User Support Forum

We paid off our mortgage and the balance forward was less than the payoff. How do I post this amount to the mortgage payment that shows less than what we paid off? Will this show a negative amount?

Example
Mortgage 01-2110-000
Mortgage Expense - 01-5910-000
Unrestricted Assets - 01-1110-001
Bank Acct - 01-1110-000

Mortgage balance from last month - 13361.00
Payoff - 13665.00
Mortgage interest - 36.69

I'm not sure I'm following the scenario, but I will take a stab at it.

You owe 13361.00. You paid the bank 13665.00 and out of that came 36.69 interest. These are my assumptions.

You will overpay the principle by 267.31

You could do this:

credit 01-1110-000 13665.00
debit 01-2110-000 13628.31
debit 01-5910-000 36.39

and you will have a negative 267.31 in your mortgage (liability) account.

When you get your bank statement, they should credit that amount back to you. In order to reconcile your account,

debit 01-1110-000 267.31
credt 01-2110-000 267.31

The bank statement will reconcile, and your mortgage liability account will be zero.
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