So in recording employee reimbursements, what's the best way to do it?
Currently, this is what we do. Let's say Sally pays for an Easyjet ticket for 100 on her own debit card on 01/04/2010, books a taxi for 30 on 02/04/2010, and then submits her expenses on 10/04/2010. Here's how we record the transactions:
Create a "Sally" liability account under the "Reimbursements" liability group.
Create the following transactions:
Money Paid Out Transaction
Paid To: Easyjet
Amount Paid: 100
Paid from Account: Sally
Date: 01/04/2010
Allocate to: Travel, VAT 17.5%
Money Paid Out Transaction
Paid To: Taxi
Amount Paid: 30
Paid from Account: Sally
Date: 02/04/2010
Allocate to: Travel, VAT 17.5%
General Transaction
Date: 10/04/2010
From Account: Cheque Account
To Account: Sally
Amount: 130
Is that right, or is there a better way to do it?
btw, thanks for writing such a great piece of software!
Hi Gary,
Yes, that's exactly how we recommend you record the transactions. Note that the account 'Sally' should be a liability account.
Cheers,
