This is an accounting question and is a bit more than generic, you’d need to ask a local CPA.
Some questions to clear up before you ask them: 1. Do you record an asset to reflect the pending claim until paid? (also, what happens if it isn’t paid? see #3) 2. Or is this just a passthru? (like sales/VAT, the money goes through your hands, but it isn’t part of business operations) 3. How is the vendor involved? Do you have a liability to them (bill or otherwise) that the insurance payout satisfies? (hence, per #1, do you still owe them if the claim isn’t paid by the insurance company?) Getting those straight will help you determine how to proceed. Not all transactions involving Vendors/Customers (creditors/borrowers) need to involve either Expense or Income accounts. They might only affect Liabilities and/or Assets. Once you have a clear picture of the full nature of the transaction(s) involved and official guidance, then we can help, if you need, to set up the accounts and/or structure the transactions. Regards, Adrien > On Feb 11, 2020 w7d42, at 10:47 AM, Fran_3 via gnucash-user > <[email protected]> wrote: > > When an insurance claim occurs the insurance pays us and we pay the vendor. > How to we charge the deposit from the insurance company and the payment to > the vendor? > I considered setting up an Expense Account named Insurance Transactions or > Insured Events or whatever... > Then allocating the insurance payment to that "Expense" account > and then allocating the vendor payment to the same "Expense" account > Or would you suggest just using the Insurance Payments Account where you > record payments for the policy? > How would you guys handle such an instance? > Thanks for any help. _______________________________________________ gnucash-user mailing list [email protected] To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user If you are using Nabble or Gmane, please see https://wiki.gnucash.org/wiki/Mailing_Lists for more information. ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
