How to post a credit Card Payment

Zentiger

After posting credit card purchases as expenses, how should one post the payment of the card balance.....without doubling the expenditure? Example: I log $100 in individual credit card expenses and Pay off the credit card $100. I see a debit from my bank for $100 for paying the card, but I don't want to show an additional $100 in expenses. Stupid question I guess. I have been just labeling Payment CREDIT CARD like a transfer.

Frankx

Hi @Zentiger,

So, if you've been "posting credit card purchases as expenses" you not doubt have an account (presumable a credit card account - lets call it a Visa Card account) that now contains a balance that is the total of all those purchases.  When you make a payment on that credit card (i.e. when you make the monthly payment due for that credit card account) from your bank account, in the Category" field you should be posting that credit card account name in square brackets - like this [ABC Bank Visa Card].  And this transaction will reduce that credit card account's balance by the amount of the payment.  Does that make sense?

It sounds like you may be doing it this way, but I am not sure.  Let me know if you have any followups.

Frankx

Bob_L

I may be wrong, but it sounds to me like the op does NOT have a credit card account, and instead has a credit card expense category? If so a credit card account needs to be set up where individual transactions can then be charged to the appropriate expense category and payments booked as transfers to the credit card account.

volvogirl

So where and how have you been entering the individual purchases?  In a separate credit card Account register?  Then if you are entering the payment in your checking account as a Transfer to the credit card account then that is right.  Are you seeing double expenses somewhere?  Where?

Frankx

Hi @Zentiger,

So, if you've been "posting credit card purchases as expenses" you not doubt have an account (presumable a credit card account - lets call it a Visa Card account) that now contains a balance that is the total of all those purchases.  When you make a payment on that credit card (i.e. when you make the monthly payment due for that credit card account) from your bank account, in the Category" field you should be posting that credit card account name in square brackets - like this [ABC Bank Visa Card].  And this transaction will reduce that credit card account's balance by the amount of the payment.  Does that make sense?

It sounds like you may be doing it this way, but I am not sure.  Let me know if you have any followups.

Frankx

Bob_L

I may be wrong, but it sounds to me like the op does NOT have a credit card account, and instead has a credit card expense category? If so a credit card account needs to be set up where individual transactions can then be charged to the appropriate expense category and payments booked as transfers to the credit card account.

volvogirl

So where and how have you been entering the individual purchases?  In a separate credit card Account register?  Then if you are entering the payment in your checking account as a Transfer to the credit card account then that is right.  Are you seeing double expenses somewhere?  Where?

Zentiger

Thanks. I will look into this. Appreciate the feedback.