How to track a loan from a 401(k) account in Money (223174)


The information in this article applies to:

  • Microsoft Money 2007 Deluxe
  • Microsoft Money 2007 Home & Business
  • Microsoft Money 2007 Premium
  • Microsoft Money Deluxe 2006
  • Microsoft Money Premium 2006
  • Microsoft Money Small Business 2006
  • Microsoft Money Standard 2006
  • Microsoft Money 2005 Deluxe
  • Microsoft Money 2005 Premium
  • Microsoft Money 2005 Standard
  • Microsoft Money 2005 Small Business
  • Microsoft Money 2004 Deluxe
  • Microsoft Money 2004 Premium
  • Microsoft Money 2004 Small Business
  • Microsoft Money 2004 Standard
  • Microsoft Money 2003 Deluxe
  • Microsoft Money 2003 Standard
  • Microsoft Money Deluxe 2002
  • Microsoft Money 2001
  • Microsoft Money 2000
  • Microsoft Money 2000 Business and Personal
  • Microsoft Money 99
  • Microsoft Money 98
  • Microsoft Money 98 Deluxe Edition
  • Microsoft Money 98 Financial Suite
This article was previously published under Q223174

SUMMARY

Microsoft Money does not link loan accounts to 401(k) accounts. This article describes how to track a loan from a 401(k) account.

MORE INFORMATION

To track a loan from a 401(k) account, follow these steps:
  1. Create a 401(k) Investment account with an associated Cash (contribution) account.
  2. When you add a transaction or split transaction to the 401(k) Investment account, add the transaction amount to the 401(k) Cash account.
  3. When you borrow from the 401(k) Investment account, withdraw the transaction amount from the 401(k) Cash account or transfer the amount from the 401(k) Cash account to a checking account.
  4. If you have automatic deductions to repay the loan from your paycheck, add a loan repayment line in the Split transaction.

    If you pay the loan manually, deposit your loan payments in the 401(k) Cash account.
  5. For interest payments with a split paycheck, you need to create an Interest payment category in the split paycheck and transfer the principal amount to the 401(k) Cash account.

    If you pay the loan manually, transfer the entire amount to the 401(k) Cash account and then create a separate transaction in the 401(k) Cash account to pay the interest.
  6. Use the 401(k) Cash account for any investment purchase (Buy Investment) transactions.
  7. Use the 401(k) Investment account to reinvest interest or dividends, to update share prices, and to split shares.
Modification Type:MinorLast Reviewed:7/6/2006
Keywords:kbenv kbhowto kbinfo KB223174
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