Question RE: 1 credit card 2 budgets

We use 1 credit card for 2 different business budgets. I'm struggling to come up with the best way to handle this as far as linking the credit card in YNAB. I tried linking the credit card to 1 business budget so the other business budget could reimburse the business that's linked to the credit card. This doesn't seem to be working very well so I'm wondering if someone has already figured out the details on how to handle this. I know I can always get another credit card for the 2nd business but I really don't want to do that if I can figure this out by using 1 credit card for the next year or so.

Any help/ideas/suggestions you can offer would be greatly appreciated.  Thank you!

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  • Melinda said:
    We use 1 credit card for 2 different business budgets.

    A given real-world account should only be in a single YNAB budget. Track purchases made on that card for the "other" budget as reimbursements. You'll need to do this in both budgets. (I strongly recommend the offset category approach in the linked docs. It's the first one discussed.)

    The immediate issue is you're essentially doubling the data entry effort of those reimbursable expenses by insisting on using a single card. Your call if you want to do that for the foreseeable future.

    (As an aside, linking that account to both budgets doubles the data entry effort of ALL CC charges, not just the reimbursable ones.)

    All of this is yet another reason why it's best to use separate cards & accounts for separate businesses. Substantially more "explanation" will be required if tax returns for one of these businesses were ever audited. Especially so if personal purchases are also on that card.

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  • Thank you so much for taking the time to reply to my question. I now have it figured out thanks to you!

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