This was extremely helpful! I’ve watched so many videos and yours by far was the easiest one to understand and complete. Thank you for taking the time to teach us.
Your videos are amazing, and I'm learning a lot. Do you have a video on how to record purchasing a building (asset), and then the loan (liability)? Since a down payment is involved how do I enter that so the debits and credits balance? Eg. Asset =$4000,000 / Down Payment = $80,0000 / Loan Amount = $320,000
You have a couple options. Option A: Write a check/expense for the asset (choosing the asset account). And then add the loan, choosing the asset account as the debit. Option B: Record the whole loan and then record the down payment toward the loan from a check/expense. If you need help you can schedule a 15-minute meeting and I can walk you through it: gentlefrog.com/meeting
There's a lot of variables with purchasing a company. It's definitely not as straight forward as the purchase of a single piece of equipment. You can book a 30-minute meeting and we can go over it: gentlefrog.com/meeting Make sure you have the buy/sell agreement on hand during the call.
How do I record a fixed asset that was paid in full? Which accounts are debited and credited? I purchased a home for rental income. Also made repairs so have those expenses to record. Great video, Thanks
Hi Mya, if you have an asset that's paid off you should have a record of that money leaving the bank and going toward that asset. If you don't we can look it over together and I can help you fix it in a 15-minute call: www.gentlefrog.com/meeting/
Great video - Note; people who watch these videos are 95%, not an accountant or CPAs; therefore if you never say Journal Entry, your videos will be my first stop. What other way could you have gotten that $10,000 for the Asset, starting balance; for instance, the Deposit screen or check screen; any other way than a Journal Entry?
Hello Rachel, I really appreciate for the vid. Can you help me with this? I purchased a truck with cash(cash bill)$30,000 for my business. *No loan involved. In this situation, how many accounts are supposed to be involved for Debit and Credit side when making a journal entry? Thank you in advance.
Make a truck asset and then choose that when recording the purchase in bank feeds. If the money did not come from a business checking account then use a journal entry and debit the truck asset and create an account for the source of the cash (if one doesn't already exist) and credit that account.
You have a couple options. Option A: Write a check/expense for the asset (choosing the asset account). And then add the loan, again choosing the asset account as the debit. Option B: Record the whole loan and then record the down payment toward the loan from a check/expense. If you need help you can schedule a 15-minute meeting and I can walk you through it: gentlefrog.com/meeting
Hi, what if you got a cash equipment loan and used that cash to buy 3 different type of equipment. How do enter that in QB to reflect that i purchase the equipment with the cash loan that was deposited to my bank account from the loaner?
Step 1: Deposit the cash and indicate it came from a loan. Step 2: Record the purchase of the equipment 3x as if there was 3 wires or 3 checks. If you need help book a 30-minute call and I can walk you through it: www.gentlefrog.com/meeting/
Hi Sharon, I can't think of a reason you'd add it to QuickBooks as it's not something you paid for. There needs to be a debit and a credit for everything you do. The asset (house) is a debit but there is nothing to credit. If this is for personal bookkeeping, I'm not sure as we don't offer personal bookkeeping.
@@GentleFrog Thanks for your reply. I couldn’t figure out the other side of the transaction. Lol So if no lien/loans on the townhouse, no reason to add the asset as can’t depreciate the free and clear property.
i took vehicle loan 40k, did chart of acc and journal entries as debit FA and Cr Loan Ford. then made category of bank pay as loan payment. Loan is reducing but under fixed asset the valur increasing from 40k to 70k now with monthly pay. $1000.Why is it happening/?
It can be done with a regular expense. I showed it as a journal entry to make it easier to understand. I'll add to my list of future videos one showing the same scenario but using an expense instead of JE.
This was extremely helpful! I’ve watched so many videos and yours by far was the easiest one to understand and complete. Thank you for taking the time to teach us.
You're very welcome. I'm so glad it helped you out.
I have watched a couple of your videos tonight. Super helpful and I appreciate your style of teaching! Thank you very much!
I'm so happy to hear that! Let me know if there's anything you need help with that I don't have a video on.
You just saved me after hours of headache! Thank you so much for this informative video!
Yay! That's so great to hear.
Your video was very informative and help me greatly. Thank you!
Thank you Rosa! I'm so glad it helped you out.
Life saving! Thank you
You're welcome! I'm glad you were able to get the help you needed.
