Paypal expenses and multi-currency problem

Hi there, @Digilocker. I'm here to ensure you'll be able to fix your PayPal transactions in QuickBooks Online (QBO). Follow along below to get this done right away.

When entering transactions with foreign currency, you can only use the home currency bank account or the bank whose currency corresponds to the invoice/bill. Then, to facilitate movement between the two different foreign currencies, you'll need to create a dummy bank account in the home currency. For more info, feel free to visit this article (this is for ZA but the process is still applicable in the UK): Receiving and making payment for a foreign invoice/ bill with a foreign currency. 

On the other hand, you can also manually record the transactions in QBO with the correct values. Then, exclude those PayPal transactions that will show on the bank feeds. 

Once everything is fine, here's an awesome resource that you can use as a guide in reconciling your account: Learn the reconcile workflow in QuickBooks. 

I'd love to know how this goes. I'd appreciate any details you can provide. If you have any other concerns about managing multicurrency transactions in QBO, feel free to leave a reply below. I'm always ready to lend a hand to ensure your queries are addressed. Have a good day ahead and take care. 

Thanks I don't think the first option is even something that is available to me, because my account is Quickbooks Starter, and I was told that multi-currency is only available in the higher tiers.

I think part of the problem (& not really your issue at Quickbooks) is also that Paypals activity center is so slow, and doesn't seem to work like traditional bank statements so the reconciliation process is also a lot more difficult.  Thanks for the article.  I may try and attempt it one day.  I do wish (& think that the whole process of this problem with PayPal should be highlighted more to users that choose to use the bank feed feature)  it certainly would have made me have second thoughts about using it - & I would have moved a lot of my transactions over from paypal to my business account a lot sooner had the issue been made more prominent.  I think there really should be a warning in the UI telling people this before setting it up, as it is not always easy to catch these transactions.  It is quite common now to have to pay for certain subscriptions or goods in $ or € and disappointing that Quickbooks doesn't facilitate this properly without a lot of heavy lifting. 

Hello Digilocker, multi-currency is only available within either our essentials account or our plus account. If you have our simple start account it is not available feature to us. Thanks for the feedback on this, we will be sure to pass it on to the relevant team.