I have a B of A credit card setup with a parent account and a sub-account (my credit card). When there is a transaction it appears on the child card. However, there was a promo that was applied to the parent account in the amount of $500 which was then returned via check since it was not used after some time. Can you please assist with the transactions to properly record these transactions? I entered them in the parent account but now the child account is showing an incorrect balance.
Good day, @SUBYD. I can help you record bounced check transactions on your account.
You can contact your bank if your parent and sub accounts are linked to internet banking. To see how they send transactions and if they go through the parent or sub account.
To record the returned transaction, you can enter the bounced check as an expense.
For more details about recording a returned check, you can refer to this article: Record a returned or bounced check using an expense.
In case you want to match and categorize transactions in QuickBooks Online, you can click this article.
Please let me know if you have any additional information or clarification about recording the returned check. I'll be right here. Take care and enjoy the rest of the day!
I am sorry for the confusion. This is not a bounced check. A credit of $500 was applied to the parent of the B of A credit card as a promo for signing up. That credit was then sent to me in check form because it went unused. How do I record this transaction since on the bank statements it occurred on the parent not the sub account where the transactions are normally recorded.
I'll help you in recording that, SUBYD.
Since the credit was returned as check transaction, you can record it as a bank deposit in QuickBooks Online. Additionally, you'll have to post this transaction to parent account because actual credit was originally applied to the parent account. Here's how:
I'm also adding this article to help manage and track your income transactions in QBO: View sales transactions.
Don't hesitate to let me know if you need further assistance in dealing with your other tasks. Assistance is just a post away.
Let me try this a different way:
1) I made a charge on my sub account for $10 on 1/1/2022.
2) On 1/15/2022 I received a $500 promo credit which was a transaction on the parent account.
3) On 1/27/2022 the $10 balance was paid in full by the $500 promo credit leaving a $490 credit balance on the parent.
4) The parent account shows a credit balance of $490.
The issue here is that the payment is not reflected on the sub account. The sub-account still shows a $10 balance. How do I apply the promo credit payment to the sub account?
Hi there, @SUBYD.
Let me join in this thread and share additional insights about recording these transactions in QuickBooks.
Can you share with me the details on how you record the $10 charge on your sub-account?
Once you create a sub-account, QuickBooks will add its total balance to the parent account. If you use this account, it will also reflect on the parent account's banking balance.
By the time you record the $10 charge, this also reduces the current balance of your parent account. That's why it's showing the correct amount in the banking register.
Any transactions recorded under the sub-account will also affect the parent's account balance. However, transactions created using the parent account won't reflect on sub-accounts. This is the reason why the $10 charge is still showing even you've accepted the payment.
If you wish to remove the amount, you'll have to record it under the parent account. That way, you can clear the charge on your sub-account. Simply delete the transaction and recreate it under the parent account.
If this suggestion doesn't reflect on your real-life banking transactions, please disregard this one. Just simply keep your records as it is to ensure they match your financial statements.
You can also reach out to your accountant for further guidance in recording this one. This way, we can ensure that your books are accurate.
To get more details, check out this article: How to create sub-accounts to keep your chart of accounts organized.
As additional reference in handling downloaded banking transactions, click here: How to review downloaded bank and credit card transactions.
Let me know if you need further assistance with this. I'm always around to provide answers and clarifications to your questions. Have a great day ahead and take care.
Thank you for adding more details about your concern, SUBYD.
We’ll have to keep the $10.00 charge to reflect what happened to your real-life bank account. Let’s transfer the amount mentioned from the parent account to the sub-account to keep your records accurate.
This reference covers all the details on how to track credit card payments in QuickBooks Online (QBO): Record your payments. It includes alternative methods to input this type of transaction in your company.
In addition, the following article provides detailed information about moving entries from one account to another: Transfer funds between accounts. From there, you’ll see the different ways to perform this process in QBO.
Reach out to me again if you have additional questions on how to handle credit card entries. I’ll get back to answer them for you. Have a great rest of your day.