Savings accounts and transfers

You may wish to transfer money from your business current account to your company’s savings account to earn interest. In this article we’ll explain how.

With inniAccounts you can have multiple accounts in your Bookkeeping area, by default a Business current account and Directors loan account are created for you. To view these, simply go into the Bookkeeping area and select the desired account from the list menu. If you need any more accounts adding such as a savings account or credit card account, just drop us an email and we’ll create it for you.

Don’t forget, if you have more than one bank account you will need to reconcile them all periodically.

Handling of transfers between bank accounts

There are 2 steps to the process:

  1. Record the transfer of the money from an account.
  2. Reconcile / match the transaction in the account to which it was transferred to.

Step 1: Record the transfer ‘from’

In the Bookkeeping area ensure that you select the account that you are transferring from. In the example below we will assume that there has been a transfer of £3,000 from the Business current account to the Business savings account.

Select Enter new transaction followed by Transfer to another account.

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Enter the details of the transaction as it appears on your current account statement, click the match box to reconcile the transaction in your books.

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There is now an entry in the account the money was transferred from, in this example £3,000.

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Step 2: Match the transaction in the transfer to the account

Following step 1 as detailed above, inniAccounts will automatically create the matching transaction in the account that the money was transferred to, in this example the Savings Account.

Select the account that the money was transferred to.

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The transaction when created automatically will not be matched / reconciled. This must be done by checking the details against the bank statement of the savings account. Simply click the transaction, press Edit and check the match box when you have confirmed the details shown match those shown on the statement the money was transferred to.