Exchanging currencies - not enough digits!

I’d be happy to share a way on how to account for these differences, Flyingfemme.

Since you’re unable to enter this amount when transferring, you create a journal entry instead. This transaction will allow you to enter two lines. The first line is for the account where the funds are coming from (Debit). The second will be the account where you’ll be depositing the fund (Credit). 

You might want to enter a 1 is to 1 exchange rate for JE to record the exact amount difference. I’d also recommend consulting an accountant to make sure everything will be recorded properly. 

Continue to drop your questions here if you need additional help. 
 

Thanks for the suggestion but it doesn't work. I am changing GBP into USD (GBP is my home currency) and the exchange rate from the bank was £1 = $1.3151. The inverse of that is 0.7603984 and QB cuts off the last digit before it does the calculation. I end up 33 cents out on the USD account.
This drives me nuts because QB is not following "normal" practice for exchange and I don't know how to make the bank accounts reconcile with the next statement.

Thanks for getting back to us, Flyingfemme.

The steps provided by my colleagues is correct, however there's one more thing you'll need to do. When reconciling, you'll have to select the amount being transferred and the journal entry. This way, it will match the transactions on the bank and on QuickBooks.

Here are screenshot as an example:

Here's an article to guide you with reconciling: Reconcile an account.

The QuickBooks Community team is always to help you.

I can easily select two transactions that total the correct amount. That is not the same as getting the correct amount in the first place...........the fact remains that QB does exchange rates backwards to the rest of us. And we get incorrect numbers. 

The end result looks like somebody is cooking the books and there are twice as many transactions as we should have.

Real world exchanges are the fact....fiddling the numbers is not a good look for bookkeeping.

Hello there, Flyingfemme. 

The steps given by my colleagues are a workaround on how we handle multi-currencies. I personally sent a feedback to our engineers with regards so they can apply this suggestion to QuickBooks future updates. 

Always know the Community is around if you need more help. 

I too am encountering the same difficulty, receiving payments in GBP converted to USD which I cannot match with the limited number of significant digits allowed in the exchange rate.  Is there any progress toward resolving this?

Welcome to the Community, arnolddf.

We consider that this is a valuable add-on feature and could help us improve customer experience. I'll personally send this suggestion to our developers so they might consider adding them when enhancing the product in their future updates.

In the meantime, you'll want to follow the recommended workaround mention in handling multi-currencies in QuickBooks Online.

Here are recommended articles that provide the steps in creating an adjustment entry and overview on how to fix reconciliation differences:

• How to adjust a reconciliation.
• Resolve reconciliation differences.

I'll be around if you need anything else.

Thanks, Glinette. I like the “Undeposited Funds” solution; that looks neat and tidy in the bank accounts. I’ll give it a try.

Hi, is there an update on this? My QB desktop just did the online upgrades but there are still insufficent decimal places in the exchange rate field. Seems a pretty simple thing to fix. Do you know when it will be fixed to have more decimal places?

Hello there, pw-arvio.

We don't have a specific time-frame yet on when this feature be available. We can check the What's New feature in QuickBooks Desktop to keep posted for updates. To locate it, just click the Help menu and choose New Features. Then, select What's New.

We'll keep you notified once this is available. Take care!

Has this been resolved? This is one of the most confusing work arounds I've ever seen for what should be an easy fix.

it still does not have enough decimil places May 2022. Please Intuit, fix this its a real nuisance and an unecessary pain to work around this each time. 

after 4 years, the same problem... the thing is us, as users, need to QB make an effor and solve this issue, just adding more digits to the Exchange rate... 5 is not enough...

Hello Macacox, thanks for posting on this thread, we have passed on what you have said to our development team. 

I don't understand why those from Quickbooks who have chimed in here have referred to the request to increase the number of digits permitted in specifying a currency exchange rate as a feature request. In fact, the world has evolved so that currency exchanges are commonly done with more than five digits of precision.

The fact that Quickbooks does not support the same precision that real-world currency exchanges have supported for quite a while now is a product defect, plain and simple.

I am a software engineer myself, and I think there is a fundamental communication problem if this issue is being characterized as a feature request to the development staff, rather than as a product defect.

In fact, the issue with old and established fiat currencies like GBP and USD is the tip of a much larger issue where Quickbooks is simply failing to keep up with more modern currency conversion requirements. Try handling BTC as a currency, when only two decimal digits are supported as a currency precision. Or, how about modern brokerages, such as Kraken, where balances in a USD account are kept to greater precision that pennies.

These are examples where there is an opportunity for Quickbooks to show leadership and handle problems that are going to become more severe problems for larger and larger portions of its customer base as time goes on.

Irrelevant now that QB is canning the Desktop software next week!

Here we are in Sept. 2024, and QuickBooks STILL has this issue.  We pay thousands every year for QB Enterprise and can't even get a single important field to allow more digits.  Come on, Intuit, do better!

I've been trying to reach A SINGLE expert for three days about the same problem. It keeps saying, 'Don’t worry, we haven’t forgotten about you. You’re still in line to talk to one of our experts,' but after waiting for two hours, it disconnects. I'm so furious because the support service of QB was the only reason I chose QB, but I see that this simple issue has not been solved for 5 years. OMG.

@Merve486 

Are you using QB Desktop or QB Online?