Spreading a monthly bill for the purposes of reports

GoatyMcGoatBoat
GoatyMcGoatBoat Member Posts: 54 ✭
edited January 2018 in Reckon Accounts (Desktop)
I pay about $2500/month in rent, paid on the 13th of each month.  I also have a habit of doing short term profit and losses (e.g. one week) to check how business is going.

The problem is, the rent only shows up in the week it's paid, and then it shows up as a massive expense in that week which kind of skews the figures.

Is it possible to spread the expense over the whole month?  The only way I can imagine doing this is by dividing the yearly rent expense by 365 and creating a daily bill for that, but obviously that's a stupid way to do it and it'll congest the "Pay Bill" screen making it hard to find other bills when I need to...

Any other ways to do this?

Comments

  • Adrian_6974554
    Adrian_6974554 Member Posts: 191 ✭✭
    edited September 2017
    Hello 

    You could put the rent amount to a prepaid rent Current Asset.

    Then set up a memorised weekly journal to dr rent expense and cr Prepaid rent.

    Just may need to watch the amount you put in as some months will have 5 weeks and most will be four weeks. So may want to work out total rent for year then divide by 52 weeks to get a weekly amount not just go monthly divided by 4.


    Adrian
  • GoatyMcGoatBoat
    GoatyMcGoatBoat Member Posts: 54 ✭
    edited September 2017
    Thanks for the idea Adrian.

    Will that skew balance sheet figures though?  By that I mean, wouldn't that asset show up on the balance sheet even though it doesn't really exist?

    Thanks
  • Adrian_6974554
    Adrian_6974554 Member Posts: 191 ✭✭
    edited September 2017
    Hello

    Yes It will show up on the balance sheet, you can't have it both ways.

    You either want to smooth out the profit and loss and have a balance in the balance sheet, or you put up with one week having all the rent.

    Adrian

  • Jay Jay
    Jay Jay Alumni Posts: 55 ✭
    edited September 2017
    Hi GoatyMcGoatboat, 
    As Adrian mentioned you can't have it both ways, but you can consider take the middle ground rather than make 365 daily bills, you can make 52 weekly bills, this might help. 
  • GoatyMcGoatBoat
    GoatyMcGoatBoat Member Posts: 54 ✭
    edited September 2017
    Thanks, that's pretty much what I'm thinking of doing.

    It won't work perfectly as the monthly amount that I pay won't always line up to the weekly amounts, but if I process the payment as the amount I pay I think Reckon will leave a balance on the last week's bill that will be picked up next time.. I hope.

    I'll give it a crack later and see

    Thanks

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