Your videos are amazing, and I'm learning a lot. Do you have a video on how to record purchasing a building (asset), and then the loan (liability)? Since a down payment is involved how do I enter that so the debits and credits balance? Eg. Asset =$4000,000 / Down Payment = $80,0000 / Loan Amount = $320,000
You have a couple options.
Option A: Write a check/expense for the asset (choosing the asset account). And then add the loan, choosing the asset account as the debit.
Option B: Record the whole loan and then record the down payment toward the loan from a check/expense.
If you need help you can schedule a 15-minute meeting and I can walk you through it: gentlefrog.com/meeting
This was very helpful! I have a question though, what if the purchase wasn't a vehicle but a whole company instead?
There's a lot of variables with purchasing a company. It's definitely not as straight forward as the purchase of a single piece of equipment.
You can book a 30-minute meeting and we can go over it: gentlefrog.com/meeting
Make sure you have the buy/sell agreement on hand during the call.
How do I record a fixed asset that was paid in full? Which accounts are debited and credited? I purchased a home for rental income. Also made repairs so have those expenses to record. Great video, Thanks
Hi Mya, if you have an asset that's paid off you should have a record of that money leaving the bank and going toward that asset. If you don't we can look it over together and I can help you fix it in a 15-minute call: www.gentlefrog.com/meeting/
Great video -
Note; people who watch these videos are 95%, not an accountant or CPAs; therefore if you never say Journal Entry, your videos will be my first stop.
What other way could you have gotten that $10,000 for the Asset, starting balance; for instance, the Deposit screen or check screen; any other way than a Journal Entry?
That's something we could go over in a 15-minute meeting: www.gentlefrog.com/meeting/
Hello Rachel, I really appreciate for the vid. Can you help me with this? I purchased a truck with cash(cash bill)$30,000 for my business. *No loan involved. In this situation, how many accounts are supposed to be involved for Debit and Credit side when making a journal entry? Thank you in advance.
Make a truck asset and then choose that when recording the purchase in bank feeds.
If the money did not come from a business checking account then use a journal entry and debit the truck asset and create an account for the source of the cash (if one doesn't already exist) and credit that account.
How about depreciating the vehicle. Tnx
Great idea! I'll add that my list of upcoming videos.
How do I add a downpayment for the asset/loan?
You have a couple options.
Option A: Write a check/expense for the asset (choosing the asset account). And then add the loan, again choosing the asset account as the debit.
Option B: Record the whole loan and then record the down payment toward the loan from a check/expense.
If you need help you can schedule a 15-minute meeting and I can walk you through it: gentlefrog.com/meeting
Is there another name for "balance sheet"? I don't have that on my version of QBO
If you're using the Non-profit version of QBO it's called the Statement of Financial Position.
Hi, what if you got a cash equipment loan and used that cash to buy 3 different type of equipment. How do enter that in QB to reflect that i purchase the equipment with the cash loan that was deposited to my bank account from the loaner?
Step 1: Deposit the cash and indicate it came from a loan.
Step 2: Record the purchase of the equipment 3x as if there was 3 wires or 3 checks.
If you need help book a 30-minute call and I can walk you through it: www.gentlefrog.com/meeting/
How would I record an inherited townhouse as an asset?
Hi Sharon, I can't think of a reason you'd add it to QuickBooks as it's not something you paid for. There needs to be a debit and a credit for everything you do. The asset (house) is a debit but there is nothing to credit. If this is for personal bookkeeping, I'm not sure as we don't offer personal bookkeeping.
@@GentleFrog Thanks for your reply. I couldn’t figure out the other side of the transaction. Lol So if no lien/loans on the townhouse, no reason to add the asset as can’t depreciate the free and clear property.
i took vehicle loan 40k, did chart of acc and journal entries as debit FA and Cr Loan Ford. then made category of bank pay as loan payment. Loan is reducing but under fixed asset the valur increasing from 40k to 70k now with monthly pay. $1000.Why is it happening/?
You can schedule a 15-minute meeting and we can take a look at this together and figure out what's going on: www.gentlefrog.com/meeting/
can you do the purchase of an asset with cash or with a loan in the regular expense section or do you have to use always a journal entry
It can be done with a regular expense. I showed it as a journal entry to make it easier to understand. I'll add to my list of future videos one showing the same scenario but using an expense instead of JE.