Re: GL Accounts
Hi Maf, Just a slight clarification on what accrual accounting means. The GAAP contains certain principles about when income is considered to be earned and when expenses are considered to be incurred and when they are to be recognized/recorded in the accounts. These are not necessarily coincident in time with the receipt of payments for income or the payment by you for an expenditure for reasons which may be unrelated to you offering or accepting payment under terms of credit. In accrual accounting income is for example considered to be earned at the time when you perform the work that entitles you to receive that income even though you may not actually receive the payment until some time later (for example after submitting a report). Similarly you may incur an expenditure in accrual accounting terms at the time you enter into an agreement to purchase something, not necessarily when you actually make the payment. This can of course complicate the accounting and can be important in the tax accounting for many business. This is what defines accrual accounting. Most tax jurisdictions allow use of a simplified form of accounting (usually under a specified turnover threshold and under other specified conditions) where you record in your accounts income at the time you receive the payment and expenditure at the time you make the payment. This is usually referred to as accounting on a cash basis or Cash Accounting. The difference is in the timing of the recording of an event, e.g. the issuing of an invoice, and is not necessarily related to the use of A/R or A/P per se. These (A/R, A/P) relate specifically to a business providing credit to its customers under certain terms it specifies or accepting credit from its suppliers under the terms they specify and they can be used both with Accrual or Cash accounting. David - David Cousens -- Sent from: http://gnucash.1415818.n4.nabble.com/GnuCash-User-f1415819.html ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
Issue opening Gnucash file
I have been using Gnucash for awhile now. I am working in Windows 10. Recently I tried to open my file and got the error "No suitable backend was found for C:...". When I look at the trace file I see get the message : * 17:22:17 WARN Could not spawn perl: Failed to execute child process (No such file or directory) * 17:23:24 WARN Could not find the icon 'gtk-file'. The 'hicolor' theme was not found either, perhaps you need to install it. You can get a copy from: http://icon-theme.freedesktop.org/releases * 17:23:28 CRIT g_utf8_to_utf16: assertion 'str != NULL' failed I installed the newest Gnucash program (version 2.6.18). Not sure what to do now. Would really like to get access to this file again. Any ideas or suggestions. . ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
15,000 brazilian mutual funds price quotes. Enjoy!
Hi guys! I have a good news, specially for the owners of around 15,000 brazilian mutual funds registered on CVM. / Tenho uma boa notícia, especialmente para os proprietários de aprox. 15.000 fundos mútuos registrados na CVM. Finally I managed to collect them and format the way they can be read by KMyMoney and perhaps GnuCash (I dont have it installed here). / Finalmente consegui coletar e formatar de maneira a serem lidos pelo KMyMoney e talvez pelo GnuCash também. All you need to do is to configure KMM Online Quotes and point your investment to this new source! / Tudo que precisa fazer é configurar as cotações online do KmyMoney e apontar seus investimentos para essa nova fonte. Detailed instructions (portuguese only) are here / Mais detalhes aqui: http://fundos.eastus.cloudapp.azure.com/ I'll keep them daily updated. / Manterei atualizados diariamente (de acordo com a CVM). Hope you enjoy it (I did!) / Espero que gostem! *** Image you can do the same with brazilian CDs!! Soon! / Imagine poder fazer o mesmo com CDBs/CDIs!!! Aguardem! *** Same post here in KMyMoney forum: https://forum.kde.org/viewtopic.php?f=69&t=143168 Cheers / Abraços, ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
Re: How to create an asset with a reduced value compared to my regular currency (dollars)
Michael, I don’t regularly deal with loan entries, and each jurisdiction is different, but in the U.S., loan forgiveness (the technical term I believe is 'discharge of indebtedness') is often considered a source of income and is generally taxable. That 10% annual forgiveness would likely have to be booked against income.(note the qualifications of ‘often’, ‘generally’, ‘likely’ — your mileage may vary) As for an art purchase with potential capital gain or loss, there’s no entry required if you find out the artist was different. You book what you actually paid at the buy and you book what you actually received on the sale. The difference is either a gain or loss. ‘Expected' gain or loss is mostly for your own curiosity and probably should not be reflected in financial books. The value of an asset in financial books is never what it ‘might’ or ‘should’ be worth. The asset is only *actually* worth what was paid for it. An adjusted asset value is going to happen for a particular reason. Either it is a correction of an erroneous initial value where a simple correcting entry solves the problem, or it is a specified write-down such as depreciation which is balanced by an expense. (essentially a ‘use’ transaction of a pre-paid expense) You don’t generally realize an increase in an asset value short of a correcting entry until and unless the asset is sold. (This is why special trading accounts are used to track present value of securities separately without actually adjusting the underlying asset value.) Anything else would be a shift from one asset to another. As for liability changes, again, these are either correcting entries to fix errors, shifts