Double-Entry Accounting with Separate Investment Accounting

This ready-to-use template provides a comprehensive double-entry accounting framework for managing the personal wealth of High-Net-Worth Individuals (HNWIs), combining multi-currency accounting with integrated Investment Accounting.

The accounting structure covers the individual's entire wealth, including cash and bank accounts in multiple currencies, financial investments, real estate, vehicles, pension assets, furniture, art collections, receivables, loans, mortgages, and other liabilities.

The Profit & Loss accounts complement the balance sheet by tracking investment income and gains or losses, employment and other income, depreciation, taxes, personal and family expenses, as well as income and expenses related to individual real estate properties.

Just as businesses rely on financial statements to understand their financial position and performance, this template brings the same structured accounting approach to personal wealth management. It provides a comprehensive view of assets, liabilities, income, and expenses, helping individuals and their advisors monitor how net worth evolves over time.

The template uses CHF (Swiss francs) as its default accounting base currency and is suitable for portfolios managed in a single currency. You can change the base currency to suit your needs, preferably before entering transactions. For instructions, see Change the Base Currency.

For details on managing securities and financial investments within the same accounting file, see the Investment Accounting documentation.

Balance Sheet Accounts

The Balance Sheet Accounts are organized into the following main categories:

• Cash and Equivalents, including cash, bank accounts, and withholding tax receivables
• Investments, with dedicated Investment Balance Sheet Accounts for securities and other financial investments
• Equity, including equity and the current year profit or loss.

Profit & Loss Accounts

The Profit & Loss statement is structured to record both investment results and the other income and costs related to the individual's assets and personal finances.

Investment income and results include accounts for realized gains and losses on securities, foreign exchange results, unrealized investment and exchange rate adjustments, interest, dividends, and investment-related expenses.

The Profit & Loss statement also includes:

• Income and Costs, Investment-related costs and revenues
• Finaly Resultat, Investment profit or loss.

The structure therefore makes it possible to determine the overall financial result while also keeping investment results and the results of individual real estate properties clearly identifiable.

Because Investment Accounting is integrated into the financial accounting, purchases, sales, investment income and costs, realized gains and losses, and valuation adjustments are recorded directly in the same accounting file and are reflected in the corresponding Balance Sheet and Profit & Loss accounts.

Managing Quantities, Prices, and Values

The details of individual investments are managed in the Items table. The tutorial file includes sample shares and bonds and shows how investment-specific information can be maintained alongside the financial accounting.

For each investment, the Items table contains information such as the Item identifier, description, Asset Account, Quantity, Unit Price, Book Value, Market Price, and Market Value.

For more information, see the Items page.

Transactions

Investment transactions are recorded directly in the same Transactions table used for the company's general accounting.

The tutorial file contains example transactions covering the main investment operations, such as purchases, sales, income, costs, realized gains and losses, and valuation adjustments.

Because the investment transactions are part of the double-entry accounting, their accounting effects are immediately reflected in the corresponding accounts and in the company's Balance Sheet and Profit & Loss statement.

For more information, see Investment Accounting Transactions.

Other Resources

Other Banana Accounting templates are available depending on how you want to manage your investments:

• Double-Entry Multi-Currency Accounting with Integrated Investment Accounting – for managing investments denominated in foreign currencies directly within multi-currency double-entry accounting.
• Multi-Currency Investment Accounting in a Separate File – for keeping detailed Investment Accounting in a separate Banana Accounting file that can be used as an investment subledger for your general accounting.
• Double-Entry Accounting with Integrated Investment Accounting – Manage investments in the accounting base currency, with investment transactions recorded directly in double-entry accounting.