On Sat, May 17, 2014 at 9:04 PM, Martin Blais <[email protected]> wrote:

> On Sat, May 17, 2014 at 7:06 PM, Martin Michlmayr <[email protected]> wrote:
>
>>
>> >   Income:US:Google:Deductions:Medical                  XXXX.XX USD
>> >   Income:US:Google:Deductions:TransitPreTax            XXXX.XX USD
>> >   Income:US:Google:Deductions:Vision                   XXXX.XX USD
>>
>> Are you should these shouldn't be Expense accounts? e.g.
>> Expenses:Health:Insurance
>>
>
> ... and Dental.
>
> Hmmm that's a good point, I'll review this indeed...
> It does bother me that those have generally positives amounts, and points
> to your comment likely being right.
> I'll see why they call these deductions.
>

Why yes, of course, you are right, these are the deductions from my
paycheck, expenses paid through my salary.
I'm flabbergasted I was still booking this wrong.
They are, indeed, to be dealt with as expenses.
I've revised how I do this, both for these expenses, and for per-year
booking of taxes, and it now looks like this:

2014-05-09 * "GOOGLE INC       PAYROLL / GOOGLE INC       PAYROLL"
^google-XXXXXXX
  Assets:US:TD:Checking                                     XXXX.XX USD
  Income:US:Google:GroupTermLife                           -XXXX.XX USD
  Income:US:Google:Salary                                  -XXXX.XX USD
  Expenses:Health:Dental:Insurance:Google                   XXXX.XX USD
  Expenses:Health:Life:GroupTermLife:Google                 XXXX.XX USD
  Expenses:Communications:Internet:Reimbursement:Google    -XXXX.XX USD
  Expenses:Health:Medical:Insurance:Google                  XXXX.XX USD
  Expenses:Transportation:PublicTrans:TransitPreTax         XXXX.XX USD
  Expenses:Health:Vision:Insurance:Google                   XXXX.XX USD
  Expenses:Taxes:US:TY2014:Medicare:Google                  XXXX.XX USD
  Expenses:Taxes:US:TY2014:Federal:Google                   XXXX.XX USD
  Expenses:Taxes:US:TY2014:City:Google                      XXXX.XX USD
  Expenses:Taxes:US:TY2014:SDI:Google                       XXXX.XX USD
  Expenses:Taxes:US:TY2014:State:Google                     XXXX.XX USD
  Expenses:Taxes:US:TY2014:SocSec:Google                    XXXX.XX USD
  Assets:US:Google:Vacation                                    X.XX VACHR
  Income:US:Google:Vacation                                   -X.XX VACHR

It does not look as "regular" but it is more correct. All my health
expenses are now grouped together under Expenses:Health:*, which
integrates both my health insurance costs and the amounts I pay
out-of-pocket (e.g., copays, deductibles, drugs/pharmacy). I don't
know why I hadn't done this before, this is so much better. Note that
the internet reimbursement is booked by the payroll company as a
negative deduction so I'm choosing to book it as reducing my ISP
internet expense as well... I could have chosen to view it as an
income account but I prefer not to, because it always just reduces the
expense.

Also, booking the tax accounts this way matches more clearly how one
organizes accounts to obtain a "taxes paid / total income" ratio for
that year. I can just sum up Expenses:Taxes:US:TY2014;* to find out
how much in taxes was paid *for that year*. (For those who might be
unclear about why this is needed, 2014 taxation year expenses may be
incurred in 2015, first at the date of filing taxes, and later on
if/when I receive an adjustment/correction from the government for
that year, so it's impossible to use the transaction dates for this
purpose. Corrections may appear years after filing too. Note that all
tax communications tend to have a taxation year attached to them, so
it's easy to book the amount in the right year.)

This is an example where the "close" directive comes in handy: after
filing taxes and receiving confirmation from the government, I can
just choose to mark the accounts for that taxation year as closed, and
they will not show up in the reports for years beyond the close date.

Now the truly, wonderfully great thing is how much *power* we have
using our little text files. It's exhilarating. I can write a little
script that renames my accounts automatically - I use xx-rename - look
at it in visual diff, run bean-web on it, look at the reports, decide
if I like it or not, revert and retry if I screwed up until I get it
right. If I don't like it, "hg revert" and I'm back where I was. If I
like it, "hg commit" and move on. Global renames, even of transactions
far in the past, are not a problem. Text file power! The knowledge you
acquire while learning how to do your bookkeeping right impacts your
entire past transaction history, you can fix everything. Knowing that
I will never lose any of this data to a software update or a company
going EOL'ing their product and that I am able to completely reshape
my history in the best way possible is something I could never give up
now. Try doing that in any of the bookkeeping software that provide
GUI interfaces.

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