to other liabilities (a credit card balance transfer for example) or income. (debt you no longer owe and don’t have to pay) The question of if those events are taxable or not depends on your local taxing jurisdiction and specific circumstances should be answered with the guidance of a CPA. And I’m no CPA either, just passing along what I’ve learned in school and having to find these answers for myself over the years. Regards, Adrien > On Dec 8, 2017, at 9:23 AM, Mike or Penny Novack > wrote: > > On 12/7/2017 5:53 PM, David Carlson wrote: >> Adrian, >> >> While I am not an accountant, historically I have used a method similar to >> that suggested by Adrien. However, I am intrigued by the answer provided >> by Michael Novack, as it avoids the problem of overstating potentially >> taxable income without needing to have a group of accounts to segregate >> before running your tax reports at the end of the year. >> >> Thus I am considering switching to a method modeled on his suggestion. >> >> David C >> > There are other situations which might call for the adjustment of an asset > value (or liability amount) that should not be considered either income or > expense. I suggest looking in accounting texts with the topic probably under > "journal entries". Some examples: > > a) Back in the 60's I went to school with the help of NDF loans. There might > be something similar today. They had a condition on the liability amount. > Could treat these are ordinary loans BUT every year you taught forgave 10% of > the loan. > > b) When you opened your books, one of the major asset categories was art > work. Yes, if you sold a picture for a greater amount than its book value, a > capital gain (or for less, a capital loss). But suppose instead a picture > thought to be by artist A was later discovered to have been by artist B (with > VERY different values). > > I am NOT an accountant. But I think these would be handled by "journal entry" > adjustments with equity being the other side of the transaction. > > Michael > ___ > gnucash-user mailing list > gnucash-user@gnucash.org > 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 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.
Fwd: Re: GL Accounts
-- Forwarded Message -- Subject: Re: GL Accounts Date: Friday, 8 December 2017, 16:38:49 GMT From: Maf. King To: Caleb Walker On Friday, 8 December 2017 14:52:04 GMT you wrote: > Thank you Mr. King for your response. My question is not about accounting > principles but more so how do I do that in GC. When I go to “Process > Payment” the only thing available to “Post To” is “Assets:Accounts > Receivable”. I cannot put anything else in there nor can I put multiple > accounts in there. Also in the “Transfer Account” section I can only > choose one account. However, in processing a payment it should normally > debit a cash account but having the freedom to debit or credit any account > would be useful. > > Then I went to create an invoice and in the "Invoice Entries” section I can > only select and Income Account in the “Income Account” column. I tried to > type in an equity account like “Equity:Opening Balances:Caleb Startup > Capital” and the program said that the account did not exist. > > I have followed these same examples in A/P as well to no avail. Is there a > config file I need to edit to allow me to get out of this “jail” where the > program is forcing me to shoe-horn my processes? I also cannot find a way > to do a “split transaction” yet. I am still looking though. Hi Caleb, GC _started_ long ago without any particular special treatment for accrual accounting, primarily for personal accounting. One just directly entered all transactions in (say ) a bank account register and assigned transactions to the relevant "other" account(s). Then, around version 1.6 or 1.8, a module known as "business features" was added, which introduced the handling of A/P and A/R as special account types and permitted accrual accounting without having to fudge about. So, if you are using accruals - you receive a bill and expect to pay it at some time later on - you _can_ create a vendor, enter the bill in the "business" features. You are correct that at the point of entering a bill, you cannot assign the transactions to any account - income types are not valid, for example. However, Vendor bills would usually be for an expense (or capital asset purchase) and asset & expense accounts are all valid destinations. When you come to actually pay the bill, you go to the process payment, and select the bill. At this point, the bill is tied to you A/P account and so half the transaction is known. The other account you select can be any bank or cash account. If, however, you are not using accruals, but paying directly for something in cash (let's say a business lunch out with a client), you don't touch vendor bills or process payment at all. Just open your cash account (or credit card or checking etc. - however you actually paid), and directly enter the transaction with a transfer to Expenses:EntertainingClients similarly with invoices. If you haven't created an customer invoice in GC, there is nothing to process payment against. Cash sales don't use accruals. You didn't issue an invoice for your owner capital (at least, I assume you didn't. More likely a share certificate after the fact). Just open the bank account, and create a transaction transferring from Equity:OwnerCapital:Caleb - if that account doesn't exist, GC will offer to create it for you. Split transactions: (if you are not using "view->auto-split ledger") right click on the area of the register where you are entering a transaction, and select "split transaction", or press the tool button marked "split" in summary: if it isn't a "proper" accrual transaction, don't use the accruals subsystem! Enter directly in the relevant Bank/Cash/Credit Card registers. HTH, Maf. - -- Maf. King PGP Key fingerprint = 8D68 A91F 733B 2C1F 43B7 2B7C E591 E8E1 0DE7 C542 ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
