Non-operating expense

K_J_1

I need to create a non-operating expense account to book investment management fees. I do not see an option to create this type of account. Any ideas?

AlexL

Hey @K_J_1 , can you give a more in-depth explanation of how you're looking to use this account? By knowing the real world scenario, I may be able to offer you a good alternative.

K_J_1

Hi, thanks for inquiring. Our company owns an investment unrelated to our actual consulting business. This investment requires payment of quarterly management fees until it matures at some point in the future. I obviously need to pay and track these expenses, but they are not operating expenses and should not be included in operations or reported to our CPA as such. When I generate a report from Wave for the CPA I have found no way, other than marked up notes or other communication, to indicate that these expenses are not operational and are not deductible for the business. I would have expected a way to create expense accounts under a non-operating category (non-op expenses such as interest expense are quite common), or even an extraordinary expense category. Any advice? Thanks.

Madeja

I'm also trying to create a non-operating expense account "Loss on Disposal" for selling company assets such as equipment, machines, etc, but the option for non-operating expense doesn't seem to be available?

I added an account "Gain on Disposal" under Other Income for assets sold with a profit.

Barsin

Hey @K_J_1 @Madeja

Thanks for additional context here. Unfortunately our system does not allow you to create additional non-operating expense accounts at this time, or subaccount categories. My apologies for this.

I also appreciate you sharing the workaround for adding your notes to help your accountant or the CPA know that the expenses are not deductible.