I am new to bookkeeping and to sage, although I do have AAT.
Have started up a business and need to log various receipts on sage that were paid for from various personal bank accounts/credit card accounts prior to the business bank a/c being set up.
I believe I need to do this via a Directors Loan Account _ have set this up as nominal code 2300, as advised by my bookkeeper. (I have put in a credit balance already for this account, the dr entry being the business bank account, to account for the start-up money injected into the business).
In terms of pre-business expenses: I have been vaguely told not to enter them through the suppliers ledger, but to set up bank accounts on sage detailing where they have been paid from, and to do direct (lump) payments to the DLA.
I have tried doing this and got in a mess. Can anyone please give me an idiots guide to the entries, and exactly how to post them?
I tried doing 'bank payments', but the bank side of it didn't show up on the nominal ledger (I don't understand this either - I have tried setting up personal bank accounts on sage, just to account for this expenditure. Some showed up on the list of nominal accounts, some didn't).
Basically, I have a list of payments from about 5 different sources (bank and credit card accounts). Some include VAT and some don't (we are VAT registered) but I have this all listed. My query is: where/how should I log all this on sage???
To start with the bank accounts you have set up - they should be in the 1200 range and, depending on the numbers you have given them, you may need to go into the Chart of Accounts in the Nominal Ledger to adjust it so that they are displayed as bank accounts.
Possibly the easiest way would be to change the name of one of the standard bank accounts provided to Personal Bank Account - enter the pre-set up expenses as bank payments using the relevant nominal codes for the expense item, detailing Bank, Cr Cd etc in the detail column so the source can be tracked, then to clear this bank account put a bank receipt in using the DLA nominal account code.
