How do I categorize a monthly payment to my PayPal Smart Connect credit card from my PayPal balance?
I lately have made my minimum payments on my PayPal credit card from my PayPal account where I receive payments for freelance work. How do I categorize those payments? Thanks ahead of time.
Why is this different than any other CC payment? Two separate accounts - PP cash and PP credit card. Transfer from cash to CC. Category in cash side transaction is [PP credit card acct name].1
You categorize those payments exactly as you would if the payment was coming from your checking Account, i.e., it's a "transfer" from the PayPal Account to the PayPal credit card Account. It just happens that you have some money sitting in a PayPal Account as opposed to a Checking Account, but the basic accounting is exactly the same: you use some of that money in the PayPal Account to pay down the liability you've accrued on the PayPal credit card.
Thanks so much for the help.0