Tracking owner's expenses

Using personal funds to pay for company expenses. If an owner or a partner purchases services or supplies for the company and uses personal funds to pay for these items or services, he/she can account for the expense by increasing his/her share of owner's equity.

If you need a purchase order or if the owner purchases items that are inventoried, use To pay a vendor using an owner's personal funds

Using company funds to pay for personal expenses. If an owner or a partner uses a company check or petty cash to pay for personal expenses, he/she can account for the expense by decreasing his/her share of owner's equity.

Step by step