sarah071267

HiI've used MYOB for a number of years for various companies without a problem.I have just started working for a new company and they have asked me to set up MYOB Business Basics for them. They are a company that place students from others countries studying in Australia with Australian families. What they do is bill the student for four weeks say for $800, of this amount they will keep $220 and the rest, $580 will go to the family.How can I set up the accounts so that MYOB won't record the $800 as income? Their income will only be $220 with the $580 going to the family. They don't want to pay tax on $800 when only $220 is the income.I just can't get my head around it.

ANISE

Hi,This is not really an MYOB problem, it is an accounting problem.Here is my suggested journal entry :-1-XXXX Bank Account $800 DR2-XXXX Billetting Liability Account $800 CR(Receive Money ~ $800 from a student)2-XXXX Billetting Liability Account $220 DR4-XXXX Income for Placing Students $220 CR(Recognise income for placing students)2-XXXX Billetting Liability Account $580 DR1-XXXX Bank Account $580 CR(Spend Money ~ $580 to host family)Set up the Billetting Liability Account as a credit card account so you are able to post against it in Receive Money & Spend Money.After you have posted all of those transactionsBilleting Liability Account ~ zero balanceIncome for Placing student ~ $220Bank Account increased by $220.Hope that helps.Contact me via the messenger service if you need more brain storming.