@@richardbudniewski6294 Hi! We just did a check…seems to be working. Can you try this direct link: www.incomedigs.com/offers/BnLWnQsj?coupon_code=RUclips50 or this one for the Multi-Pay option: www.incomedigs.com/offers/wVxaYGeR?coupon_code=RUclips50
@@richardbudniewski6294 Hi! The coupon has also been made available for the Multi-Pay option: www.incomedigs.com/offers/wVxaYGeR?coupon_code=RUclips50 OR single Pay: www.incomedigs.com/offers/BnLWnQsj?coupon_code=RUclips50
This is a great video. Thank you for sharing. I definitely want to know how to get the Business tab up in my QuickBooks as I run 3 businesses with one account
Yes! I think you should keep any expenses specific to a property to COGS! We go through this in great detail and thoroughness in our end to end course: Real Estate Accounting Bootcamp bit.ly/3xaBohM ($50 off w/ code RUclips50)
I have watched your flips video - how would you combine that with this for land we are holding for over a year (we usually just flip) - are you putting it as an asset then when you sell you are doing the flips accounting for the project with the 1, 2, 3, 4, 5, 6 (purchase price, buying costs, etc) after you sell it?
Hi! thanks for watching! For flips, I would put everything together...whether on the P&L or balance sheet...no need to separate land/ building. We have a flip deep dive where we go into this in great detail: Real Estate Accounting Bootcamp bit.ly/3xaBohM ($50 off w/ code RUclips50)
I have two questions. 1. I'm using funds from my MMA to fund the purchase and expenses associated with our first flip. The plan is to put all the money back once the house is sold. I'm also using my personal checking and CC for some expenses. How do i capture this? I want to keep the funds deposited from the MMA separate from my personal checking so i know exactly how much i need to put back. 2. Do I use land and building for flips or for properties that I don't plan on holding for long?
Hi.. .thanks for watching...and great questions. For starters, we cover situations like these in great detail in our end to end course, Real Estate Accounting Bootcamp: bit.ly/3xaBohM 1. I would enter all project-related purchases to a couple "personal bank credit cards". For example: "Personal - MMA" and "Personal CC". This will allow you to quickly add the transactions. With every transaction, you will increase the balance of these "credit cards". Then, if/ when you move money out of the business back to your MMA/ to you personally (after you sell), you can offset these amounts to bring them back to 0...the net would be "owner's equity" 2. I typically put my flips on the P&L to start...that means COGS. You could then potentially transfer the to the balance sheet. In this case it would be "Other Assets - Flips in Progress"
Thanks much for this video which was very helpful as I am about to record a cash purchase of land made by my homeowners association. I get all of the balance sheet guidance. However, for a journal entry, which will hit the bank account register in the Chart of Accounts, how is the payment actually documented. How do you include the information typically included when expense/check is written which includes the payee, check/payment reference number, etc.? Thanks for your clarification of this question. Dave
Hi! Thanks for watching! You would include the "Payee" in the name column of the journal entry. Unfortunately you would not be able to include the check # (You could include in description...but not as a standalone field).
Hello. Good videos. If I had purchased properties in 2018, would I have to enter all the data as far as principal payment, interest, escrow in, escrow out for each year? Seems like that would be quite a task.
Hey! Thanks for watching! Absolutely not...i agree! Way too much work. Instead, pick a point in time to establish "Opening Balances". We go through this in great detail in our end to end course: Real Estate Accounting Bootcamp. Definitely check it out! www.incomedigs.com/reab (CODE RUclips50 for $50 off)
Why do we debit the county tax? I'm from Indiana and when i have closed on properties in the past I have always received a credit from the seller for taxes. I know that we pay our taxes in the arrears, so in 2023 we pay taxes for 2022. Is this why it is a credit for me and not a debit? Or what is the reason for recording it as a debit in the books?
