How do I categorize certain kinds of money movement transactions?


I have used Quicken for 30+ years to manage my personal checking account and interface with Turbo Tax. Works beautifully.

I just opened a retail insurance agency from home, and had to open 2 Business Checking accounts: 1) A “Trust” account and 2) An “Operating “ account. The Trust account is required to be used as a place to “hold” money that has come in from a customer, but that is being held in trust, by me, for the insurance company. It’s not really considered “income” since it’s not mine. I have to figure out a way to “categorize” the money that comes into that Trust Account.

As an example, I normally only collect a 20% “Down Payment” that is required to start a “Premium Finance Agreement” from a third party, on behalf of the insurance company that is providing the coverage. I am allowed to “withhold” from the insurance company, my entire annual commission for the policy, from the 20% Down Payment that I collected and deposited into my Trust Account, which is normally 10%. What I need to do at that point is to transfer my 10% commission from the Trust Account to my Operating Account. From the Operating Account I will transfer my “Owners Draw” every other week into my Personal Account, as well as pay other bills (from the Operating Account) that are directly related to operating the business.

At that point the 10% IS Income to me. What I have been doing within Quicken is I have been choosing “transfer” from the Trust account to the Operating account, but doing it that way there is no categorization going on. How can I fix this? Would it require two separate transactions vs a simple transfer of funds between accounts?

Thank you very much. Need serious help!


This discussion has been closed.