For self-employed individuals, the separation between private and business accounts is not always clear-cut. This situation is not ideal for clear accounting. Find out how this is reflected in categorisation.
💡 Your private account is not part of your accounts, so avoid mixing the two as much as possible ! In fact, only add your business accounts to BILLY.
Private payment on the pro account
You can remove certain transactions from your accounts if they have nothing to do with your professional activity. To do this, you can put them in one of these categories 👇
Private contribution: when you replenish your pro account from your private account, if you receive a private transfer (e.g. a friend repays you, you receive an employee's salary),
Private deduction: for the salary you pay yourself,
Personal expenditure: for a private purchase that has no place in your business accounts,
Internal transfer: only when you make a transfer between two business accounts. This is also the case when you transfer an amount from the cash register to a business account.
Professional payment to private account
The expense is professional, but you pay it from your private account. Or the income is professional, but you pay it from your private account.
👉🏻 For example, you make a payment in a shop and you didn't have the card on your business account. Or you go freelance for the same client as where you were employed, in which case you don't always think to get the new IBAN account changed.
💡 We recommend repatriating payments to the pro account. How do I do this? If you have received a pro amount from the private account, refund this amount to your pro account. If you made a pro expense on the private account, take the amount from your pro account to repay your private account.
And as always, don't forget to enter the invoice for the expense or income.
Cash payments
When you disburse or collect a pro payment in cash, this is a cash transaction. Read our article on cash management 💸
If you have any questions, don't hesitate to get back to us via the live-chat at the bottom right! 😊
See you soon 👋