How to allocate money in account?

Using QB Contractor 2006, is there a good way to allocate money you are given for future expenses to assist in not spending that money for something else?

GC

Reply to
Chips
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Tie a string around your finger.

Reply to
Allan Martin

There would be so many strings I would have to label them all.

And I would end up losing circulation and amputating my fingers.

GC

Reply to
Chips

Well, I had a similar situation in that my partners tended to see my bank balance as 'half full' rather than the 'half empty' it was when you took the accounts payable into effect.

So, I created a 'Balance transfer' - moving funds from the operating account into 'Cash'. Viola! The balance in the operating account reflects what is really available. When I reconcile the bank statement, I leave the 'balance transfer' uncleared.

Now, to be more elegant or accurate, you might create a new account - maybe a 'current asset' account - and call it 'Earmarked for future'. At the time you wish to pay the expense, you can either create a 'reverse' transfer - or simply delete the initial transaction (not sure how that would affect the bank reconciliation reports).

Reply to
hatesspam

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