Home› Community Chat› Wave Discussion

Monthly Property Tax

investment_companyinvestment_company Member Posts: 2
Hello, I am new to wave, and new to business. I have an llc, how can I report property tax that I pay monthly? What Accounts or Categories do I need to create? I read that it’s prepaid and I have to do additional entries. But I am actually making payments to the county. they may or may not be prepaid with them, but for me they are deducted from my account every month. All help is appreciated
in Wave Discussion

Comments

  • MikegMikeg Member Posts: 995 ✭✭✭

    @investment_company,
    Is this being done through an escrow account? If so, you would set up a short term asset called Escrow Account. Payments of property tax and insurance would be categorized there. When a payment is released, you would make a journal entry and debit property tax expense and credit the escrow account.

  • investment_companyinvestment_company Member Posts: 2
    Actually, I figured it out. I just created a new expense account called Property Tax, and expensed it that way.

    Thanks Mike!
Sign In or Register to comment.