Minimum Balances

Problem

The user doesn't know what to put into the Minimum Balance field for a checking account, credit card account, or loan account. This applies to any version of Goldenseal small business accounting software.

Diagnosis

Goldenseal accounting software will warn when the account balance goes below the minimum, so it should be the $$ amount at which the user wants that to happen.

Solution

For a LOAN or CREDIT CARD-- enter a negative number for the credit limit. For example, if the credit card has a $13,500 credit limit, enter -13,500.

HINT-- If you want to be cautious, you can enter an amount slightly smaller than the actual limit.

For a CHECKING or SAVINGS account:

  • If the account has overdraft protection, enter the credit limit as a negative number.
  • If there is a minimum balance to avoid paying service charges, enter that amount as a positive number.
  • If neither, then enter zero.

Comments

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Entered 2/6/06 by Dennis. Updated 10/23/2010.