Re: GL Accounts
On Friday, 8 December 2017 14:52:04 GMT you wrote: > Thank you Mr. King for your response. My question is not about accounting > principles but more so how do I do that in GC. When I go to “Process > Payment” the only thing available to “Post To” is “Assets:Accounts > Receivable”. I cannot put anything else in there nor can I put multiple > accounts in there. Also in the “Transfer Account” section I can only > choose one account. However, in processing a payment it should normally > debit a cash account but having the freedom to debit or credit any account > would be useful. > > Then I went to create an invoice and in the "Invoice Entries” section I can > only select and Income Account in the “Income Account” column. I tried to > type in an equity account like “Equity:Opening Balances:Caleb Startup > Capital” and the program said that the account did not exist. > > I have followed these same examples in A/P as well to no avail. Is there a > config file I need to edit to allow me to get out of this “jail” where the > program is forcing me to shoe-horn my processes? I also cannot find a way > to do a “split transaction” yet. I am still looking though. Hi Caleb, GC _started_ long ago without any particular special treatment for accrual accounting, primarily for personal accounting. One just directly entered all transactions in (say ) a bank account register and assigned transactions to the relevant "other" account(s). Then, around version 1.6 or 1.8, a module known as "business features" was added, which introduced the handling of A/P and A/R as special account types and permitted accrual accounting without having to fudge about. So, if you are using accruals - you receive a bill and expect to pay it at some time later on - you _can_ create a vendor, enter the bill in the "business" features. You are correct that at the point of entering a bill, you cannot assign the transactions to any account - income types are not valid, for example. However, Vendor bills would usually be for an expense (or capital asset purchase) and asset & expense accounts are all valid destinations. When you come to actually pay the bill, you go to the process payment, and select the bill. At this point, the bill is tied to you A/P account and so half the transaction is known. The other account you select can be any bank or cash account. If, however, you are not using accruals, but paying directly for something in cash (let's say a business lunch out with a client), you don't touch vendor bills or process payment at all. Just open your cash account (or credit card or checking etc. - however you actually paid), and directly enter the transaction with a transfer to Expenses:EntertainingClients similarly with invoices. If you haven't created an customer invoice in GC, there is nothing to process payment against. Cash sales don't use accruals. You didn't issue an invoice for your owner capital (at least, I assume you didn't. More likely a share certificate after the fact). Just open the bank account, and create a transaction transferring from Equity:OwnerCapital:Caleb - if that account doesn't exist, GC will offer to create it for you. Split transactions: (if you are not using "view->auto-split ledger") right click on the area of the register where you are entering a transaction, and select "split transaction", or press the tool button marked "split" in summary: if it isn't a "proper" accrual transaction, don't use the accruals subsystem! Enter directly in the relevant Bank/Cash/Credit Card registers. HTH, Maf. ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
Re: How to create an asset with a reduced value compared to my regular currency (dollars)
On 12/7/2017 5:53 PM, David Carlson wrote: Adrian, While I am not an accountant, historically I have used a method similar to that suggested by Adrien. However, I am intrigued by the answer provided by Michael Novack, as it avoids the problem of overstating potentially taxable income without needing to have a group of accounts to segregate before running your tax reports at the end of the year. Thus I am considering switching to a method modeled on his suggestion. David C There are other situations which might call for the adjustment of an asset value (or liability amount) that should not be considered either income or expense. I suggest looking in accounting texts with the topic probably under "journal entries". Some examples: a) Back in the 60's I went to school with the help of NDF loans. There might be something similar today. They had a condition on the liability amount. Could treat these are ordinary loans BUT every year you taught forgave 10% of the loan. b) When you opened your books, one of the major asset categories was art work. Yes, if you sold a picture for a greater amount than its book value, a capital gain (or for less, a capital loss). But suppose instead a picture thought to be by artist A was later discovered to have been by artist B (with VERY different values). I am NOT an accountant. But I think these would be handled by "journal entry" adjustments with equity being the other side of the transaction. Michael ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
Re: GL Accounts
