Can I reimburse myself a few times over the year for credit card purchases, or should I make one lump reimbur.

Question

....sment?
I have a personal account, and a business account for my LLC. I don't want to get a credit card for my business account, so I use my Visa debit card and reimburse myself from the business account. I'm wondering if it matters whether I reimburse myself several times over the year or do it all at once. Of course I'm tracking what I'm reimbursing myself for in QuickBooks.
Thanks for your input.

Answer 1

You should definitely make the effort and get yourself a business credit card. It's worth it in the long run. Basic accounting principles suggest that you submit for each and every reimbursement. You should also consider a business credit card so that you can keep business expenses separate from personal expenses. You would be more likely to get audited for expenses being paid out to yourself then to a business credit card. It's just more efficient and safer.

Answer 2

It doesn't matter whether you do it once a year, every time you make a purchase, or somewhere in between. Be sure to keep all of the original receipts for the purchases though, not just records of the reimbursements.

Answer 3

suggest doing so at least quarterly [once every three months].

This'll make things a bit easier when preparing your tax deposits, which will be quarterly in the US until you're quite successful [then they'll be more often but your accountant will handle them.]