Transfer funds between accounts

Learn how to record a transfer between two accounts in QuickBooks Online.

When you move money from one account to another, you'll need to record the transaction as a transfer in QuickBooks. To keep your books in good shape, you should enter the transfer as a single transaction that affects both accounts. We’ll show you how to record transfers and best practices to avoid mistakes.

Tip: For personalised steps, sign in to QuickBooks Online. Then, refresh this page.

You can transfer funds between two accounts using any of the following methods:

• Record a new transfer
• Record a transfer by cheque
• Match imported bank transactions (if you're connected to online banking)
• Make a journal entry (Check with your accountant first)

Record a new transfer

If you haven’t imported the transaction from your bank yet, here’s how to record a money transfer directly in QuickBooks:

1. Select + New or + Create.
2. Select Transfer.
3. From the Transfer Funds From ▼ dropdown, select the bank account that the money is coming from.
4. From the Transfer Funds To ▼ dropdown, select the bank account that the money is going to.
5. In the Transfer Amount field, enter the amount being transferred.
6. Edit the Date field.
7. Enter a description of the transfer in the Memo field (optional).
8. Select Save and close or Save and new to complete the transfer.

You can find the recorded transfer by checking each account history in the chart of accounts.

Record a transfer by cheque

If you used a physical cheque to transfer funds, here's how to record the transfer and the cheque number:

1. Select + New or + Create.
2. Select Cheque.
3. Enter the cheque as you normally would, including the cheque number.
4. From the Bank Account ▼ dropdown, select the account the funds are coming out of.
5. From the Category column, select the account the funds are going into.
6. Fill out the other required fields.
7. Select Save and new or Save and close to record the cheque.

Match a transfer in your imported bank transactions

Once you've downloaded transactions from both accounts, you can categorise and match the transfer. First, record the transaction as a transfer from one account:

1. Follow this link to complete the steps in product
2. Select the bank account where the funds are coming from.
3. Select the Pending tab.
4. Find and select the transaction to open it.
5. Select Transfer from the Transaction type ▼ dropdown.
6. Fill out the other required fields, then select Post.