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Handling Shared Bills (like at restaurants)

I'm trying to figure out the best way to handle the situation where I pay the full restaurant bill on my credit card and my friends give me cash. Any way I enter it, it would seem to screw up my budgeting/reporting.

I saw someone on here state that they used the REFUND function, but then I have an entry on my credit card that didn't really happen and he balance won't be right, until I make a payment to my credit card of the cash amount. Then, if I do that, I'll have an entry in one of my other accounts that won't make sense! The only solution seems to be to walk into a bank and put that cash down on my credit card account!  Ugh... Am I being to anal retentive? Probably.

E.g. Bill is $130, my friends give me $100. I don't want my eating out budget to take a hit of $130. I also don't want the $100 to show up as "income" in my final reporting.

I think that I MAY have come up with something. I'm going to try it for a bit and see how it goes.

I've set up two more categories called, "Cash for Credit." One is an expense item and one is an income item.  Then, I entered the restaurant bill as a split transaction, using the Cash for Credit expense for the money that the friends gave me ($100).  Then I entered a Cash for Credit INCOME transaction for the $100 into my "Cash on Hand" account.  I still have the issue of the $100 showing up as income, but I suppose I can exclude the category on any of my income reporting.

We'll see how it goes!

I think what you're asking or wanting to do is pretty pointless. Let me use your example to make myself clear enough. If the final bill is $130, your friends give you $100 in cash and you use your CC to pay the whole bill ($130), at the end of the month and at the summary of that CC, you will see that the expense is discriminated as $130, not $30 (which is what you actually used since your friends gave you $100). Duh, right? So, which is the simple "fix"? When your friends give you those $100, you create an income transaction within the app of that amount and link it to your "cash" or "money in hand" account. You can then créate an expense transaction of $150 and assossiate it with the CC account. At the end of the month, when you habe to pay the summary of the CC, you make a transaction from your "cash" or "money in hand" account to your Bank Account (if you're going to make the payment that way) or viceversa if you're going to make the payment with physical money. Was that clear? Hope I could help you :).
At almost the end when I say "you make a transaction" , I meant transfer. Im sorry
Hi Blair,

I think REFUND it still the best way to handle this. What have slipped out of your attention, is that when refunding you can specify a DIFFERENT account for refund.

So here is an example.

1. I went to restaurant with my friends and the bill was for 100.00 GBP, which I paid with my CC
2. My personal bill was only for 30.00 GBP, so my friends chipped in and returned me 70.00 GBP
3. I go to my CC, record an expense transaction for 100.00 amount (since in the end of the month, this is the amount you will see on your credit card statement, right)?
4. Then I create a REFUND transaction for this expense, but instead of refunding it back to CC account, I change it to Cash, like this:


5. What's important then, is to set your Budget to monitor All accounts, not just credit account and a correct Dining Out category (but I think you already did that).

6. So after I refunded 70.00 to my Cash account, my Dining Out Budget will still show that I used only 30.00 for that Dinner.


So as the report will (but only in case you will be generating Categories report for ALL accounts). In other words if you generate Categories report for only Credit Account and only Dining Out category it will show you, that you used 100.00 on your Credit Card on that dinner with friends, which eventually is still correct in case you are generating a report just for your Credit Card payments..

I hope this was helpful.

1 person likes this

This is genius, thanks. 

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