That is a good point... I just want to try to do things "properly", but as you point out, in a practical sense, it (probably) doesn't matter. Plus, it is helping my understanding and knowledge to grow, and I consider that a good thing.
On Mon, Jan 15, 2024 at 8:49 PM Jediator <jedia...@artemisspace.com> wrote: > I am not an accountant, so please excuse my ignorance. I was wondering > is it really necessary to create a separate deferred income account when > you could just do a transaction report on your IRA account to see how > much distribution you had in a year or a month? -- JC > > On 1/15/24 5:33 PM, Michael or Penny Novack wrote: > > On 1/15/2024 4:02 PM, R Losey wrote: > >> Thank you; this is helpful. > >> > >> I never really thought about recording Deferred Income previously > >> because the investment people track it and let me know what has been > >> taken out every year. But after the discussion in this list last > >> year, I thought it might be good to track, at least the taxable > >> withdrawals. > >> > >> I see that Deferred Income should have been recorded, but it wasn't. > >> Instead of using "Opening Balance" when they were set up, the amount > >> should have been more appropriately credited to Deferred Income, right? > > > > > > The fact that the government considers the TRANSFER of assets between > > two asset accounts (the IRA and checking) to be a taxable event even > > though no new money coming in can be considered as special case if > > "imputed income" and you COULD simply treat all imputed income > > situations the same. > > > > For example --- you might have as an employee benefit employer paid > > group term insurance and your employer might even offer options like 5 > > years salary. Now the US government considers up to $50,000 face value > > a non-taxable benefit but the premium for coverage above that amount > > as "imputed income". In other words, this will appear on your pay stub > > as part of your total taxable income even though you didn't actually > > receive that as money. > > > > Well in the big split where you enter your salary you could handle > > that little piece using equity for the other side. As I have already > > noted, NOT actually changing total equity to both debit and credit > > equity by the same amount (the credit side being an income account, > > but both income and expense accounts "really: of type equity and the > > net of all unclosed income and expense accounts appearing with equity > > as "retained gains (or losses)" > > > > Some of us had to deal with other "imputed income". Thus if we had a > > "split dollar" insurance benefit* the premium for that amount of term > > coverage would show as an "imputed income" amount. > > > > Michael D Novack > > > > * The employer buys a cash value type policy on your life, and pays > > the premium. You get the right to name the beneficiary and the option > > (if you leave) to either buy and keep the policy (pay the employer for > > those premiums) or have the policy surrendered and keep the difference > > (after several years the policy should be worth more than the sum of > > the premiums paid in). In other words, you have a favorable "adverse > > choice" situation <<you decide knowing your health at this later date>> > > > > _______________________________________________ > > gnucash-user mailing list > > gnucash-user@gnucash.org > > To update your subscription preferences or to unsubscribe: > > https://lists.gnucash.org/mailman/listinfo/gnucash-user > > ----- > > Please remember to CC this list on all your replies. > > You can do this by using Reply-To-List or Reply-All. > > _______________________________________________ > gnucash-user mailing list > gnucash-user@gnucash.org > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > ----- > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. > -- _________________________________ Richard Losey rlo...@gmail.com Micah 6:8 _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
