There are situations where you may need to categorize a bank transaction as Equity (e.g., a transfer to yourself for Owner’s Draw). When you need to mark this type of transaction, you’ll want to enter it as Owner’s Draw, since it is not a true expense. It is important to mark these transactions as Owner’s Draw because then it will track properly in your General Ledger.
To Mark a Transaction as an Equity Transaction
In the web app, navigate to the Transactions Dashboard > Money Out
Select the specific transaction to expand its details
Click ‘Advanced’
Under ‘Expense Type’ choose ‘Equity’
Enter the Expenses Category (‘Owner’s Capital’ or ‘Owner’s Draw’)
Click 'Save Details'