On Apr 4, 2009, at 3:00 PM, Lance wrote:

> How do others use the various transaction statuses?
>
> This is my understanding of what they should mean, but MoneyWell seems
> to interpret these slightly differently:
>
> Open: a manually entered transaction that has physically taken place
> but not yet posted to your account (
> Cleared: A transaction that has posted to your account but not yet
> been reconciled
> Reconciled: A cleared transaction you have reconciled with your
> statement at the end of the month
> Pending: A transaction you plan to make, but has not physically taken
> place yet
>
Lance,

This is pretty much correct. Cleared transactions are usually set by  
direct downloads and imports.

> Here is where MoneyWell seems to have a different intepretation than
> me:
>
> 1) It seems "Open" transactions are included in the daily balance
> shown at the bottom of the window. I would expect these to be excluded
> so that this balance would match up with the daily balance physically
> in my bank account. Alternatively, MoneyWell could report a fourth
> balance: the "cleared" balance, but does not.
>
You need open transactions to be counted because before your account  
is reconciled, you need to know that you've already spent the money  
and it's out of your account.

> 2) "Cleared" transactions have a text box where you can enter the date
> the transaction cleared, but the original date is still used in the
> transaction listing and for the purpose of calculating daily balances.
> It seems like there should actually be 2 date columns: one for
> transaction date (used for bucket balances and tracking purposes), and
> one for posted date (used for account balances and reconciling).
>
The reason your transaction date is used is because you need to  
consider this amount out of your account from the moment you write a  
check or, again, you could double-spend it.

> 3) "Pending" transactions are included in the daily balance shown at
> the bottom of the window once their date is in the past, but they do
> not seem to ever affect the balances listed next to the account names
> in the upper left of the window. This seems inconsistent.
>
The account balances in the upper left will never include pending  
transactions because they are not real until you tell MoneyWell that  
they are current.

> As for workarounds, here is what I've figured out so far:
>
> For #1, if you ignore the "Cleared" status and mark anything that has
> posted to your account as "Reconciled" you can now use the reconciled
> balance at the bottom of the window to compare to your physical
> account balance. But now the "Cleared" status seems completely
> pointless. I'm not seeing how the daily balance currently displayed is
> useful to anyone unless you never have open transactions.
>
As I stated, cleared is useful for downloads and imports so you know  
that a transaction has "cleared" your account. Once you reconcile it,  
you are confirming that the transaction in MoneyWell matches your bank  
statement.

> For #2, when I have an "Open" transaction that has finally posted, I
> change the date to be the cleared date so the balances will match.
> But, since credit card purchases often post a few days after the
> actual transaction, this has the unfortunate side effect of moving
> many of my purchases near the end of the month into the next month.
> This makes trying to see how well I followed my spending plan
> difficult. I've also had to resort to using the Memo field to preserve
> the original transaction date in case I want to look back on it later.
>
I prefer to keep their transaction date the same since it tells me  
when the transaction occurred. Many transactions clear later that they  
happen but I still want my account to show that the money is used as  
of that date. I don't believe Quicken does it any differently.

> For #3, this happens frequently for scheduled transactions I've set up
> where the bill doesn't get debited from my account on the same day
> every month. I end up manually changing the transaction day to bump it
> ahead a few day in the future until the transaction finally comes
> through and posts to my account. This seems unnecessary since I've
> marked the transaction as "Pending" - the date shouldn't matter,
> right?
>
The daily balance at the bottom of the window is reporting the  
projected amount for the date of the transaction.

>
> These workarounds seem pretty ugly so I'm wondering if I am
> misunderstanding how these statuses should be used. I found an older
> thread from a year ago that seemed to suggest Kevin was considering
> fixing some of these things, but I couldn't find any updates since
> then:
> http://groups.google.com/group/no-thirst-software/browse_thread/thread/e5a40e9e58663bce/1934885729b15353?hl=en&lnk=gst&q=open+cleared+balance#1934885729b15353
>
> Any feedback is appreciated.


Let me know if my answers don't help please.

Peace,

Kevin Hoctor
[email protected]
No Thirst Software LLC
http://nothirst.com
http://kevinhoctor.blogspot.com


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