Wow, Cary, now I see you are the author of this plugin :)
I'm glad I can help you back with your own tech ;)



On Wed, Oct 11, 2017 at 10:38 AM, Metin Akat <[email protected]> wrote:

> Hi,
>
> I'd suggest having a sub-account for improvements.
>
> Assets:House:Improvements
>
> While doing renovations, you increase the value of that account. Then if
> you later sell the house, you can work the differences and account for your
> profit/loss
>
> You can even track monthly depreciation if you use something like this:
> https://groups.google.com/forum/#!topic/beancount/Fr4NNT9NBaA
>
> I'm doing exactly that for my car. Here is a direct excerpt from my file:
>
> 2017-04-12 * "The guy who fixes my car" "Change control arms, shock
> absorbers and accessories"
>      Assets:Property:Lexus-RX400h:Parts
>     1147.90 BGN
>      Expenses:Auto:Lexus-RX400h:Maintenance:Labor                  300.00
> BGN
>      Liabilities:Credit-Card
>
> 2017-04-12 * "Control Arms, Shock absorbers and accessories" "Depreciation"
>     amortize_months: 36
>     Expenses:Auto:Lexus-RX400h:Maintenance:Parts   1147.90 BGN
>     Assets:Property:Lexus-RX400h:Parts
>
> 2017-02-01 * "Lexus RX400h" "Depreciation"
>     amortize_months: 24
>     Expenses:Auto:Lexus-RX400h:Depreciation           6500 BGN
>     Assets:Property:Lexus-RX400h
>
> As you can see, I depreciate both the improvements (parts) and the main
> car account. The idea is to depreciate in such a way that the total balance
> of the parent car account will match the price at which I will finally sell
> it. When this happens, I'll come back and fix these depreciation
> transactions retrospectively, so that they match exactly what happened.
>
> I already converted my previous car to this way of accounting and it
> worked wonderfully.
>
> Of course, for a house I'd have a commodity "HOUSE" as discussed earlier,
> but this doesn't really change the whole idea. You can adjust the "house"
> and "improvements" accounts in such a way that best makes sense to you.
> Don't forget that improvements also depreciate over time (as I have shown
> for my car).
>
> I hope this helps.
>
> Best regards,
> Metin
>
>
>
> On Tue, Oct 10, 2017 at 9:34 PM, yegle <[email protected]> wrote:
>
>> When you buy a house
>>
>> 2000-01-01 * "buy a house"
>>     Assets:Bank:Account -100,000 USD
>>     Assets:House 1 HOUSE @100,000 USD
>>
>> When you spend money improve it
>>
>> 2001-01-01 * "remodel"
>>    Assets:Bank:Account -1000 USD
>>    Assets:House 1000 USD
>>
>> In the end when you sell the house
>>
>> 2002-01-01 * "sell"
>>   Assets:House -1 HOUSE @200,000 USD
>>   Assets:House -1000 USD <-- manually specify all the cost you spent on
>> the house so the balance would be 0 after this transaction
>>   Assets:Bank:Account 200,000 USD
>>   Income:House:PL <-- absorb unbalanced numbers here, this is your
>> profit/loss from the buying-selling of the house
>>
>>
>> On Tue, Oct 10, 2017 at 10:23 AM, Cary Kempston <[email protected]>
>> wrote:
>>
>>> Hi,
>>>
>>> I have a question that I haven't seen asked before, and I'm wondering
>>> how best to approach since I'm sure someone's dealt with this before.
>>>
>>> Based on previous posts to the list [1] I track the value of my house
>>> as an asset (e.g. "MAIN-ST-123") and occasionally add price directives
>>> to update the price.  We're planning on doing some major improvements
>>> such as adding air conditioning that will increase the value of the
>>> house.  It's easy to update the price, but what's the best way to
>>> track the cost of the improvement (the other leg of the transaction
>>> where I pay the contractor)?  I'd rather not book it as an Expense
>>> since that will throw my income statement off.  Should it be booked
>>> against an Equity account instead, like this, along with a new price
>>> directive?
>>>
>>> 2017-10-01 * "install air conditioning"
>>>     Assets:Bank:Checking                                   -5,000.00 USD
>>>     Equity:Main-St-123:Capital-Improvements
>>>
>>> The other reason I'd like to track this is that it increases the cost
>>> basis of the house, which I'd like to track for when we sell it.
>>>
>>> Thanks,
>>> Cary
>>>
>>> [1] https://groups.google.com/d/msg/beancount/bw6xa-xa7Kc/Hm-Igmq1CwAJ
>>>
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>>
>>
>> --
>> Yuchen Ying
>> https://about.me/yegle
>>
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