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EHR_
Level 1

Credit Card Payments, credit card expenses, and Current Liabilites

Hi QB Community,

 

I am having an issue with how my credit card payments are being reflected on the balance sheet. Any credit card payment made, is a transfer from the main bank account to the credit card account. When the transfer is done, the payments reflect as current liabilities on the balance sheet with a negative balance. I have the credit card account on QuickBooks so that I am able to categorize those transactions, but as I categorize those transactions the Current liabilities balance does not go down. Can someone help with this issue? 

 

Why are payments being reflected as current liabilities ?

1 Comment 1
ChristineJoieR
QuickBooks Team

Credit Card Payments, credit card expenses, and Current Liabilites

Hi there, dLearned.


Thanks for reaching out to the Community.


QuickBooks Online gives you numerous options for recording credit card payments, so you can keep track of your costs and produce accurate financial reports.


This is the main way to record your credit card payments in QuickBooks:
1.     Look for + New.
2.     Underneath Money Out (if you’re in Business view), or Other (if you’re in Accountant view), choose Pay down credit card.
3.     Choose the credit card you made the payment to.
4.     Enter the payment amount.
5.     Enter the date of the payment.
6.     Choose the bank account you paid the credit card with.
7.     If you made a payment with a cheque, choose I made a payment with a cheque. In the Cheque no. field, enter the cheque number, or if you paid electronically, enter the EFT number.
8.     If you need to add notes or file attachments, select Memo and attachments and follow the guidelines on the screen.
9.     Choose Save and Close.

 

You can also use this article if you want alternative methods to record credit card payments.

 

QuickBooks Online makes it simple to record business expenses in addition to tracking sales. Entering your earnings and expenses offers you a more complete picture of your company's profitability. You can utilize this article for your future guide.

 

You can always come back here if you have any further queries about your transactions. Thank you and have a great day!

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