Reconciling Owner Contributions Funds

 For those located in the Asia-Pacific region, the term "Trust Account" is commonly used, whereas customers in Europe will refer to this as a "Client Account". For a deeper understanding of regional terminology, please visit our Glossary of Regional Terminology.

This article provides a step-by-step guide on how to handle funds from an owner contribution when they have transferred funds to your trust account. By the end of this guide, you'll know how to raise an income invoice and reconcile the funds into the owner's ledger within your Trust Account.

Raising an Income Invoice for Owner Contributions

When a landlord contributes funds to cover expenses, it's essential to accurately record this transaction. Follow these steps to raise an income invoice and ensure the funds are correctly reconciled:

Step-by-Step Process

  1. Navigate to Income & Expenses in your account.
  2. Select the property related to the owner's contribution.
  3. Input the owner's name to associate the contribution with the correct ledger.
  4. Provide a clear description for the transaction that will be visible on the invoice.
  5. Choose the appropriate Chart of Accounts code. Remember to use an equity code that does not attract any GST or other tax implications.
  6. Click Save & Approve to finalize the invoice.

By following these steps, you'll create a transparent record of the owner's contribution, making it easier to manage your Trust Account and maintain accurate financial records.

[Add a screenshot showing how to raise an income invoice for owner contributions]


See these related articles for further assistance:

  • Article 1
  • Article 2

Was this article helpful?