I’m not familiar with Google Play accounts specifically. If they work like a credit limit and you pay later, then they are deferred expenses - thus Accounts Payable.
If you pre-pay say with a gift card, or you top off the available to spend, then it’s a pre-paid expense - an asset account. ==== So, if the deferred expenses route is correct, you can create a liability account called Accrued Expenses. Then under that, create accounts for specific entities if you like (such as Google Play) or just keep them all lumped together - your choice. When you make a purchase on the account, record the amount like so: Dr. Expenses (whatever account you’d normally use here, say ‘Entertainment’) Cr. Accrued Expenses When the bill/statement arrives and you pay it, you’d enter: Dr. Accrued Expenses Cr. Cash/Checking (or even a Credit Card if that’s the case) If you want to use the business features because you don’t pay the bill right away and want a due reminder, you can enter a bill from Google Play (set up as a Vendor) and instead of an expense account, book it to the Accrued Expenses account. (or sub-account) If it works more like a credit card with a limit and possible interest fees, then you might instead create it as a Credit Card type liability account and use it in similar fashion. ==== Of the pre-paid expense asset account is the right way, create a Current Asset account called Pre-Paid expenses. How detailed you get here is again up to you. I have several sub-accounts here for various gift-cards that lets me see at a glance their remaining balance. If I ever receive a card from the same business, I’ll just add it in. But you can lump them all together if you like. When buying/receiving a card, or topping up the account reserve: Dr. Pre-paid Expenses:Google Play Cr. Cash/Checking/Credit Card/Income:Gifts Received, etc. When making a purchase, reduce the remaining pre-paid expense with: Dr. Expenses (again, ‘Entertainment’ or whatever you find appropriate) Cr. Pre-paid Expenses:Google Play ==== Now, as for the red numbers/signs: With the Chart of Accounts visible, open the GnuCash > Preferences. (might be Edit or Tools > Preferences/Options in your OS) Go to the Accounts tab and play with the settings for Reverse Balanced Accounts. (move the preferences over so you can see the Chart of Accounts) The CoA should update to reflect your preference instantly. Normally, credit accounts - Liability, Income, Equity are ’negative signed’. If you want to see them all as positive signs (that is a higher number means you owe more, received more and are worth more) then choose ‘Credit Accounts’ for this preference. (this is how I have mine set) You might still see some accounts as negatives, but that means they are ‘contra-balanced’ that is, not the normal debit/credit balance for that account type. This may be normal based on the account (if it’s a true contra account) but might indicate an improperly entered transaction, or even something like an overdraft condition. (for a checking account for example) Hope that helps, Regards, Adrien > On Aug 6, 2018, at 3:59 PM, Baldero Mendoza <bzy...@gmail.com> wrote: > > Please be patient with me - brand new to this. > > Household financial stuff. I want to post a "google play" purchase. > Should I post as an expense or a liability? > > I have accounts open for things like "electricity" and that seems to > work just fine, but "google play" looks like it works sort of like a > credit card, so I listed it under "liabilities", and that seems to > work too. I made the connected account "checking" and it all seems to > balance and work. > > However, what bothers me is that the "google play" entry under > "liabilities" is listed as a red negative number. So I have two red > negative numbers listed now, one under "liabilities" and one under > "google play". Everything balances, so is it okay or should I place > "google play" purchases as "expenses"? (I just started gnucash so > there aren't any credit card or debit card purchases yet.) The > "expenses" stuff gets listed as black positive numbers even though > they're an outflow of money just like the "google play" stuff under > "liabilities". Maybe it's optional and can be done either way? > Confusing. > > Thank you everybody! > _______________________________________________ > gnucash-user mailing list > gnucash-user@gnucash.org > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > If you are using Nabble or Gmane, please see > https://wiki.gnucash.org/wiki/Mailing_Lists for more information. > ----- > 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 If you are using Nabble or Gmane, please see https://wiki.gnucash.org/wiki/Mailing_Lists for more information. ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
