How to sort deposits for next years bookings

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Karen&John
Posts: 59
Joined: Sun Aug 13, 2017 6:50 pm
Location: Norfolk

How to sort deposits for next years bookings

Post by Karen&John »

Hi,

We are now marketing ourselves (were with agent) and we are
just starting to take (a few) bookings for next year.

Do we put the deposits for next years bookings in this years accounts?

Sounds simple, but not sure how to sort it?

Best,
Karen & John
Joanna
Posts: 1091
Joined: Thu Aug 23, 2007 3:12 pm
Location: Chester, North West England & Sidmouth, East Devon
Contact:

Post by Joanna »

I've always done my accounts in Excel on the basis of when I actually receive/spend the money. So if I get a deposit this year it goes in this years accounts and the balance could be in next year's. I found it was too complicated to try and do it any other way. Likewise, if I pay for the laundry from a late March booking in early April then it goes in the next financial year.

I also use PIMS to manage my bookings which allows me to see the actual value of bookings in any particular year regardless of when the payments came in.
Jo

Joint owner of Baker's Cottage in Chester & Chandler's Cottage in Sidmouth
newtimber
Posts: 1945
Joined: Sat Nov 24, 2012 5:57 pm
Location: Brighton
Contact:

Post by newtimber »

The cash basis - counting the dates when money is received and paid out - is a lot easier. You can use the traditional accounting (and you have to if your income exceeds a huge amount!) if you prefer.
zebedee
Posts: 1270
Joined: Fri Sep 12, 2014 2:57 pm
Location: yorkshire dales

Post by zebedee »

Yes, I too just record dates received and paid out. It sorts itself out in the long run.
Karen&John
Posts: 59
Joined: Sun Aug 13, 2017 6:50 pm
Location: Norfolk

Post by Karen&John »

Thanks Guys,
I was over thinking again.
Cash basis sorts it all out.
Best,
K&J
rosebud
Posts: 625
Joined: Wed Mar 14, 2012 5:24 pm
Location: Steyning, West Sussex

Post by rosebud »

Interesting .. I have always kept spreadsheets for each financial year..
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