What does the personal tag do?

To avoid mixing business and personal transactions, looch recommends using your individual bank account for personal use. However, business accounts are sometimes used for personal transactions. The personal tag informs looch that you used your business account for personal purposes. looch will use logic to keep your books tidy.

The personal tag can be found in the tag bar, at the bottom of the received money and spent money transaction screens. This tag toggles on and off. Depending on your entity type and tax treatment, looch will categorize personal transactions differently.

The personal tag will use the Non-Posting (1095) category to reconcile any transaction. looch will ignore this category when running any business report.

The personal tag will use the Invested Capital category in your Owner's Equity Group (3000), under Equity, to reconcile received money transactions.

To determine your equity position in the LLC, looch will examine the balance of your Owner's Equity group (3000). Depending on this balance, the Personal tag will reconcile Spent Money transactions in one of two ways:

The personal tag will use the teammate's category in the Due from Teammates group (1200), under Other Short-Term Assets, to reconcile any transaction.

The personal tag will use the Additional Paid-In Capital category in your Shareholder's Equity group (3020), under Equity, to reconcile received money transactions.

To determine your equity position in the corporation, looch will examine the balance of your Shareholder's Equity group (3020). Depending on this balance, the personal tag will reconcile spent money transactions in one of two ways:

The personal tag will use the teammate's category in the Due From Teammates group (1205), under Other Short-Term Assets, to reconcile any transaction.