How to correctly transfer rental income from holding account to designated Rental Account.
I am using Quicken HBR, Version R51.12, Build 220.127.116.11 on Windows 10.
I don't know how Quicken handles this situation, just that my experiment did not work, as I did not expect what I am seeing. Evidently I am wrong in the way I handle this rent transaction and I hope someone can set me on the straight road to balanced accounts:
I have a tenant that pays electronically before the rent due date(!) - I know, the problem we all want... But that makes Quicken tracking in the rent tab kinda erratic, since one month shows surplus rental income, and the next month shows very low rental income. I wanted to smooth that out, so I tried an experiment. I asked this tenant to pay their rent into a holding checking account I set up, and then I transferred that payment into the Rental Checking account on the due date for that property. All seemed fine until I recategorized that transferred line from the transfer category [ACCOUNT A] to 'Rental Income:Rent Recieved', whereupon the strange behavior happened. Let me list it out:
1)Rent electronically received into holding account (ACCOUNT A). I categorize it as "Misc." It is cleared by bank (BoA).
2) On due date, I transfer that amount to the rental account (ACCOUNT B). Transfer shows correctly, transfer out of ACCOUNT A and transferred into ACCOUNT B and both lines 'match'. Transaction in Account B is categorized as being a transfer from [ACCOUNT A]. Good so far.
3) I recategorize the ACCOUNT B entry line to "Rental Income:Rent Recieved". The transfer entry in ACCOUNT B shows up correctly, but the transfer transaction in Holding ACCOUNT A disappears completely!
So now Holding ACCOUNT A shows a higher balance than reality (no "xferred out" entry), and the Rental Account (ACCOUNT B) shows a correct balance with the tax category I want.
What underlying Quicken behavior am I missing? How do I make this work? Help...