Home → Switching to Moneydance →

Australia dividend and imputation credit posting

• Edit

rn233343

26 Feb, 2017 09:59 PM

I have started using from yesterday after purchasing. I am finding it difficult to balance posting of australian dividend transaction. I see lot of posts and no clear cut solutions.
Dividend is a combination of Franked, Unfranked and Tax credit. Franked and Unfranked amount will be transferred from inverstment account to bank account. Tax credit can be shown as a separate category or transfer to a tax credit account. After entering a dividend with the above, I find it difficult to get cash balance zero.

Please lead me to the right steps for effective use of the product.

1. 1 Posted by dwg on 26 Feb, 2017 11:15 PM

   

   This is the sort of approach I take:

   Create three new Income Categories:

   Investment:Dividends – Franked
   Investment:Dividends – Franking Credits
   Investment:Dividends – Unfranked

   While these are directly under the Investments subcategory you can create further subcategories if you want certain intermediate totals to be shown on reports, for example you could create and additional subcategory say called Received under Dividends and place both the franked and unfranked dividends under this, thus provided a subtotal of received dividends. You would make these there categories as "Tax Related".

   Create one new Expense Category:

   Tax:Imputation Credit

   When Entering Dividends received you record them as follows:

   Franked Dividends are recorded as follows:

   Action: “Div”
   Security: Select the appropriate shares.
   Category: Select “Investment: Dividends – Franked
   Amount: Enter the amount.

   Similarly for Unfranked Dividends they are recorded as follows:

   Action: “Div”
   Security: Select the appropriate shares.
   Category: Select “Investment: Dividends – UnFranked
   Amount: Enter the amount.

   With both of the above transactions if the funds are going straight to a bank account yo can change the transaction type to "DivXfr" and in the "Transfer" field select your bank account

   Now for the Franking Credit we take a slightly different action

   Action: “DivXfr”
   Security: Select the appropriate shares.
   Category: Select “Investment: Dividends – Franking Credit
   Transfer: Select “Tax: Imputation Credit”
   Amount: Enter the amount.

   What you should then have is no change in the balance in the Investment account, the dividend in your bank account and the Tax Credit recorded in appropriate categories so you can report on it.

   • Edit

2. 2 Posted by rn233343 on 27 Feb, 2017 01:01 AM

   

   *Raghu Narayan*

   On 27 February 2017 at 10:15, dwg <[email blocked]> wrote:

   ​Thanks. This is what import facility does which is automatic from Quicken.
   But to enter for all new, it is difficult. Is there a ​

   ​split facility for investment account similar to banking accounts​? This
   will make life easier.

   • Edit

3. 3 Posted by dwg on 27 Feb, 2017 10:33 AM

   

   Quicken or more accurate Reckon uses a wizard that displays a form into which you enter the numbers into the appropriate field, it then, behind the scenes, creates the appropriate entries, which are very similar to what I outlined above.

   Moneydance does not have such a wizzard, and in reality it would have to be extremely configurable to cope with being customised for every country Moneydance is used in, Reckon is a Australia and New Zealand product only.

   I'm not sure what you are referring to in the "import" function of Quicken given that the share registries only provide a PDF copy of the dividend statements and do not provide a downloadable transaction file.

   There are no split transactions in investment accounts and I'm not sure they would be useful in this situation.

   If you get the transactions right in an account then use the Duplicate transaction option to make a copy of the transaction then just change things like date and amount it works reasonably well.

   • Edit

4. 4 Posted by rn233343 on 27 Feb, 2017 10:55 AM

   

   ​Thanks for your help. I have started yesterday and exported 20 years of
   quicken data and trying to balance.
   There is a hidden feature in Quicken by typing Control Shift Z. This allows
   Quicken Export menu to show QIF option. That is what I used to get all data
   from Reckon Accounts Home & Business 2016. Hope this clarifies.

   This tip will help more Quicken users trying to migrate.

   Thanks

   *Raghu Narayan*

   • Edit

5. 5 Posted by dwg on 28 Feb, 2017 10:02 AM

   

   Yes that hidden feature was reported by a user a while back, it is a useful key sequence to try to see if it work with the version of Reckon you have.

   If you have balance problems with Bank and credit card type accounts the most common issue is that Reckon did not export an initial balance amount. Most users do not start using software when they first open their accounts so there is a starting balance carried forward.

   Investment accounts can have all sorts of problems. The QIF format was never meant to be used for migrations, but it is the best format we have available. If you are having problems with Investment accounts you may have to give specific details of the transactions that are causing the issue and what is happening.

   • Edit

6. 6 Posted by rn233343 on 08 Mar, 2017 02:03 AM

   

   Last 2 days I can not generate any report. When I click Generate nothing happens for any report. It worked couple of days back.

   • Edit

7. rn233343 closed this discussion on 09 Mar, 2017 03:59 AM.