Recording a refund

tvmangum's Avatar


14 Apr, 2019 11:45 PM

What is the "correct" way to record a refund in the software? In the attached graphic (refund.jpg), you can see where I was charged $6.38 but it was in error. Apple issued the refund, $3.19. Somehow, the app purchase was processed again resulting in the next $3.19 debit and the $3.19 credit. In the end, the total debit is $3.19. When I go to look at the category (categories.jpg), it shows the total expense for the category as $6.38 instead of the correct $3.19.

With other software I have used in the past (QB) I recorded the credit back to the debit category and it balances. How does this process work in MoneyDance? Do I need to copy the original account and change it to an income account?

  1. 1 Posted by Stuart Beesley on 15 Apr, 2019 02:01 PM

    Stuart Beesley's Avatar

    Hi, (I'm just a user), are you just using a normal bank account, or credit card account?

    If bank account, I just enter a deposit amount (of £3.19) and use the category of Computer:apps. Within the register

    If a credit card account, I just enter a payment amount (of £3.19) and again use the Computer:apps category. Within the register

    Or are you doing something else, is this a bank download?

    Regards, Stuart B

  2. 2 Posted by tvmangum on 15 Apr, 2019 03:38 PM

    tvmangum's Avatar

    The transaction in on my debit card and I am currently having to import a file from my bank since I still cannot get them to set up the direct connect.

    I have credited the $3.19 back to the Computer: Apps category which should cause at least $3.19 of the original $6.38 to credited just like you suggested. That is the way I have always recorded refunds in other FM software. The most strange thing about it is that the "Category Report" shows the Computer: Apps account as having a net expense of $6.38 instead of $3.19 as shown in the categories.jpg above.

  3. 3 Posted by Stuart Beesley on 15 Apr, 2019 04:41 PM

    Stuart Beesley's Avatar

    If you manually enter a transaction for 6.38 payment against :apps and then another manual transaction for 3.19 deposit against :apps in the same register what happens? This is the very basic and standard operation of MD.. The category report should be correct..



  4. 4 Posted by dwg on 15 Apr, 2019 09:27 PM

    dwg's Avatar

    I'm a fellow user.

    I think it might be an idea to see what the category has in it, i.e. your second screen shot.

    Go back to your category listing and right click on the category and select to open in a new window, don't change anything in this view it can be very dangerous to do so. Look at the "categories" in fact they will be the Account that the transaction is in. I suspect there may be an added transaction somewhere.

  5. 5 Posted by dwanthem on 16 Apr, 2019 05:56 PM

    dwanthem's Avatar

    I'm just a user and created a couple of sample transactions and they reported correctly when I viewed the categories. I rarely look at Categories because it will include ALL transactions regardless of date so it quickly becomes nothing but a curiosity.

    Try running an Income and Expense report and just include that particular category and do so just for the date range you are interested in.

    dwg also had a good suggestion, right clicking on a transaction displayed in the Category window (or on a Mac a two finger tap) and Open Window will display all the transactions that are in that category.

    However, there is one thing unusual that MoneyDance does with categories, if you select a main category such as "Fees & Charges" that has subcategories it appears to have those charges appear in the last subcategory. For example, I have some transactions labeled "Fees & Charges" but they show up if I select the "Fees & Charges: Trades and Commissions" in the Category window even though I have no transactions with that specific label.

  6. 6 Posted by jameshfx on 22 Apr, 2019 08:15 PM

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    I am not sure if the way I do it is the "correct" way but here is how I handle "refunds". For example, if we have a purchase from a retail store where some items are groceries, and some items are clothes, I split the transaction and use two categories. If one of the clothes items was returned, I split those two and use a "returned" category I created for it. And then when the refund appears on the account, I put it in a "refund" category I created.

  7. System closed this discussion on 22 Jul, 2019 08:20 PM.

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