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Level 1

Bank charges

I'm reconciling my bank account manually at the moment because there is a known issue being worked on I understand, with HSCB accounts not downloading trasactions.

What is the correct way to enter the bank charges? In Desktop there was a bank charges box in the reconciling window but in Online there is not.

Should I just journal it in?

Solved
Best answer April 17, 2020

Accepted Solutions
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QuickBooks Team

Bank charges

Hello there, Ken4758.

 

I'm here to ensure you can enter your bank charges in QuickBooks. This way, you'll be able to reconcile your account and keep it accurate.

 

There's no need to generate a journal entry to record your bank charges. You can create an expense transaction for it instead.

 

To start, you'll have to create an expense account for bank fees if you don't have one already. Here's how: 

  1. Go to the Accounting menu.
  2. Select Chart of Accounts.
  3. Click New.
  4. Enter all the needed information in the Account page.
  5. Select Save and close.

 

I've attached a screenshot below that shows the fourth and fifth steps.

76.PNG

 

Once done, create an expense transaction and record it using the expense account you created. Here's how:

 

  1. Go to the +New button.
  2. Select Expense.
  3. Choose the Payment account.
  4. Choose an expense account Category to link the charge to.
  5. Enter the amount and fill out the rest of the form as needed.
  6. Click Save and close when ready.

 

After that, you can now continue reconciling your account. This way, you'll be able to monitor the progress of your business. For the detailed steps, kindly refer to this article: Reconcile an account in QuickBooks Online. It also contains information on how to edit completed reconciliations.

 

Please let me know if you have other concerns. I'm just around to help.

View solution in original post

3 REPLIES 3
Highlighted
QuickBooks Team

Bank charges

Hello there, Ken4758.

 

I'm here to ensure you can enter your bank charges in QuickBooks. This way, you'll be able to reconcile your account and keep it accurate.

 

There's no need to generate a journal entry to record your bank charges. You can create an expense transaction for it instead.

 

To start, you'll have to create an expense account for bank fees if you don't have one already. Here's how: 

  1. Go to the Accounting menu.
  2. Select Chart of Accounts.
  3. Click New.
  4. Enter all the needed information in the Account page.
  5. Select Save and close.

 

I've attached a screenshot below that shows the fourth and fifth steps.

76.PNG

 

Once done, create an expense transaction and record it using the expense account you created. Here's how:

 

  1. Go to the +New button.
  2. Select Expense.
  3. Choose the Payment account.
  4. Choose an expense account Category to link the charge to.
  5. Enter the amount and fill out the rest of the form as needed.
  6. Click Save and close when ready.

 

After that, you can now continue reconciling your account. This way, you'll be able to monitor the progress of your business. For the detailed steps, kindly refer to this article: Reconcile an account in QuickBooks Online. It also contains information on how to edit completed reconciliations.

 

Please let me know if you have other concerns. I'm just around to help.

View solution in original post

Highlighted
Level 3

Bank charges

I also have questions for bank charges:

We use Metro Bank which is not connected at all, so I upload and do transactions manually.

 

1. Do I create Metro Bank as a separate supplier?

2. Do I have to create a Bank charges account if I am doing transactions manually?

3. We have 3 accounts in GBP, USD, EUR. Bank charges us fees in currency of account. However, a supplier can have only 1 currency assigned. How do I handle this?

4. I am uploading a lot of backlog transactions. How do I apply exchange rates to bank charges in USD made a long way ago?

5. Do I understand correctly that no bank charges are subject to VAT?

6. We sometimes get bank charges from intermediary banks (for example I get Bank of America SWIFT charges when I pay by SWIFT to my supplier in China) - how do I handle these?

Highlighted
Moderator

Bank charges

Thanks for joining this thread, SGI.

 

I'm here to share some information about your concerns for bank charges in QuickBooks Online. 

 

You may not need to create Metro Bank as a separate supplier and bank charges account since you're recording the transactions manually. As much as I would love to address all your concerns with regards to handling your bank charges, I would recommend reaching out to your accountant. They can guide you through on how to properly handle this to avoid messing up your books.

 

I'm including these articles for your reference:

I'll be around if you need more help.