SESKStuff Everyone Should Know
SESK: Stuff Everyone Should Know · sesk.info/biz-separate-business-personal-banking

Should business money share the owner's personal checking account?

No. Keep business and personal checking separate.

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  1. Yes, mixing makes records clearer
  2. Only cash should be separate
  3. No, use separate accounts ✔

Why: Separate accounts make income, expenses, and owner transfers easier to identify. They also improve bookkeeping and help preserve the distinction between owner and entity.

Huh, didn't know that: The IRS says to deposit daily business receipts into the business checking account.

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References

Answer: No, use separate accounts. Separate accounts make income, expenses, and owner transfers easier to identify. They also improve bookkeeping and help preserve the distinction between owner and entity.

  1. IRS Publication 583, Starting a Business and Keeping Records www.irs.gov/publications/p583
    You should keep your business account separate from your personal checking account.
    Checked 2026-10-11.

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