On Mon, Jan 22, 2018 at 11:20 AM, Dániel Fancsali <[email protected]> wrote:
> Greetings, > > On one hand, you are absolutely right. Even if I buy something from the > US, I'll end up paying in my local currency. (Including paying any > taxes/duties and banking fees too) > > However, if you have ever lived abroad or moved across country borders, > you'll most probably have holdings in more than one currencies, and – in > the case of the EU for example – you'll pay taxes locally; as in where the > money is. So essentially you have several parallel ledgers. In such cases, > it's super useful, that everything is done in the appropriate currency, and > only converted to your chosen default whenever explicitly requested. (Thus > I'll see the actual balances OR the value it represents at a certain moment > in my day-to-day currency) > > I was referring to this in my previous message. And the fact, that all the > other systems I've tried, made you think the other way around. > > Greetings Grinning - - - as I have both lived and studied in other countries (yes - - - plural) I have run into this a wee bit. My solution for myself is probably not at all elegant but its how I am doing things and, I think, is not too painful. some.date Business selling widgets # booked as 54.23 currency value Expense: item name: item gifi code $ 23.57 Expense: same as previous but different $ 45.89 Asset: particular payment account: item gifi code $ 69.46 What this means is that on my invoice (when I enter my costs) there were 2 items - - - their value in the 'other currency' is listed as if it were in my 'default' currency. Then when I get my credit card statement I see and exchange rate that was used for that particular transaction. That 'rate' is entered in the 'booked as' phrase as the number. The exchange rate is used as a multiplier to change the values in the 'other currency' to my 'default' currency. To date I haven't ever used this as two separate statements just updating the one statement so that the values are reflected in my 'default' currency. I have been thinking of rolling an awk (or some such) program to automate this but for now the calculator and I make quite short work of things. The 'awk' program would be useful for when I get someone else to do my record keeping that isn't quite as facile at the math and would rather just do things rather than also know about the whys behind the doing. This work flow enables me to use any number of different currencies and still have a 'default' one which is a requirement, in a legal sense, in my taxation jurisdiction and it also enables me to track things, which I haven't included here, like the cost of currency transactions. Regards Dee -- --- You received this message because you are subscribed to the Google Groups "Ledger" group. To unsubscribe from this group and stop receiving emails from it, send an email to [email protected]. For more options, visit https://groups.google.com/d/optout.
