At the time of migration from QuickBooks desktop Enterprise to QuickBooks desktop Premier, the credit card opening balance when importing to Chart of Accounts was incorrect. The amount in the chart of accounts should have reflected £279.61 instead of £416.49. We have identified our mistake and would like to reflect the correct opening balance.
I went to the chart of Accounts and selected the account 'Credit Card' and edited the amount by putting the correct amount £279.61, by doing so this has an impact to share capital account. My share capital increases by £136.88.
Any suggestions on how can i edit the credit card opening balance without impacting my original P&L, Balance sheet account. If you are telling me i should record under opening equity balance - Just to let you know i do not have this account type.
Hello Chris, Thanks for reaching out to the Community! What you can do is create an Open Balance Equity account, to do this create an Equity account in the chart of accounts, if you say create a bank with a balance, it will create an Equity account to account for the balance but yeah, with double-entry bookkeeping, if you journal money into one account it's going to affect another.
Is there a snapshot or a document where i can refer to create a opening balance equity account? So once created, will my balance correct itself? or will the balance be open under open equity account?
Hi Chris, if you select Company> chart of Accounts> Click Account (bottom left)> click New> Choose Equity> click continue> then give it a name and then click Save and Close. Then you use that to journal the amount
I have tried following the same steps as suggested. The opening balance equity account now leaves me with a balance of £136.88 - How do I bring the opening balance equity account to £0.00?
Please note - The original credit card opening balance amount that was entered at the time of migration (QB Enterprise to Premier) was incorrect and am trying to rectify by entering the correct opening balance. The amount of £136.88 should ideally nullify itself out.
Any suggestions please.. Refer to the original doc that was attached
Thanks for following my peers' suggestions, @Chris. I've got some additional information about editing your credit card opening balance in QB Desktop.
Since the balance isn't 0.00, I'd suggest you run a Balance Sheet Report for the prior year and then compare the balance of Retained Earnings with the remaining balance in the Opening Balance Equity account.
If they matched, everything is in order. If they don't, I'd suggest speaking with your accountant to get your accounts back in balance. If you don't have an accountant, we can help you find one.
For future reference, visit this article: Reconcile an account in QuickBooks Desktop. It helps you learn more about balancing your book with your actual bank statement.
Feel free to post again if you have other concerns in QuickBooks. I'm always around to help you some more.
To provide you a background, we migrated from QuickBooks Enterprise to QuickBooks Premier. During this stage, all the chart of accounts, line items, customers, suppliers were moved and everything was in order. The issue I have is only with Credit card opening balance that reflects in my chart of accounts. According to the bank statement, the credit card balance on the day of migration June 1st, 2022, was £279.61.
Instead of taking £279.61 as opening balance amount we made an error by taking £416.49 in the chart of accounts, which then messed up the opening balance for credit card. We tried editing the chart of accounts – credit card opening balance to reflect the correct amount of £279.61, but due to double entry accounting, this had a direct impact on my share capital account – which increased by £136.88 (£416.49 - £279.61)
Regarding the mismatch during credit card reconciliation, I can see your point. The option I see is to treat £136.88 as a discrepancy when performing credit card reconciliation, but this does not serve a purpose.
The old Enterprise system has been reconciled and the balance matches… Therefore, the new Premier system is the only one I need to void / rectify the balance without it having to impact elsewhere.
Technically, this is a manual error made during the migration, and the surplus amount of £136.88 should not exist
I know this wasn’t an easy process for you, @Chris_Atlantic. Let me help and get you back to running your business.
I appreciate the things you’ve done so far to fix your credit card opening balance issue. I also understand the importance of having the correct financial data to see where your business stands.
I would like to take a look at your account and figure out what’s going on. However, we’re unable to do that in public space. I’d recommend contacting our Customer Care Team. They can pull up your account in a secure environment and help you correct or adjust the opening balance.
On the other hand, I’d suggest reaching out to your accountant. They can assist you with correcting your credit card opening balance so your accounts are balanced.
Once everything is settled, you can check out this reference to review what you entered into the program: Reconcile an account in QuickBooks Desktop. This will help you compare and ensure your bank statements matches with us.
Kindly post an update on how it goes after contacting our Support Team. I want to make sure this is taken care of. If you need anything else with QBDT, I’ll be here to help you.
The file was exported from QB enterprise before being imported into QB Premier. In enterprise itself the credit card balance was incorrect due to a QuickBooks bug. For some reason, the amount of £136.88 was sitting in the reconciliation that were old and technically should have not been there.
When the data was imported, it took opening balance of £416.49 into cosideration. My original opening balance should have been £279.61.
I am looking out for ways to void or reduce my opening balance (original openig balance £279.61) without impacting my equity / share capital account.