Sometimes it happens that you need to use your personal funds for a business purchase. There’s an easy way to get this entered into your QuickBooks data file whether you’re using the desktop version or QBO.
First, create a new credit card account. This account will be used to capture all purchases made by you using your personal funds (the method of payment doesn’t matter). If I was entering this into my own set of books, I would call it “Marnie’s Expenses” or something similar.
Then, using the Enter Credit Card Charges function found in the Banking menu (desktop) or Expense function found in the quick create menu (QBO), enter the details of the purchase (date, vendor, amount, account, etc.) using the new credit card account you just created. If you want, you can add the payment method in the memo field (i.e. Debit, Cheque No., Cash, Amex, etc). Continue entering all your personal funds purchases this way. The transactions will accumulate in this account.
When you are reimbursing yourself for these purchases, simply write yourself a cheque for the total amount in the account, coding it to the new credit card account. This will zero out the account.
If you want to let these purchases end up in Shareholder Loan (or Owner’s Equity) account, you will need to journal the amount over to that account periodically. You will Debit the Credit Card Account and Credit the Shareholder Loan account. I suggest monthly, but be sure to do it at your fiscal year end so that the balance in the new credit card account is zero.
thinkQuickBooks 
Hi Marni,
How does a general journal entry for a vendor purchase with my personal funds show up in the vendor’s account? ie my first rent/lease payment for our shop was made with personal funds and if i post this right to the journal then i don’t see how it links to the account for the landlord/vendor..
Hi, Anna. Are you working in desktop or QBO? I’m going to assume QBO. My advice is not to use a journal entry! Save your journal entries for things that can’t be done any other way. You’ve probably already discovered that even if you use a vendor name in the JE, the transaction won’t show up when you go to the vendor center and select the vendor. And the name (and sometimes transaction) doesn’t show up in most reports you’d expect it to be in. This has something to do with accounts vs. distribution accounts, a topic for another day. Please use the method I describe above!
If you really must use a journal entry, here’s a report that will allow you to see the supplier name:
Click Reports on the left navigation bar
Search for the Transaction Detail by Account report
Filter for desired dates and Run report
Click on Customize
Click on the big blue Change Columns button
Choose Vendors from the available columns on the left; select Add in the middle of the page
Stay on the Customization window and scroll down to the Lists area. Filter for Distribution Account and Name (if desired)
Click Okay
Click Run Report