Learn how to exclude a downloaded bank transaction.
From your browser or app, you can connect your bank account and download transactions automatically into QuickBooks. Sometimes, though, you may want to keep a downloaded transaction from going into your company expenses. Here’s how to exclude it and keep your books in order.
Step 1: Check if you should exclude the transaction
Before you exclude a downloaded transaction, make sure it’s the right thing to do for your accounting.
When you exclude a transaction, it doesn’t appear in any account histories or financial reports. Depending on the type of transaction, this may make it easier or harder for you to reconcile an account. Here are a couple situations to consider.
If it's a duplicate transaction
If a downloaded transaction is a duplicate of one you already recorded in your books, excluding it makes sense. You can go on to step 2.
If it's a personal expense
If the downloaded transaction is a personal expense, it’s best to add it to QuickBooks, rather than exclude it. Otherwise, your bank account in QuickBooks won’t match your bank statement when you reconcile it.
To avoid recording the transaction as a business expense, many business owners add the transaction to an equity account they’ve created, called an owner’s draw.
As always, check with your accountant or bookkeeper if you’re not sure how to handle a personal expense or any other type of transaction.
Step 2: Exclude a downloaded transaction
Once you confirm that excluding a transaction makes sense, here’s how to do it. Choose an appropriate heading based on the device you are using.
Excluding vs. Deleting
Once a downloaded transaction is either accepted or excluded, QuickBooks will stop the bank from bringing the transaction into the bank feed again.
If you do not add the transaction and remove it by deleting it, rather than excluding it, the system will recognise the transaction is not accounted for and will download the same transaction again from the bank.