed to you and credit your cash or bank to reflect the outflow of funds.
I suggest following my colleague's detailed steps above. For more information on this process, check out this article: How to record a company loan from a company officer or owner.
Furthermore, we have a dedicated QuickBooks Live Expert Assisted team available and eager to help you navigate the financial aspects of your rental property. With their extensive expertise and commitment to your success, you'll have the confidence to manage your records like a pro!
For future reference, if you want to gain a deeper understanding of transaction management and account reconciliation in QuickBooks, check out the following articles:
I appreciate you taking proactive actions to manage your rental property finances. Keeping accurate records is vital for the success of your business, and it also aligns with our shared goals.
