Hello GourmetGG,
You can create an expense to record the loan repayment in QuickBooks Online. You'll have to make sure to use the liability account for the loan amount under Category details when creating the expense transaction. Here's how:
Create a liability account to track the loan:
- Click on the Settings icon, and choose Chart of Accounts.
- Click on New.
- Under Account type, choose Non-current liabilities and in Detail type choose Notes Payable or Loan Payable.
- Under the Name field, give it a name like the Loan amount for a start-up.
- Under Balance enter the loaned amount, and in the as of date enter the date you wanted to start tracking the payment.
- Click on Save.
Next, is to create an expense if you wanted to start recording payments for the loan.
- Click on the + New button.
- Click on Expense or Cheque.
- Fill out the fields like Payment account, date, and supplier.
- Under the Category details, select the liability account for the loan and enter the amount too.
- Click on Save and close.
Once done, the loaned amount in the liability account should decrease each time you record the expense for the repayment.
Also, you can check this link to learn more about how to Set up a loan in QuickBooks Online and How to record a company loan from a company officer or owner.
Feel free to comment below if you need more help. The Community is here to help you.
