In this article you will learn how to enter a beginning balance for an existing account in Quickbooks. To know more call on Quickbooks Customer Support.
By creating a journal entry to offset the Opening Balance Equity you can easily enter an opening balance for an existing account
• QuickBooks Online debits the new account and then credits the Opening Balance Equity account in case of assets and expense accounts
• QuickBooks Online credits the account and then debits the Opening Balance Equity account in case of liabilities, equity, and income accounts
• Once you have entered the beginning balance for accounts with a register you need to mark it as reconciled.
How to enter an opening balance journal entry?
Follow these steps to enter an opening balance journal entry:
• Click on thePlus icon (+) present on the Toolbar.
• Select Journal Entry under Other.
• Enter the date of Journal.
• Specify the Account on the first line to enter the opening balance for.
• In either the Debit or Credit column enter the opening balance amount depending on the account type.
• For assets and expense accounts in the Debit column enter the opening balance amount
• For liabilities, equity, and income accounts in the Credit column enter the opening balance amount
• Depending on the entry in the Account column specify one of the following in the Name field:
• If you selected Accounts Receivable/Debtors specify a Customer name
• If you selected Accounts Payable/Creditors specify a Vendor name
• In the Account column, select the Opening Balance Equity account on the next line.
• In either the Debit or Credit column enter the opening balance; make sure that you are entering it in the opposite column used on the first line.
For Example: You must enter this amount in the Credit column if you have entered the amount on the first line in the Debit column
• Click on Save.
• (This step is Optional) Identify the Location and Class and enter a Memo for the transaction if you have preferences turned on.
• Go to the register to mark this transaction as reconciled if the account has a register, such as a bank or credit card account
How to mark the transaction as reconciled?
Follow these steps to reconcile the opening balance transaction:
• Click on the Gear icon present on the Toolbar.
• Select Chart of Accounts under your company.
• Locate the account for the transaction.
• Select View Register from the Action column
• Click on the Opening Balance transaction.
• Indicating the transaction has been reconciled select the column labeled with a check mark until a letter R appears
• Click on Save.
To know more on how to enter a beginning balance for an existing account in Quickbooks call Quickbooks customer support. Also, you can write us at support@quickbooksupport.net .Feel free to reach us anytime; our team of executives is 24/7 available at your service. For more information visit, www.quickbooksupport.net.