partner's equity vs partner's contribution accounts

Thanks for tagging your question to Global, Abdul Rehman. 

I can see that one of our top contributors, Rustler, has already discussed the difference between the partner's equity and partner's contribution accounts. Even though your other question was tagged to US, I believe the accounting principles of these account applies to all countries. However, it would still be best if you can reach out to an accountant in your place.

I would also like to stress out this is more of an accounting question than a How-do-I question. For topics like this, we usually advise users to reach out to an accountant.

About checking your questions, you can click your username or your picture. This will show you your profile, the questions you posted, and or the topics that you've participated in.

This is the URL of your profile: https://quickbooks.intuit.com/learn-support/user/viewprofilepage/user-id/517840. I just noticed, you've got wonderful kids on your profile picture!

If you have other questions about QuickBooks, please don't hesitate to go back to this thread.

Thanks Jesst,

I have replied on Rustler's response. But again my that post is on US Community - will his answer be applicable for me (using international version). If yes then I am pleased to  continue there. If you can review that post then you may answer here in this post as per my respective version of QBO (i.e. Intl version). Otherwise I will wait for input in this thread.

As, I am new, so please ignore my mistakes in communicating here. Once I get familiar, will participate in better way.

Regards,

Abdul Rehman.

Hello, Abdul Rehman.

I have already answered your question on another thread. Please let me know if you need more help.

Have a great day!

Hello,

Where can I read the answer?

Thanks,

Beatriz

Welcome to the Community page, @BAAR. Let me route you to the answer given by RenjolynC. 

Please check this link for further details about the difference between the partner's equity and the partner's contribution account. It also includes the idea of Rustler about this: https://quickbooks.intuit.com/learn-support/en-us/ugc-archive/partner-s-equity-vs-partner-s-contribu....

Additionally, here's an article you can read through to learn how to record capital investments to track money going into your business: Record an owner's contribution or capital investment in your business

Keep in touch if you have other QuickBooks concerns. I'll get back to you as soon as I can. Have a lovely day.

I can't access the link provided for the answer. So what is the answer on this question "partner's equity vs partner's contribution accounts"?

Thanks for posting here, @KseniaLit.

While the old link was already archived. I'm sharing here again @Rustler's answer from the thread you are referring to. See this quoted answer:

"For a company taxed as a sole proprietor (schedule C) or partnership (form 1065), I recommend you have the following for owner/partner equity accounts  (one set for each partner if a partnership)

[name] Equity (do not post to this account it is a summing account)

>> Equity
>> Equity Drawing - you record value you take from the business here
>> Equity Investment - record value you put into the business here

Then when you deposit personal funds into the business, you use equity investment as the source account for the deposit

If  you take money, then write a check and use equity drawing as the expense (reason) for the check."

See the following links to help you with your accounts:

• Understanding the Chart of Accounts

• Add an owner or partner to your books

• Record an owner's contribution or capital investment in your business

Post here again if you have additional questions or concerns. I'll be right here to help.