Really appreciate you share the common mistakes of regular users, so when I get the job as a bookkeeper, I will know a thing or two about how to fix errors.
Hi AJ, I have 1 more question about the last part of the video where you show how to record "Due From Company B". I understand where you mentioned that Company A should not categorize it as "office supplies expense", because it should not show up on their P&L. That makes sense to me and does not trip me up, but I was confused because I did not see how Company B can get the Office Supply expense to show up on their P&L. When I log into Company B's QBO account to categorize the transaction, do I follow the steps that you gave in the first part of the video?
Hi Toby - That's right: For Company B, you post the Office Supply Expense as being paid from a "due to/from Company A" credit card-type account. Then this liability should match the "due from Company B" asset on Company A's books.
Thanks, AJ. Great video for that tricky transaction. Just going to check your other videos but would like to get the workflow of a PayPal bank in Quickbooks. Where do the fees go?
Hi again Flora - You can set the mapping of paypal fees to any account you want by going to the bank feed, clicking over to the PayPal Bank tab, and then clicking the small pencil in the top-right corner of that box to "edit settings." I can't attach a screenshot here, so feel free to email me (aj [at] learnbookkeepingtoday.com) if you need further clarification.
How would you handle situation like this? My client used his personal Venmo account 7 times to pay a contractor. He also sent money (7 times) from his business checking account to his personal Venmo account to pay off the balance. Now, there are 7 transactions in the For Review tab in the bank feed. How do I categorize those 7 transactions in the For Review tab where he paid off the Venmo balance? Not sure how to handle or record the 2 different parts: 1) business expense paid with personal funds and 2) outgoing money from business account to pay off the balance of the personal account. Thanks!
Hi Toby - Thanks for your question! Which personal account someone uses is not relevant to the business bookkeeping, so it doesn't matter if he used his checking account, personal credit card, or venmo. The process is the same as what I show in this video: You will set up a "Due to Owner" account in the chart of accounts as a Credit Card. Then record the 7 payments to the contractor as Expenses posted to that "credit card." This will now show that the business has that liability balance to pay back the owner. The payments out of the business checking account should then post against this "Due to Owner" "credit card," reducing its balance back to $0 and reflecting that the business paid him back.
@@LearnBookkeepingToday , thank you AJ for taking time out to respond and show that I can use the same approach that you shared in the video. Thanks also for your videos.
Hello, and thank you. I'm having difficulty figuring out how to categorize money still in my bus. account from last year. I want to use it for business expenses going forward, but It will have already been considered taxable income per my annual profit/loss report. I don't want to use "taxed" money for business expenses. I struggle with this each year and end up nearly emptying out my bus. account since what's left is taxed income. I just can't get my head around this.
I am about to purchase your course and I am quite excited about getting started. I was wondering if there are any sections in the course that address how to handle workflow. I guess what I am asking is there an order to how things are done or a common procedure involved. I have been working as a Payroll/HR Manager for the past 12 years and I my plan is to slowly start a bookkeeping business on the side in hopes of one day working for myself from home. The whole prospect is quite overwhelming at this point and being as though I don't have a mentor and being a regimented type of person I am hoping to find an order to my next steps.
Thank you so much for the video - thumbs up of course. One quick question: after the accounting part is done, can I just withdraw money from the business checking account or move it as an online transfer between the business checking account and my personal checking account, or do I need to write a real check, drawn on my business checking account and deposit it into my personal checking account? Thank you in advance for your response :).
Hi George - Keep in mind that ultimately QuickBooks is a record-keeping tool. The important consideration is that the substance of the transaction is recorded. It used to be that QB Desktop basically only had the "Check" transaction type to record money coming out of a bank account, so you had to use that even if you were doing an ATM withdrawal, debit card transaction, etc. Then they added "Expense" in QBO. If you initiate an online transfer between two bank accounts in 'real life' but record in QuickBooks a "Check," you are still effectively recording the movement of money out of the business bank account. You'll just want to enter something as the 'check number' to help identify it, like "TXFR" an Hope this helps!
Can you please post a video on how to record a home sale and purchase of property ? I need to fix incorrect entries to get my books corrected. Thank you. Accountant did not help set up the books and I am unsure. Need to go back a few years for the corrections. It is a fairly small business so it is not a terrible amount to go bac in. Do I go back in and delete or journal entry ? Thank you so much in advance for any help on this.
Finally somebody who makes QB enjoyable
You are the 5th video I tried to watch. Thanks for being so clear with explanations and instructions.
Very well explained! Thank you and PLEASE KEEP MAKING VIDEOS! You really have a way with it. I would love to keep learning from you.
Really appreciate you share the common mistakes of regular users, so when I get the job as a bookkeeper, I will know a thing or two about how to fix errors.