Video is wrong. Buyer is paying seller 1775.45 for seller's prepaid taxes (likely for 6 months). Correct way is for buyer to debit Prepaid taxes (asset account) 1775.45, credit cash 1775.45. In 6 months when tax bill is due debit tax expense 1775.45, credit prepaid taxes 1775.45. OR debit tax expense 1775.45, credit cash 1775.45 and Prepaid tax stays on balance sheet as an asset (like a deposit made to an escrow account) until house is sold .
@@terrysteven3528 Thanks Terry....the above is accurate assuming the tax is not yet due. In my video..the tax was indeed due...and therefore the expense was debited. Depending on the situation...you would either hold the tax bill on your balance sheet...or record the expense. Thank you!
Yes! depends on whether the tax bill is actually due now at the time of closing...or due later. In this example, the tax bill was due. The property taxes were actually paid at the time of closing. This may or may not be the case for every closing. Terry's answer below is correct for a tax bill that is due in the future.
Hi! Tags will not work...the main reason is that they are not available on journal entries and other transaction types. An alternative to Classes would be Customers.
HI! @@Incomedigs I'm using QBo essentials. I only use customers when i enter bank deposits for 2 separate properties.. But how about in expense? do i need to set up expenses for each property?
@@maryrosspido6919 QBO will not let you add a customer to an "expense" transaction w/ QBO essentials. To do this you would need to have QBO Pro or beyond. You could use a journal entry for each transaction...but that gets rather tedious.
Hi! Thanks for watching. You would Credit a "Partner Investment" Equity account. You can do this before/ during the closing. If before, simply record a ddeposit into your bank account and categorize as "Partner Investment". If it happens at closing (The investor brings cash to closing)...you would credit the Partner investment account.
Check out my End-to-End Quickbooks Training. www.incomedigs.com/reab ($50 off w/ code RUclips50)
Code doesnt work
@@richardbudniewski6294 Hi! We just did a check…seems to be working. Can you try this direct link: www.incomedigs.com/offers/BnLWnQsj?coupon_code=RUclips50
or this one for the Multi-Pay option: www.incomedigs.com/offers/wVxaYGeR?coupon_code=RUclips50
@@richardbudniewski6294 Hi! The coupon has also been made available for the Multi-Pay option: www.incomedigs.com/offers/wVxaYGeR?coupon_code=RUclips50
OR single Pay: www.incomedigs.com/offers/BnLWnQsj?coupon_code=RUclips50
@Incomedigs all good, I bought last night anyways. Just wanted you to be aware in case others are trying.
This is a great video. Thank you for sharing. I definitely want to know how to get the Business tab up in my QuickBooks as I run 3 businesses with one account
Yes! Check out this video:
ruclips.net/video/u8ml1QxvOF0/видео.html
Thanks I here Follow your guide and entry on my books same
Great!
why aren't we using the expense account for taxes & licenses? We should have a COGS account for property tax too?
Yes! I think you should keep any expenses specific to a property to COGS! We go through this in great detail and thoroughness in our end to end course: Real Estate Accounting Bootcamp bit.ly/3xaBohM ($50 off w/ code RUclips50)
I have watched your flips video - how would you combine that with this for land we are holding for over a year (we usually just flip) - are you putting it as an asset then when you sell you are doing the flips accounting for the project with the 1, 2, 3, 4, 5, 6 (purchase price, buying costs, etc) after you sell it?
Hi! thanks for watching! For flips, I would put everything together...whether on the P&L or balance sheet...no need to separate land/ building. We have a flip deep dive where we go into this in great detail: Real Estate Accounting Bootcamp bit.ly/3xaBohM ($50 off w/ code RUclips50)
I have two questions.
1. I'm using funds from my MMA to fund the purchase and expenses associated with our first flip. The plan is to put all the money back once the house is sold. I'm also using my personal checking and CC for some expenses. How do i capture this? I want to keep the funds deposited from the MMA separate from my personal checking so i know exactly how much i need to put back.
