Trust and Business

Our passion at Business Soul Accounting is attorney trust accounting. We live and breathe on the joy of helping attorneys figure out how to work with their trust accounts and run their practises as efficiently as possible.

There should always be a clear distinction between Trust and Business. Never blur the line. I always remind clients that trust funds cannot flow by osmosis from trust to business. Therefore all transactions must be either trust or business. There is a clear line separating the trust bank and the business bank. The only way to move funds between the trust and business is to make a trust transfer payment.

A trust journal entry from a matter to a business ledger will not work. A payment and a receipt should be the entry to post when moving funds between trust and business or business and trust.

Always keep it simple. Try stay away from journals as much as possible. If you need to use a journal, be clear about whether it is a trust journal or a business journal.

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