So helpful - thank you!! Super easy to follow.
Very Helpful. Makes it understandable for a newbie like me.
Very helpful. Thank you. I am just learning QB
Thank you for this!
Very helpful. Thank you!
Thanks for your comments, Joe. Glad you're finding the videos helpful!
Thank you so much
Great video. Love the editing!
Hi AJ, I have 1 more question about the last part of the video where you show how to record "Due From Company B". I understand where you mentioned that Company A should not categorize it as "office supplies expense", because it should not show up on their P&L. That makes sense to me and does not trip me up, but I was confused because I did not see how Company B can get the Office Supply expense to show up on their P&L. When I log into Company B's QBO account to categorize the transaction, do I follow the steps that you gave in the first part of the video?
Hi Toby - That's right: For Company B, you post the Office Supply Expense as being paid from a "due to/from Company A" credit card-type account. Then this liability should match the "due from Company B" asset on Company A's books.
Thanks, AJ. Great video for that tricky transaction. Just going to check your other videos but would like to get the workflow of a PayPal bank in Quickbooks. Where do the fees go?
Hi again Flora - You can set the mapping of paypal fees to any account you want by going to the bank feed, clicking over to the PayPal Bank tab, and then clicking the small pencil in the top-right corner of that box to "edit settings." I can't attach a screenshot here, so feel free to email me (aj [at] learnbookkeepingtoday.com) if you need further clarification.
How would you handle situation like this? My client used his personal Venmo account 7 times to pay a contractor. He also sent money (7 times) from his business checking account to his personal Venmo account to pay off the balance. Now, there are 7 transactions in the For Review tab in the bank feed. How do I categorize those 7 transactions in the For Review tab where he paid off the Venmo balance?
Not sure how to handle or record the 2 different parts: 1) business expense paid with personal funds and 2) outgoing money from business account to pay off the balance of the personal account. Thanks!
Hi Toby - Thanks for your question! Which personal account someone uses is not relevant to the business bookkeeping, so it doesn't matter if he used his checking account, personal credit card, or venmo. The process is the same as what I show in this video: You will set up a "Due to Owner" account in the chart of accounts as a Credit Card. Then record the 7 payments to the contractor as Expenses posted to that "credit card." This will now show that the business has that liability balance to pay back the owner.
The payments out of the business checking account should then post against this "Due to Owner" "credit card," reducing its balance back to $0 and reflecting that the business paid him back.
@@LearnBookkeepingToday , thank you AJ for taking time out to respond and show that I can use the same approach that you shared in the video. Thanks also for your videos.
Hello, and thank you. I'm having difficulty figuring out how to categorize money still in my bus. account from last year. I want to use it for business expenses going forward, but It will have already been considered taxable income per my annual profit/loss report. I don't want to use "taxed" money for business expenses. I struggle with this each year and end up nearly emptying out my bus. account since what's left is taxed income. I just can't get my head around this.
I am about to purchase your course and I am quite excited about getting started. I was wondering if there are any sections in the course that address how to handle workflow. I guess what I am asking is there an order to how things are done or a common procedure involved. I have been working as a Payroll/HR Manager for the past 12 years and I my plan is to slowly start a bookkeeping business on the side in hopes of one day working for myself from home. The whole prospect is quite overwhelming at this point and being as though I don't have a mentor and being a regimented type of person I am hoping to find an order to my next steps.
Thank you so much for the video - thumbs up of course. One quick question: after the accounting part is done, can I just withdraw money from the business checking account or move it as an online transfer between the business checking account and my personal checking account, or do I need to write a real check, drawn on my business checking account and deposit it into my personal checking account? Thank you in advance for your response :).
Hi George - Keep in mind that ultimately QuickBooks is a record-keeping tool. The important consideration is that the substance of the transaction is recorded.
It used to be that QB Desktop basically only had the "Check" transaction type to record money coming out of a bank account, so you had to use that even if you were doing an ATM withdrawal, debit card transaction, etc. Then they added "Expense" in QBO.
If you initiate an online transfer between two bank accounts in 'real life' but record in QuickBooks a "Check," you are still effectively recording the movement of money out of the business bank account. You'll just want to enter something as the 'check number' to help identify it, like "TXFR" an
Hope this helps!
Will this apply to sole proprietors and Single Members LLC owners?
Yes, this process is the same for single member LLCs. No matter the entity type, we want to keep business and personal expenses and money separate.
Can you please post a video on how to record a home sale and purchase of property ? I need to fix incorrect entries to get my books corrected. Thank you. Accountant did not help set up the books and I am unsure. Need to go back a few years for the corrections. It is a fairly small business so it is not a terrible amount to go bac in. Do I go back in and delete or journal entry ? Thank you so much in advance for any help on this.