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kattu2km
October 5, 2023
Question

Sweep Account Set Up

Our company started doing a nightly bank sweep into a money market account. A portion of the bank balance is swept out after hours and returned in the morning. I received our first statement and I'm having trouble with how I should record this in Quickbooks. Specifically, in September, the statement ends with 3 of the withdrawals being swept out but they were not returned until October. What is the most accurate way for me to set this up and record in Quickbooks? 

    10 replies

    AlcaeusF
    AlcaeusF
    Level 14
    October 5, 2023

    Hi there, kattu2km.

     

    I'm here to help you set up a sweep account and record its transactions in QuickBooks Desktop (QBDT).

     

    If it's a money market, you can easily create a bank account in QBDT to represent it. This way, you will have both your business checking account and your money market account properly set up. To accurately reflect the transfers between these two accounts, you can simply record them in QuickBooks. If both accounts are connected to online banking, the Bank Feed feature will automatically capture these transfers for you.

     

    Regarding the sweep account, if it functions as a regular cash account, you only need to enter the transactions and reconcile the cash balance at the end of each month based on the statement provided.

     

    To do this properly, I suggest consulting your accountant or accounting professional for further guidance with the process. Visit this link if you don't have an accountant yet: QuickBooks Certified ProAdvisor.

     

    Moreover, I recommend performing a reconciliation on a regular basis to ensure your account is balanced and accurate. Refer to this article for future reference: Reconcile an account in QuickBooks Desktop.

     

    Please post again if you have follow-up questions about this or anything else. I'm always here to assist. Stay safe.

    Sky Hi
    October 19, 2023

    I am not sure why I cannot reconcile my account and then tie into a sweep account.  Can you please me with this I am a desk top user not on line.

    JamaicaAQuickBooks Team
    QuickBooks Team
    October 19, 2023

    Good day, @Sky Hi.

     

    I would like to get to the bottom of this and lay down some solutions to help you reconcile accounts and tie them into a sweep account.

     

    Before anything else, I want to ask a few questions to provide some troubleshooting steps. First, what challenges are you experiencing to reconcile? Is there any error that prevents you from doing so? Can you provide a screenshot?

     

    More details would definitely help us narrow down the issue. Looking forward to your reply.

    KO2768
    November 16, 2023

    Good morning!  We started doing the nightly bank sweep in September as well.  Were you able to figure out how to set up and reconcile both the checking account and the new sweep account in QuickBooks?  

    Jwings
    New Member
    October 19, 2026

    I also started a sweep account with my bank that goes to an investment account. Now i can not reconcile.

    My bank says i do not need to create a separate account and Intuit says that I do however I created it in Quickbooks but I can not link it in bank feeds because they tell me at the bank that it is a ghost account, I am using Enterprise solutions desktop v.24

    ThomasJosephDQuickBooks Team
    QuickBooks Team
    October 20, 2026

    You cannot link the Sweep account to bank feeds because QuickBooks Desktop requires a real, independently addressable account number to authenticate and pull transactions. Instead, you can use the Transfer Funds feature to move money to or from the Sweep account whenever your bank feeds download transactions, keeping your main bank account accurate and reconcilable while ensuring your Sweep account balance reflects reality.

     

    Although your bank says you don't need a separate account on their end, QuickBooks Desktop needs a physical register to track where your money goes when it moves into an investment vehicle. Without a separate sweep account in your Chart of Accounts, your Balance Sheet won't accurately reflect your investments or interest earned.

     

    Because modifying these accounts can get tricky, I strongly recommend reaching out to your local accountant. They can review how your past sweep entries were recorded and help you set up a clean reconciliation workflow tailored to your bank statement.

     

    Please let us know if you have any questions or require further assistance.

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