Record Inheritance

Timbo97

I received money from an inheritance - how should this be recorded; Category? new Account? right now only my cash balance is affected so it's not a transfer.

NotACPA

I'd create a new Income category, with a name of your choosing, and record it as a deposit using that category.

Determining the tax status of that new category is beyond the scope of this forum.  Consult your tax advisor re: the tax status.

Boatnmaniac

That's what I did...created a new income category called "Inheritance".  When I received the money I deposited into an already existing account and used that new category for the deposit transaction.  There's no need to create a new account for it unless you will be holding it in an actual new account at a bank, brokerage, etc.

NotACPA

I'd create a new Income category, with a name of your choosing, and record it as a deposit using that category.

Determining the tax status of that new category is beyond the scope of this forum.  Consult your tax advisor re: the tax status.

Boatnmaniac

That's what I did...created a new income category called "Inheritance".  When I received the money I deposited into an already existing account and used that new category for the deposit transaction.  There's no need to create a new account for it unless you will be holding it in an actual new account at a bank, brokerage, etc.

Timbo97

Thank you

Boatnmaniac

@Timbo97 - You are welcome.  I am sorry to hear of your loss.  Maybe you can take some comfort in knowing that the person who left you the inheritance thought very well of you and leaving you that inheritance was that person's way of telling you that.