How do I categorize a Balance Transaction so it doesn't show up as an expense?

Paddy

How do I categorize a Balance Transaction so it doesn't show up as an expense?

Chris_QPW

The proper way to do a balance adjustment is to use a self-referencing transfer, which is a syntax to tell Quicken not to change any other account balance or category, just change the balance of this given account (money comes/goes from outside of Quicken).

If you are in the account Checking, the category would be [Checking].

Frankx

Hi @Paddy,

Okay, so it looks like you made an adjusting entry in order to "balance" an account (probably as part of your reconciling an account).  Since you don't actually know the true category of the transaction, whatever category you use will actually be the "wrong" category technically.  But to keep from seeing that reminder, I suggest that you use the standard category called "Misc." and post it (and any future balance adjustments) to that category.

Let me know if you have any followups.

Frankx

Paddy

How do I categorize a Balance Transaction so it doesn't show up as an expense? > @Chris_QPW said:
> The proper way to do a balance adjustment is to use a self-referencing transfer, which is a syntax to tell Quicken not to change any other account balance or category, just change the balance of this given account (money comes/goes from outside of Quicken).
>
> If you are in the account Checking, the category would be [Checking].

That would be considered a transfer correct? It says "you are recording a transfer back into them same account." The reason I am trying to figure this out so it doesn't show up in spending for the month.

Paddy

> @Frankx said:
> Hi @Paddy,
>
> Okay, so it looks like you made an adjusting entry in order to "balance" an account (probably as part of your reconciling an account).  Since you don't actually know the true category of the transaction, whatever category you use will actually be the "wrong" category technically.  But to keep from seeing that reminder, I suggest that you use the standard category called "Misc." and post it (and any future balance adjustments) to that category.
>
> Let me know if you have any followups.
>
> Frankx

I don't want to do that because it shows up on spending for the month.

Chris_QPW

Paddy said:

How do I categorize a Balance Transaction so it doesn't show up as an expense? > @Chris_QPW said:
> The proper way to do a balance adjustment is to use a self-referencing transfer, which is a syntax to tell Quicken not to change any other account balance or category, just change the balance of this given account (money comes/goes from outside of Quicken).
>
> If you are in the account Checking, the category would be [Checking].

That would be considered a transfer correct? It says "you are recording a transfer back into them same account." The reason I am trying to figure this out so it doesn't show up in spending for the month.

Yes, it is considered a transfer, and you will get that warning.

The truth is this is "convoluted/overloaded logic".

Because of standard accounting you can only have either a category or a transfer, not both.
The Quicken developers long ago decided that they would combine these two fields (category and transfer account).  It saves space in the width of the register, and forces the fact that you can only have one or the other.

This causes some quirks in itself, but then they decided to "extend" this to add in balance adjustments.

In truth, it makes no sense at all to transfer money from account A to account A.

But at the same time they need some way to record balance adjustments.

So, they just decided this otherwise "illegal syntax" as a way to code a balance adjustment.