Learn how to change your opening balance in QuickBooks Online.
Here are some of the reasons why you might need to change the opening balance of your account:
- To correct an erroneous opening balance
- To enter an opening balance for an account set up without one
- To change an opening balance when adding historical transactions to an account
We'll show you how to update your account's opening balance so you're confident that your books are accurate and up-to-date.
|Warning Talk to your accountant before following any of the steps in the following sections.|
Change the account opening balance
To change or update the opening balance for an account:
- Select the Gear icon.
- Under Your Company, select Chart of Accounts.
- Locate the account.
- From the Action column ▼ drop-down menu, select Run Report.
- From the Report period ▼ drop-down list, select All Dates.
- Select Run report.
- Select the earliest deposit posted that is noted as Opening Balance in Memo/Description field to open the Bank Deposit window.
- Enter the new opening balance date in the Date field.
- Go to Add funds to this deposit section, enter the new opening balance in the Amount column for the Opening Balance Equity entry.
- Select Save and close.
Enter an opening balance for an existing account
If you did not enter an opening balance when you set up an account, you can use following methods to enter one:
- Make a deposit to your bank account and select Opening Balance Equity as the offset account
- Create a journal entry that debits your bank account and credits Opening Balance EquityFor information on creating a journal entry, see Create a journal entry
- Create a new bank account, enter the correct opening balance and start date for it, and merge the existing bank account into it.This is the simplest solution, but it is critical that you merge the existing bank account into the new bank account.For guidance on how to merge accounts, see Merging accounts, suppliers, or customers
Enter an opening balance based on historical data
When you connect QuickBooks Online with your bank account for the first time using Add Account, you can download transactions from the previous 90 days. This process downloads all of the transactions that fall within that time period from the bank's website, and enters an opening balance for your bank account which also affects your Opening Balance Equity. The Opening Balance is the first entry in your bank register, and by default, it is marked Reconciled.
For more information on Opening Balance Equity, see Opening Balance Equity.
If you need more than 90 days of transactions, you can export additional historical transactions from the bank and upload them into your QuickBooks company.
If you enter historical transactions, either by manual entry or using WebConnect, so that your bank register entries go back earlier than 90 days, you will need to delete the Opening Balance Entry created by QuickBooks Online Banking Admin and enter the opening balance for the date of your earliest historical transactions using one of the methods described in the previous sections and then move forward with your data entry.