Hello all,
I apologise if this has been asked countless times already within the forums, but would be grateful for some direct support as cannot find the same scenario on the other threads.
I have purchased a new handset for business use and was advised by the accountant to use the business account for the direct debit and upfront fee. The website I purchased through did not allow an option to use different accounts for both fees. I attempted to put on the business, but the necessary checks were unsuccessful and the initial payment refunded. I therefore have two transactions needing categorising, showing as spent and recieved equal amounts. How should I record these to not look like sales or income?
Secondly, I was informed the check failed due to insufficient time of the business bank account being open and to use a personal account and amend the direct debit details once received. This option was successful, so I then transferred the upfront fee to my personal account from the business account to reimburse. I therefore have an additional spent fee needing categorising.
Can anyone assist with the best way to record these correctly?
I've also watched several videos online and read the forum regarding correctly setting up a Directors Loan account for the initial funds transfer into and out of the business. There seems to be several ways to do this, and I have used a new current liabilities Directors Loan list with a negative value, that cancels our the 'Directors current account' current liability balance - I do hope I've done it correctly!
Any help anyone can offer would be so very much appreciated!
I'll show some pointers to record these transactions in QuickBooks Online, @silverline. Let's get this started.
If you purchase your items through the bank, we can enter cheques to record this as a direct debit to your bank. When you track the cheques you use for your business, it helps keep your books accurate and organized.
Next, let's record the initial payment refunded or supplier refund in QuickBooks Online.
Furthermore, I'll teach you how to record the company expenses paid through a personal account through Journal Entry.
Lastly, here's an article you can refer to record a director's loan on how to set it up and track a payment loan. See the detailed instructions: Record a director's loan in QuickBooks Online.
Remember, it's essential to regularly update and review your books to ensure they accurately reflect what you owe, and for further guidance on what accounts to use in this process, consider consulting with an accountant or financial advisor.
If any further questions or additional insights are needed regarding QuickBooks-related tasks, I will be sure to reach out. Have a great day as well!
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