reimbursing a bill paid by employee - date of payment for BAS

Tigrando

I've recently moved from sole trader to company structure and I'm now using Reckon.

I had some bills and expenses that required payment before the first income came through and I paid these personally looking to reimburse once payment has come in.

These bills and payments occurred in one BAS quarter. I only received payment on the last day of the quarter and now my reimbursement will occur in the next BAS.

1. How do I enter these expenses (I think ok), record payment (not sure) and do the reimbursement in Reckon (I can reimburse but don't know how to link this to paying of the bill).
2. Which BAS quarter do I record the GST paid in - the one I paid personally or the one the reimbursement to me from company funds occurred in?

Alternatively, if you have links to this already being answered, much appreciated - I'm not sure I know the keywords to search for.

With thanks.

Kris_Williams

you don’t have to enter the bills, you can just record a cheque payable to you for the total of the bills and break it down to the various expenses. The date you make the payment (reimbursement) will determine what BAS it goes on.

If this is going to happen often you could create a clearing bank account, pay them from this account and then transfer the balance in the clearing account to yourself, but for a once off I would just do the first choice. It depends on the information you want access to in Reckon

Tigrando

Thanks Kris.

This should be a one-off, but appreciate the options to pursue if that changes.

I really only need to keep track of GST, so am I correct in thinking if I just break down the reimbursement into the various expenses and list GST in each of these that this should then be ok?

Cheers

Kris_Williams

yep that’s how I would do it, you could put the name of the supplier in the memo column on each line if you wanted to.

Acctd4

The best way to track this to ensure everything is correctly recorded is to set up a Credit Card called "Owed to xxx" :

Enter each Receipt/Bill - with the applicable tax code - that you have paid using this Credit Card account as the payment method eg:

… along with making any Bill Payments that you've paid personally too:

When you reimburse yourself, enter a Write Cheque, posting directly back to "Owed to xxx" (NO tax code on this one & as this is just a movement of funds from your bank account to you!):

Doing it this this way serves several purposes …

• Each expense is easily located under the relevant Supplier's name
• The GST is correctly recorded (eg at the time the purchase was made, NOT when reimbursing!)
• The Credit Card reflects as a liability (on the Balance Sheet) of what the company "owes" to you
• The outstanding balance - at any point - is reflected in real time:

😊

Tigrando

Thank you Shaz - I'm assuming I can follow this process in Reckon One online? Your screenshots look very different but I'm assuming its a Reckon Desktop example?

Acctd4

Ah … yes @Tigrando, your question is under Reckon Accounts Hosted (RAH) so yes, these screenshots relate to Reckon Accounts (RA) & RAH.

Unfortunately, I don't work with Reckon One though so not sure if this is do-able in that program. Whilst it won't look exactly like the screenshots above, I'm assuming it would be … but @Rav may be able to confirm that ? 🤔

In the meantime, you could have a look & give it a try ! 😊