Using QuickBooks to track personal income and expenses
How can I set up a QuickBooks company file to track my personal income and expenses for the income tax purpose? The Set up Wizard does not have this option. What would be a good chart of accounts to use for journal entries? Thanks.
Select the services chart of accounts and change as needed. You could enter medical, property tax etc to track all expenses.
Thank you, but I’m still confused. During set up QuickBooks Wizard asks me to select the type of business, but my file won’t be a “business”, there is no income from sales. I’m the only share holder of my S.corp and my income comes from draws, so what would be my Chart of accounts especially the revenue account? How to record income taken from my business and what to call it? How to avoid using an Item list which QuickBooks always asks for.
Change the income accounts to show "distribution" and "payroll" Yes, as a sub S you should be taking a paycheck with tax withheld etc . Remember your taxable income is the profit of the Sub S not the cash you actually take, the two may or may not be the same. Item list should only be an issue if you are invoicing - just record income by posting deposits to the bank.
I know about quicken but i'm already using QuickBooks and i would like to use it for my personal finance too.
Did you ever wind up using qb for your personal accounts - I have a client that would like to do this too - wonder if it worked for you?
I've used QB for personal for years -- works fine if you set it up right, and since it's for personal use, it's however it makes the most sense for you. You don't have to follow the same accounting rules as you do for a business.
Monique,
What is a good QB chart of accounts for managing personal finances?
