>>>>> On Tue, 08 Feb 2000 21:35:17 -0600, Christopher Browne
>>>>> <[EMAIL PROTECTED]> said:
>> The total amount going into checking is $900, your net income.
>> Your 'income' totals reflects the actual income you are getting and
>> the taxes reflect how much you have spent on taxes so far.
Christopher> Um.
Christopher> Minor clarification...
Christopher> I'd suggest not using the term "net income," as that can
Christopher> confuse things. (There are too many meanings for the
Christopher> word from a tax perspective.)
Christopher> The transaction would be characterized thus:
Christopher> - You have a deposit of $900, which is the amount that
Christopher> initially gets entered in the checking account.
Christopher> - The multi-line display will then need to add another 3
Christopher> items to reflect the incomes and expenses.
Christopher> In "traditional accountant" debit/credit terms, it looks
Christopher> like:
<snip>
Christopher> You may wish to call the $900, as an amount, your "net
Christopher> income."
Christopher> But what it more precisely is happens to be a deposit
Christopher> into the checking account.
Christopher> Calling the $900 an income makes it seem as if it ought
Christopher> to be in an income account, when that is certainly not
Christopher> the case.
That's what was causing me confusion. I had this entire debit/credit
tree written out, trying to decide if account x was an asset or
liability account, so that I would know whether transaction y was a
debit or a credit in that account.
I still haven't figured out how to use our bucket system with this
decidedly accounting approach to home finances.
rob (thankful for an accounting minor _now_!) walker
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