Improperly recorded customer payments and bank deposits are common problems among new users of QuickBooks. In order for bank reconciliations go smoothly, however, it is important that these items are recorded correctly. To do this, transactions in the QuickBooks check register need to match how they appear on the bank statement. When going to the bank and depositing several customer payments using one paper deposit slip, the bank statement will show the payments as one lump sum. In QuickBooks, the checking account register should show the one lump sum as well, even though the payments may be from different customers and received at different times. Record Customer's Payment When Using Invoices The directions that follow assume that the Invoice feature was first used for the customer, this payment: - Open QuickBooks. From the Customers menu, select Receive Payments. The Customer Payment window opens.
- In the Received From box, select the appropriate customer. Fill in the rest of the information on this screen. Dont forget to include the check number, if paying by check, and the payment type.
- If QuickBooks does not automatically select the appropriate invoice, select it yourself. Apply any credits if necessary.
- If using QuickBooks for years 2005 or 2006: make sure the Undeposited Funds preference is turned on. From the Edit menu, select Preferences, then Sales & Customers, then the Company Preferences tab, then check the box that says, Use Undeposited Funds as a default deposit to account.
- If using QuickBooks for years 2004 or prior: in the lower left corner of the Customer Payments window, make sure the Group with other undeposited funds circle is selected.
- Click Save & New or Save & Close, as appropriate.
Record Customer's Payment When Using Sales Receipts The directions that follow assume that no sales information has been entered for this customer, this sale, or this payment: - Open QuickBooks. From the Customer's menu, select Sales Receipts.
- The Sales Receipts window opens. Enter sales and payment information.
- If using QuickBooks for years 2005 or 2006: make sure the Undeposited Funds preference is turned on. From the Edit menu, select Preferences, then Sales & Customers, then the Company Preferences tab, then check the box that says, Use Undeposited Funds as a default deposit to account.
- If using QuickBooks for years 2004 or prior: in the lower left corner of the Sales Receipts window, make sure the Group with other undeposited funds circle is selected.
- Click Save & New or Save & Close, as appropriate.
Record Bank Deposit of Customer Payments Follow the steps below before going to the bank. The paper deposit slip must be calculated correctly, or adjustments will appear on the bank statement, making the reconciliation more difficult. Following these steps will also ensure that bank deposits recorded in QuickBooks will always match how they appear on the bank statement. - Open QuickBooks. From the Banking menu, select Make Deposits.
- The Payments to Deposit window will open.
- Select the payments you will deposit. Click Ok.
- In the Make Deposits window, verify the Deposit To account and the date.
- Use the information on this screen to prepare your paper deposit slip.
- Click Save & New, or Save & Close, as appropriate.
Your bank records will now agree with your QuickBooks records, making reconciliations faster and easier. |
