Simple way to enter and pay credit card bill (one time transaction)?

TinaK

I want a simple way to enter and pay my credit card bill (one time transaction). I enter all my bills as individual "receipts" as I go along and hit the proper expense account and offset the Credit Card Liability account. When I get my credit card statement, I want to create a "Bill" and offset the Credit Card Liability account. It appears I am not allowed to select a liability account as a line item when entering a bill. Why not? Or is there a way this can be done/turned on?

This seems like it should be a simple task (I've done it in every other accounting software I've previously used/consulted on and I am a CPA); however, I cannot figure out a way to do this in Wave and the "Transfer" feature is very convoluted with details.

Thanks!
Tina

MerlinAccounts_UK

There's no need to create a bill. When you do the withdrawal from your bank account to pay the balance on the card for the month you simply categorise it to the liability account you created.

TinaK

Thanks for the response though Andrew .
My client would like to enter his bill and then pay his bill (follow the actual transactions).

I got another response elsewhere that said to do the following (and it's exactly what we were hoping to accomplish):

• Create an "Other Short-Term Liability" General Ledger Account (Accounting \ Chart of Accounts \ Liabilities & Credit Cards \ Other Short-Term Liability \ Add a New Account).
• Enter your normal Receipts throughout the month against this "Other Short-Term Liability" account.
• Then, enter your credit card bill and select the Other Short-Term Liability account you created for the credit card.

This allows you to tie the credit card statement to your actual receipts and shows your outstanding balance correctly in the GL at any point in time.

MerlinAccounts_UK

He seems to already be doing the receipt entry correctly, I took it therefore that he thought he needed to create a bill for paying the credit card off - which of course he doesn't need to do.

Barsin

Hey there,

The only issue with creating a bill to show a payment from a credit card bill is that as you mentioned you cannot create select the credit card liability account here. We've made the credit card bill payments simpler with a transaction categorization.

Would creating the bill as you are, but offsetting it with a Journal Transaction (JT) be of any use here? It's extra work to create the JT alongside the bill but it should allow you to credit the CC liability account as well.

Let us know if this worked out for you.

TinaK

Hi Barsin:

Thanks for the response. We are going to do the following (exactly what we were hoping to accomplish).

• Create an "Other Short-Term Liability" General Ledger Account (Accounting \ Chart of Accounts \ Liabilities & Credit Cards \ Other Short-Term Liability \ Add a New Account).
• Enter your normal Receipts throughout the month against this "Other Short-Term Liability" account.
• Then, enter your credit card bill and select the Other Short-Term Liability account you created for the credit card.

This allows you to tie the credit card statement to your actual receipts and shows your outstanding balance correctly in the GL at any point in time.

ChelseaK

@TinaK Taking accounting initiative in Wave! Love it!