If you have manually created a bank transfer there is no way of changing it into an expense it would be a case of deleting the bank transfer and creating an expense instead. If you have done the bank transfer on the banking page then if you just undo it in the reviewed section it will move it back to the for review and you can then just change the option in the drop down from transfer to expense, once you have done this and added it, it will move it from the for review back into the reviewed section.
I'm new to QuickBooks and in the process of setting up the company. I have connected all of our Bank/Credit Card accounts to QuickBooks so that transactions can be downloaded straight from the Bank (great feature by the way). However, when some of the transactions have been pulled through on some of the Credit Cards and a Bank Account I have encountered that some expenses been labelled as 'Transfers'. This is because when making payments (with the Credit Cards or through the Bank) I have made a Transfer rather than making a Payment. I was wondering what will be the best way of correcting it in QuickBooks (i.e. re-assigning it as an Expense).
I have come across some suggestions:
i) Deleting the Transaction in QuickBooks and re-entering it as an Expense, however, would it not create a duplicate entry next time when the Bank/Credit Card transactions are being updated?
ii) If it is a Transfer between, for instance, Bank and Credit Card (and if both accounts connected to QuickBooks) you can accept it on one side as a Transfer (by assigning it to respective Bank/Credit Card account) and labelling it as an Expense when reconcling on the other side. I couldn't make it work, for some reason, as it comes up as a Transfer from both directions and doesn't allow to change it to an Expense
iii) You mentioned in your earlier reply to similar question that it is also possible to 'Undo' the reconclied transaction in 'Reveiwed' tab of the Banking section and when Matching it again in the 'For Review' tab to assign it an Expense. This doesn't work for me and a warning message comes up not allowing the transaction to go through as an Expense when I follow it up
Very grateful for your guidance on this.
Thank you very much
Welcome to the Community and thanks for commenting on this post,
In the options, you have come across the correct way would be option 2 to go with.
Here are some steps for you that im hoping will help you.
You can do this via one of two ways.
The first method would be to click on the Create (+) menu and select Transfer from the Other column. This would allow you to select the bank account the funds are moved from and the receiving account. Once saved, you would be able to match this transaction to the transaction you see in For Review.
The second method would be to click into the transaction in For Review to expand it for the account the money is taken from and click on the transaction category under the Add radio button to select Transfer. This will then allow you to chose the corresponding bank account to transfer the funds to.
Once you add this transaction on the first account, you will see the corresponding transaction line on the receiving bank account showing as a Match. Click Match to accept the transfer into QuickBooks Online.
If you need any more assistance please do not hesitate to reach back out to us again.