Some thoughts on personal accounting software

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Share your thoughts and doubts about all the accounting software on the market today.

If ordinary people like us are keeping accounts, there are only a few ways. The way here refers to the application of computer, not accounting – like running account, it may be simple to use a trial balance to record it, and with the experience of use The richness and growth of data, such as adding account management, asset-liability management, budget control, etc., may develop in several directions at that time, one is to expand the trial balance by oneself, the other is to buy software, and the third is to use some accounting websites. Services, basically the second and third are the same, but the interface presented is different. What I want to talk about here is the usage mode of these software or websites. Such services will basically have several items, just like in real life. In the same way, it is necessary to establish a corresponding account in the software for each bank account, as well as cash, and possibly other stocks and the like. After all accounts are established, detailed records must be made for each transaction that occurs in these accounts. .

Personally, there are two main purposes for accounting. The first is the account. I want to know how much the amount of my account has increased or decreased each month. to the in and out status of each transaction, because this part is in the second point.

The second point is the budget and expenditure records, monitoring and controlling the types of expenditures this month, which is simply a running account.

The problem is here. The current accounting software is based on the double-entry accounting method. There must be evidence for the flow of money between various accounts, and every transaction must be recorded, which is very troublesome. The deposit account no longer pays interest once every six months, but monthly. Under the principle of double-entry bookkeeping, a poor ghost like me would have to write down a fraction of the dozen or so dollars every month, otherwise The accounts will not be balanced, which is very annoying. For another example, the commission discount for buying stocks with the brokerage is only a small fraction of a small account like me. In order to make the account correct, it must be Go take that damn stroke :(.

In fact, personally speaking, the purpose of accounting is very simple, one is to settle the monthly account amount, and the other is to know how much I spend each month and where to spend it, but once these two are mixed up, it becomes a disaster. There is often a special account in the software, it is called cash. Yes, you have to make a record for each withdrawal of money, and transfer the money from account A to the cash item by the principle of double-entry bookkeeping. Personally, it is so rigorous. The billing method is completely redundant for individual users. It is no wonder that many people still do not keep bills. There are two reasons. First, it is their fault to record every expense. In addition to spending, there’s that damn double-entry bookkeeping and cash items.

Again, there are two main purposes of personal accounting:

  1. Know the total growth and decline of my property this month compared to last month, or this year compared to next year. One account, one month, only 1 data; one year, only 12 data.
  2. Know how much I spend each month or year, on which projects, and if I am over budget.

Forget about those goddamn account balances, cash accounts, and those odds and ends. And today’s software (or website) can’t meet this requirement, because it’s too simple :p, it can be easily achieved with only two spreadsheets, one is called an account and the other is a running account.

It seems that the fighting spirit is very strong, so it is better to disinfect it. I have never studied accounting. This article only provides opinions on personal needs, and some knowledge is learned from the Internet. If the concept is wrong, please do not hesitate to advise.

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