2. Do I use land and building for flips or for properties that I don't plan on holding for long?
Hi.. .thanks for watching...and great questions. For starters, we cover situations like these in great detail in our end to end course, Real Estate Accounting Bootcamp: bit.ly/3xaBohM
1. I would enter all project-related purchases to a couple "personal bank credit cards". For example: "Personal - MMA" and "Personal CC". This will allow you to quickly add the transactions. With every transaction, you will increase the balance of these "credit cards". Then, if/ when you move money out of the business back to your MMA/ to you personally (after you sell), you can offset these amounts to bring them back to 0...the net would be "owner's equity"
2. I typically put my flips on the P&L to start...that means COGS. You could then potentially transfer the to the balance sheet. In this case it would be "Other Assets - Flips in Progress"
Thanks much for this video which was very helpful as I am about to record a cash purchase of land made by my homeowners association. I get all of the balance sheet guidance. However, for a journal entry, which will hit the bank account register in the Chart of Accounts, how is the payment actually documented. How do you include the information typically included when expense/check is written which includes the payee, check/payment reference number, etc.? Thanks for your clarification of this question. Dave
Hi! Thanks for watching! You would include the "Payee" in the name column of the journal entry. Unfortunately you would not be able to include the check # (You could include in description...but not as a standalone field).
What about a home I'm personally buying with an owner to owner contract? No loans, just monthly payments and a downpayment
Hello. Good videos. If I had purchased properties in 2018, would I have to enter all the data as far as principal payment, interest, escrow in, escrow out for each year? Seems like that would be quite a task.
Hey! Thanks for watching! Absolutely not...i agree! Way too much work. Instead, pick a point in time to establish "Opening Balances". We go through this in great detail in our end to end course: Real Estate Accounting Bootcamp. Definitely check it out! www.incomedigs.com/reab (CODE RUclips50 for $50 off)
Why do we debit the county tax? I'm from Indiana and when i have closed on properties in the past I have always received a credit from the seller for taxes. I know that we pay our taxes in the arrears, so in 2023 we pay taxes for 2022. Is this why it is a credit for me and not a debit? Or what is the reason for recording it as a debit in the books?
Video is wrong. Buyer is paying seller 1775.45 for seller's prepaid taxes (likely for 6 months). Correct way is for buyer to debit Prepaid taxes (asset account) 1775.45, credit cash 1775.45. In 6 months when tax bill is due debit tax expense 1775.45, credit prepaid taxes 1775.45. OR debit tax expense 1775.45, credit cash 1775.45 and Prepaid tax stays on balance sheet as an asset (like a deposit made to an escrow account) until house is sold .
@@terrysteven3528 Thanks Terry....the above is accurate assuming the tax is not yet due. In my video..the tax was indeed due...and therefore the expense was debited. Depending on the situation...you would either hold the tax bill on your balance sheet...or record the expense.
Thank you!
Yes! depends on whether the tax bill is actually due now at the time of closing...or due later. In this example, the tax bill was due. The property taxes were actually paid at the time of closing. This may or may not be the case for every closing. Terry's answer below is correct for a tax bill that is due in the future.
What if my client doesn’t have the subscription that includes classes? Could we use tags instead?
Hi! Tags will not work...the main reason is that they are not available on journal entries and other transaction types. An alternative to Classes would be Customers.
@@Incomedigs Got it thanks!
HI! @@Incomedigs I'm using QBo essentials. I only use customers when i enter bank deposits for 2 separate properties.. But how about in expense? do i need to set up expenses for each property?
@@maryrosspido6919 QBO will not let you add a customer to an "expense" transaction w/ QBO essentials. To do this you would need to have QBO Pro or beyond. You could use a journal entry for each transaction...but that gets rather tedious.
Are there videos for Quickbooks Desktop Pro?
What would be the journal entry if Investor invest the money to buy a property instead i am having a cash to buy please. Cash Dr - Investor A Cr ?.
Hi! Thanks for watching. You would Credit a "Partner Investment" Equity account. You can do this before/ during the closing. If before, simply record a ddeposit into your bank account and categorize as "Partner Investment". If it happens at closing (The investor brings cash to closing)...you would credit the Partner investment account.
thank you
@@Incomedigs