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How to Enter Customer Payments and Deposits in QuickBooks Online Show
How to Enter Customer Payments and Deposits in QuickBooks OnlineRecently, my friend Jane called and shared her struggles with me. Sadly, I had heard the same story so many times before. Her QuickBooks Online is a mess. Her accounts receivable balances are all wrong, her bank account balance is messed up, and her income shows twice as much as she’s made. What could be wrong? Well, Jane doesn’t know how to enter customer payments and deposits in QuickBooks Online. In fact, one of the most common mistakes made by untrained users in QuickBooks Online happens when they try to record customer payments. So, today I’m going to show you how to enter customer payments and deposits in QuickBooks Online. Here is a video from my YouTube Channel with instructions on how to enter customer payments and deposits in QuickBooks Online. One of the most common mistakes made in QuickBooks OnlineAs I mentioned, entering customer payments and deposits in QBO is one of the most common mistakes made. Why? Because untrained users, like Jane, are not aware of the specific steps that they need to follow. They try to take shortcuts and end up making a big mess. I’ll show you a simple way that will keep your QBO mistake-free. You’ll see that it will be much easier for you to match up your transactions to your downloaded banking transactions with this method. Update – May 2018You may also want to check out these blog posts: Unraveling the Mysteries of the QuickBooks Online Undeposited Funds Account How to Clean Up Undeposited Funds in QuickBooks Online Check out our online master class, Mastering QuickBooks Online Banking Transactions (Bank Feeds) in 7 Days. Are you new to QBO? Check out our online course Get started with QuickBooks Online in 7 easy steps. How to enter customer payments made with a checkFirst, I’ll explain to you how to record a customer payment and deposit when a customer pays by check.
The Receive Payment window opens. 1. Enter the customer’s name or select it from the customer list. 7. Make sure that the payment is applied to the correct customer invoices. Click and unclick the boxes as needed. Enter each check as I just described. Remember – use “Undeposited Funds” as the Deposit To account. [Bank feeds in just 5 minutes a day? No problem! Now, I’ll show you the next step. How to enter a bank deposit in QuickBooks OnlineThe next step is to record a Bank Deposit in QBO. This step is not optional. Follow the instructions and you’ll see how easy it is to keep your QBO mistake-free. At this point, I am assuming that you have received several checks from your customers and that you have entered them as Customer Payments. The next logical step is that you will deposit these checks at the bank. I am assuming that you will deposit several checks together with one deposit.
The Deposit window opens. Be sure to carefully follow my instructions. They are simple but very important.
By following these specific steps, the deposit that you entered in QBO will match up to the amount you download from your bank. How to enter customer payments received via electronic fundsI know you are probably asking yourself – who receives payments by check anymore? You may receive customer payments by electronic funds – wire transfers or ACH. I’ll show you how to enter those. They are super simple but you still should carefully follow these steps.
The Receive Payment window opens. 1. Enter the customer’s name or select it from the customer list. In the Outstanding Transactions section: 7.
Make sure that the payment is applied to the correct customer invoices. Click and unclick the boxes as needed. That’s all you need to do to enter a customer payment received electronically. Do you have to do all this data entry?Some of you may be wondering – why do you have to do all this data entry? Why can’t you just enter all these transactions from the Banking transactions window? [bctt tweet=”Keep in mind that QBO is a business software application. It’s not like Quicken.”] QuickBooks works in very specific ways and I have learned after training hundreds of business owners in QuickBooks that this is the best way to enter these transactions so that you can avoid all the mistakes that everyone else makes. Sometimes a little bit of data entry will prevent very costly mistakes. Parting wordsBy sharing these tutorials with you, I am hoping that you will learn to avoid all the costly mistakes that everyone else makes. You’ll avoid a lot of grief and headaches if you learn how to enter customer payments and deposits in QuickBooks Online. Thanks for keeping up with our QBO tutorials and I hope that they are making a difference! Please share this content if you find it useful and subscribe to our blog to get the latest news on our tutorials and videos. Till next time! (Visited 54,186 times, 2 visits today) Share This Story!Related PostsComments are closed. How do I record deposits in QuickBooks?Once you have your deposit slip from your bank, you're ready to record the deposit in QuickBooks. On the Homepage, select Record Deposits / Make Deposits. In the Payments to Deposit window, select the payments you want to combine. Then select OK.
How do I record a deposit in QuickBooks Online without an invoice?Receiving and recording payment without an invoice. Click the + New button and select Receive Payment.. Select the customer and click the invoice to pay.. Under the amount, you can enter a partial amount or full amount.. Click Save and close.. |