Caleb, Just a word of caution. Certainly, not all transactions need to go through the business features and you can make manual transactions to accounts other than the built-in AR/AP accounts. However, don’t make manual transactions in or to these accounts either. If you do, the business features can’t ‘see’ them. They can only see transactions created via the business features themselves. If you would need to make AR/AP transactions in a manual fashion and no way around that, then the recommendation is to create additional AR/AP accounts such as ‘Other Accounts Receivable’ or ‘Other Accounts Payable’ and use those for such purposes. For example, I have some old debts that I didn’t want to enter the original bills and all payment history for. I created a liability account under a ‘Old Debts’ liability for each one. That way I can make manual payment transactions and still see the remaining balance for each. The business features aren’t aware of any of that activity, but my balance sheet report includes it. Also, using the business features, you CAN pay or receive to accounts other than AR/AP. Just select the account you want in the drop down when posting the invoice/bill. If there are no other options in the drop down yet, click the ‘new’ button and add a new liability/asset account. (this means it can’t have existed already) This will add a new account and allow it to be ‘seen’ by the business features. It should then be selectable in the future. Regards, Adrien > On Dec 8, 2017, at 3:11 AM, Maf. King wrote: > > Hi Caleb, > > welcome to the list. Answers inline... > > On Thursday, 7 December 2017 17:56:18 GMT Caleb Walker wrote: >> Hello All, >> >> I am trying to use GNUCash like I use Sage 100 understanding it is not as >> full featured as Sage but might be ok with another business I am starting. >> What I would like to do is make payments to something other than AP or >> receive invoices to something other than AR. Is that possible? > > Yes. if a transaction isn't a AP purchase, why would you shoe-horn it into > AP? EG. you buy something with cash. the transaction is Assets:CashOnHand -> > Expenses:Whatever, which you can record perfectly easily in GC. > >> One >> example, I made a payment to my landlord and part of it was a deposit which >> I would like to go into an asset account and the other part is rent which >> would go into an expense account. How do I do that with this software? > > You'd need a "split transaction", so £100 from Assets:Bank can be split to > any > other number of accounts - eg £30 to assets:landordDeposit, and £20 to > Sales:tax and £50 to expenses:rent > >> Another example, I received cash into the account that I would like to tie >> into an equity account to show owners startup capital. How do I easily get >> the money over there? Thank you for your help > > Assets:Bank <- Equity:OwnerCapital:CalebWalker would be one way. > > I suggest you give an hour or two to the tutorial & concepts guide at some > point which will cover these questions in more depth. See > http://gnucash.org/viewdoc.phtml?doc=guide > > Good luck with your new venture. > Maf. > > >> >> Caleb >> ___ >> gnucash-user mailing list >> gnucash-user@gnucash.org >> 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. > > > -- > Maf. King > PGP Key fingerprint = 8D68 A91F 733B 2C1F 43B7 2B7C E591 E8E1 0DE7 C542 > > > > ___ > gnucash-user mailing list > gnucash-user@gnucash.org > 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 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.
Re: GL Accounts
Hi Caleb, welcome to the list. Answers inline... On Thursday, 7 December 2017 17:56:18 GMT Caleb Walker wrote: > Hello All, > > I am trying to use GNUCash like I use Sage 100 understanding it is not as > full featured as Sage but might be ok with another business I am starting. > What I would like to do is make payments to something other than AP or > receive invoices to something other than AR. Is that possible? Yes. if a transaction isn't a AP purchase, why would you shoe-horn it into AP? EG. you buy something with cash. the transaction is Assets:CashOnHand -> Expenses:Whatever, which you can record perfectly easily in GC. > One > example, I made a payment to my landlord and part of it was a deposit which > I would like to go into an asset account and the other part is rent which > would go into an expense account. How do I do that with this software? You'd need a "split transaction", so £100 from Assets:Bank can be split to any other number of accounts - eg £30 to assets:landordDeposit, and £20 to Sales:tax and £50 to expenses:rent > Another example, I received cash into the account that I would like to tie > into an equity account to show owners startup capital. How do I easily get > the money over there? Thank you for your help Assets:Bank <- Equity:OwnerCapital:CalebWalker would be one way. I suggest you give an hour or two to the tutorial & concepts guide at some point which will cover these questions in more depth. See http://gnucash.org/viewdoc.phtml?doc=guide Good luck with your new venture. Maf. > > Caleb > ___ > gnucash-user mailing list > gnucash-user@gnucash.org > 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. -- Maf. King PGP Key fingerprint = 8D68 A91F 733B 2C1F 43B7 2B7C E591 E8E1 0DE7 C542 ___ gnucash-user mailing list gnucash-user@gnucash.org 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.
GL Accounts
Hello All, I am trying to use GNUCash like I use Sage 100 understanding it is not as full featured as Sage but might be ok with another business I am starting. What I would like to do is make payments to something other than AP or receive invoices to something other than AR. Is that possible? One example, I made a payment to my landlord and part of it was a deposit which I would like to go into an asset account and the other part is rent which would go into an expense account. How do I do that with this software? Another example, I received cash into the account that I would like to tie into an equity account to show owners startup capital. How do I easily get the money over there? Thank you for your help Caleb ___ gnucash-user mailing list gnucash-user@gnucash.org 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.