Credit Card annual fee rebate

Thanks for joining the Community, Carolyn220. I appreciate your detailed information.

To properly identify if you should be doing something other than what you've already done to handle your annual fee rebate from a credit card company, I'd recommend working with an accounting professional.

If you're in need of one, there's an awesome tool on our website called Find a ProAdvisor. All ProAdvisors listed there are QuickBooks-certified and able to provide helpful insights for driving your business's success.

Here's how it works:

1. Go to our Find a ProAdvisor page.
2. Use the City or ZIP search field to specify a location.
3. Select Find a ProAdvisor.
4. Browse through your results and find one that works best for the business. You can click on each ProAdvisor's profile to learn more information about them.
   
   

Once you've found an accountant, they can be contacted through their Send a message form:
 

1. Use the available text box to introduce yourself. Be sure to include details about which services you're looking for.
2. Enter your appropriate info in the Your name, Your email, and Your phone number (optional) fields.
3. Hit Send message.

You'll also be able to find many detailed resources about using QuickBooks in our help article archives.

I'll be here to help if there's any additional questions. Have an awesome Monday!

Thank you for your replay.  We already have an accountant. Just didn't want to bother them for something simple. 

Thanks

Thanks for getting in touch, Carolyn. I appreciate you sharing the details of your situation. Let me clarify the correct process for handling the credit card annual fee rebate to ensure accurate financial records in QuickBooks Desktop (QBDT).

When your credit card company issues a rebate, such as an annual fee refund, the correct approach is to record it as a credit on your account. The rebate amount decreases the total balance you owe on the card.

Pay your credit card bill in full before applying the rebate as a credit. It is crucial to maintain a clear record of your expenses and ensure that any credits applied do not confuse your expense reports. 

Once everything is in place, you can proceed with reconciling your credit card account, which will result in a correct negative balance on your account.

In addition, I have a set of articles you can use to modify the transactions and reports generated in QBDT.

• Create rules to categorize transactions in QBDT
• Customize reports in QBDT

This thread is always open if you have other matters to discuss. If you require help recording and reconciling your transactions in QBDT, get back to me in this conversation by clicking the Reply button. I want to ensure that all of your concerns are taken care of.

Thank you. My credit card is paid in full every month.  I just want to make sure there isn't anything else i should do. For example when i create a bill, i then go and pay bill. So if I create a credit,  put in the correct accounts and it shows on my credit card account correctly. do i need to do something else? when I create a monthly expense report is shows as unpaid. So I feel I'm missing a step.

@Carolyn220, I appreciate your response and would like to clarify your concern about the recording of your credit card account's yearly fee rebate in QuickBooks.

You're already on the right track with recording the transaction. After paying all the bills, you enter the rebate as a credit to your credit card account. Also, it's normal if the credit you've added to your credit card shows up as unpaid in the expense report.

To learn more about paying credit card charges, go to the Pay credit card charges section in this article: Set up, use, and pay credit card accounts.

I encourage you to reconcile your accounts regularly to keep your financial data accurate. I've also included this article to guide you anytime you need help fixing reconciliation issues in QBDT: The reconcile workflow in QuickBooks.

Please let me know by posting again in this thread if you need additional assistance managing credit card rebates and other transactions in QuickBooks. I'm always here to assist you.

It doesn't sound like you're properly using a credit card account to track your credit card account, but instead are using Accounts Payable. Doing it that was can create all sorts of difficult to figure out situations over time, like this one. And it isn't the best way to track credit card activity from an accounting point of view, as charges should be expenses on the date they are created, not the statement date. I recommend that you start using an actual credit card account.

In this case, however, if you enter each CC statement as a bill, then wait until you get the next statement that includes the annual fee credit and include it as a negative line item on that bill.