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GGabriele
Level 1

Record bank transfer from personal account

Hi all,

 

I am very new to Quick Books Online. I transferred some money from my personal account to the business bank account. This money will be needed to pay for startup items.

 

How do I record this in Quick Books? In the future, I will need to do similar transactions from my personal account to the business account. How can I put in place an efficient way of keeping track of these?

 

Thanks!

3 REPLIES 3
Ryan_M
Moderator

Record bank transfer from personal account

Hi @GGabriele,

 

I'll share the steps you can take to record payment for business expenses from a personal account.

 

Here's how:

 

  1. Go to the + New menu.
  2. Select Journal entry.
  3. Enter the expense account for the purchase on the first line. 
  4. Type in the purchase amount under the Debits column.
  5. Enter Partner's equity or Owner's equity on the second line.
  6. Type in the same purchase amount under the Credits column.
  7. When done, press Save and close.

To continue, take a look at this article: Pay for business expenses with personal funds. Locate Step 2: Decide how you want to reimburse the money.

 

I also suggest you take your time and view this article: Track personal money or investments to your business. In case you make investments to your company from a personal account.

 

Drop other questions you may have below. I'll take care of them as soon as I can. 

GGabriele
Level 1

Record bank transfer from personal account

Hi @Ryan_M ,

Thank you for the guide I think I got it right. Just one question, when I categorize the transfer it is asking me the VAt rate. I am pretty sure it is 0% but which one should I choose? Purchase or sale or something else? 

 

Thanks

Accountants4Hire
Level 1

Record bank transfer from personal account

That transfer could also probably show up on the bank statement, how does one then categorize the entry on the bank statement to show the transfer from personal bank account to business bank account?

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