Handling escrow deposits and expenses paid out of escrow account
So I have a Wells Fargo Checking account and Wells Fargo Mortgage account. Each month, money is transferred (deducted) from checking and added to mortgage account. It ends up looking like "income" (green) into the Mortgage/loan account.
I'm looking for a way to properly split the transactions to be able to tell how much was for Mortgage&Rent vs how much went into escrow and was eventually used to pay for things like insurance or taxes.
Previously, I had split the transfer out of checking every month into Mortgage&Rent, Property Taxes, and Home Inusrance. Then I had split the transactions in the mortgage account into Loan Principal, Loan Interest and Loan Escrow. But this meant that I was effectively estimating my tax and insurance payments as the money that's going into the escrow each month.
What I'd prefer to do is treat the money going into escrow as effectively a transfer for now and then recognize the expense when it's actually paid so that I can recognize the correct amount for Budgeting and Trends purposes. The problem with doing it this way is that all the transactions show up in my Mortgage account as 'income' rather than expenses so it doesn't show up correctly in my Budgets or Trends.
Any other recommendations on how to track Mortgage, Escrow and Inusrance/Tax expenses correctly across a checking and mortgage account?