In your example, my income is negative. In what country does it make sense to have a negative income?
> You cannot categorize your salary as income, as your net-worth would be wrong.
Yes you can, it's called a split transaction. $1000 income: split into $700 to my savings and $300 to taxes. I don't see the point in tracking my tax withholding in this way though, so I'd rather just put in my net salary.
> Yes you can, it's called a split transaction. $1000 income: split into $700 to my savings and $300 to taxes.
Even though this would work, the money is still in your bank account, which makes your savings account balance to be reported wrong.
Congrats on the app and release, OP!
it's not than all that's impossible with single entry, it's just way messier, so the overhead of double entry is considered better because the books can be more fully audited.
if you're a freelancer, you may get paid net 30 or 60 or even 90. but you still need to know how much money you have right now, how much money you're owed; financial health, P&Ls etc.