Howdy, Stranger!
It looks like you're new here. If you want to get involved, click one of these buttons!
Quick Links
Accounting for Forex Transactions
What is the best way to account for currency transactions in the srcTrans tab? For example assume I deposit 50k in USD - this is easy enough to input using the TransType Deposit.
A few days later I convert 40k of the USD to GBP at a certain rate and pay a forex commission on this.
How do I account for that as there is only one Currency column. How do I ensure it credits USD and debits GBP?
Thanks in advance - I am sure this has been asked before but I cant find it!
A few days later I convert 40k of the USD to GBP at a certain rate and pay a forex commission on this.
How do I account for that as there is only one Currency column. How do I ensure it credits USD and debits GBP?
Thanks in advance - I am sure this has been asked before but I cant find it!
Comments
Each account has a currency assigned to and each account can have just one currency. When you make a deposit into the account, it is always assumed that you deposited cash in the currency of the account. You can buy symbols with one currency into account with different currency, but not the cash. In your case, I would create 2 accounts: AccountUSD and AccountGBP and deposit 40k USD into AccountUSD account, then withdraw that cash (40k USD) from AccountUSD and deposit 32.13 (at the exchange rate at that date) into AccountGBP. In my portfolio I have VidasTFSA-USD, VidasTFSA-CAD, VidasRRSP-USD, VidasRRSP-CAD, VidasCash-USD, WifeTFSA-USD, WIfeTFSA-CAD, etc accounts, but that is how they are actually in my bank accounts too.