I've got your back, @Tom8517. I'll make sure you can enter fixed assets seamlessly in QuickBooks Online (QBO).
We'll have to first create an asset account in QBO. This is where we track the current value and depreciation of the things that your company owns. After setting up the accounts, you'll need to manually track depreciation using journal entries since QuickBooks doesn't automatically depreciate fixed assets.
Here's how:
- Click the Gear icon, then choose Chart of accounts.
- Tap New.
- From the Account Type drop-down, choose Tangible Asset
- In the Detail Type drop-down, select the option that nearly describes the asset.
- Enter the account name and put a checkmark beside the Track depreciation of this asset checkbox.
- Enter the current value of your asset in the Original cost field and enter the as of date of the purchase.
- Click Save and Close.
For more information about setting up an asset account, please see this article: Set up an asset account in QuickBooks Online.
Once done, record the Asset by using a journal entry. Here's how:
- Click the +New button, then select Journal entry.
- Set the Asset's purchase date as the Date of the entry.
- On the first line, select the Asset account then record the item and enter the purchased value as a Debit.
- For the second line, use the same amount.
•If the Asset's purchase needs to be recorded in your Bank Registers for historical reconciliations or any other reason, Credit the Bank Account.
• If the Asset's purchase won't be listed in your books, Credit the Opening Balance Equity account, representing an Asset that was brought into the company on the book's starting date.
- Select Save and close.
Also, to ensure that your books are accurate and to avoid messing up the data, I recommend seeking assistance from your accountant. They can guide you through properly recording fixed assets in QBO. If you're not affiliated with one, you can use our Find an Accountant tool to look for a Pro-Advisor near your area.
I'm also including this article to learn more about how you can depreciate assets in QBO: Depreciate assets in QuickBooks Online.
Let me know if you have other questions about entering fixed assets into QBO. You can always count on me. Have a good one!
