A New Domestic Accounting Method Based on Domestic Wellbeing

The new ideas behind Domestic Well-Being Accounting have been find out mentioned in other articles. This article, which is based upon information from the book Accounting for a Better Life,’ summarizes the reasoning, ideas and concepts.


An account is, at its most basic level, a listing that records transactions that are related to financial activity and interests. The most commonly known form of account is the “bank statement”, which customers receive from their bank each month.

Accounts are used to accumulate information about value. This is the first thing that you need to understand. It is often about currency that banks and credit cards accounts are all about. People often forget that accounts can be used by people to accumulate transaction details related our investments, home or car.

Most accounts have two columns. One column is for increasing (+), and one for decreasing (-).

It is important for us to know that there are two types accounts we can use in books or accounts. The first is an account that is asset-based, while the other is a liability.

The asset account stores transactions for assets, such as houses, cars, banks, etc. This is how positive amounts are placed in an asset accounts + column to signify an increase in its value. PS500, for instance, would indicate a PS500 increase by entering the + columns in an asset account. Accountants will also have what i call working accounts for accounting at-home. These accounts are used to hold accounts that aren’t specifically for an asset such a car, home, or other property. These accounts can be used both for asset acquisitions or depreciation.

A liability account is another type. This account can be used in order to accumulate liabilities or debt. This is because increasing amounts, such as. PS300 in these accounts in the + column means more debt and greater liability. However, a decrease in PS200 indicates less debt. Although it may seem as though less debt is more important, this all depends on the purpose and function of the liability type account. Accountants use the liability account mainly for accurate debt amounts. However they may need other accounts to cover certain transactions. These accounts are called “working accounts” in accounting at home, as they do not directly relate with any debts. They can be used for temporary information regarding asset purchases and the increase in value of a home.

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