New User handling wife's small business. Trying to get all this done so can get it to bookkeeper for first year's business taxes. I'm brand new to all this.
Need a little guidance on handling Paypal data to ensure I don't screw up previous work.
1. Did a "connect to Paypal" and got the data. Have not done anything, categorization/confirm, etc. on that data.
2. I have done categorization/confirm on the business checking account's transactions. There were Paypal transactions there that I categorized and confirmed. While doing those I was logged into Paypal to check transactions' info so could accurately categorize them.
1. If I categorize/confirm the 42 transactions in the "Paypal Bank" will it interfere with, duplicate, etc. with the associated Paypal transaction in the checking account?
2. It seems that doing a categorize/confirm on Paypal transactions in Paypal Bank AND in the Checking Acct. would be unnecessarily duplicated work?
What should I do?
I’m here to help you handle these transactions, Ken.
Since transactions are connected to a bank account, you'll want to add both transactions to your PayPal account. This way, you'll get more detailed information. Then, use the Record as transfer option to move the funds from your Checking account.
Once done, you can now match or add the transactions to your books.
Here are some resources that provide insights on how to manage PayPal transactions in the program:
You can use this reconciliation guide to ensure your account are balanced and accurate: Learn the reconcile workflow in QuickBooks.
If you need further assistance about managing your bank transactions, just add them to your reply. I’ll be here. Take care always!
Thanks for reaching back out, Ken.
Yes, the Record as transfer option is only available if you haven’t added or matched the transactions yet. Since you already categorize them, you’ll want to select Undo to get the entries back in the For review section.
You can check the "What should I do with transactions connected to a bank account?" link in this reference to get more information: Use the Connect to PayPal app.
I’ve also added this guide to learn how transactions are handled and imported in QuickBooks: Differences between Connect to PayPal app, Sync with PayPal app, and PayPal Bank Feeds.
Don't hold back to drop a comment below if you have other questions about managing your bank transactions. I’m always here to help. Take care!
I dearly need some plain language guidance to fully understand this process.
What I've done, on just one transaction so far.
1. Did UNDO on all of the Paypal transactions in my checking account as directed above.
2. Then did "record as transfer"
You said "Once done, you can now match or add the transactions to your books."
Please, simply, explain the steps to do that. Is that done in the checking account? Is that where I can categorize the expense?
I'm finding that many of your help pages and guidance here assumes some level of bookkeeping/accounting, or QB terminology, that I don't have. A simple, brief, step by step would be sincerely appreciated.
Trying to learn, Ken
Hi KenH999. Thanks for getting back and keeping us update.
Once you undo a transaction, it'll go back to the For Review tab on the Banking page. From there, you can add, match, and categorize the transactions.
If you want to Match with an existing transaction:
For more detailed steps, visit this article: Categorize and match online bank transactions in QuickBooks Online. It also tackles different ways in how you can manage downloaded transactions.
If you're ready to reconcile your bank account in the future, you can check this article for a guide: Reconcile an account in QuickBooks Online,
If you have more questions about handling accounts in QuickBooks, let me know and I'll get back to this thread and lay down a guide. Take care and have a great day.
I appreciate ya'll's help but it just wasn't simple enough for me. Thankfully, I stumbled onto this from Steve Chase: https://quickbooks.intuit.com/learn-support/articles/getting-the-most-out-of-quickbooks/paypal-and-...
For total newbies like me his post would be useful. It helped me understand and deal with Paypal expense transactions. I think I did them correctly. Guess when I get to reconciliation I'll find out.
Now, I have to deal with payments for services rendered (students paying for instruction) via Paypal.
Please describe how I handle, categorize [Sales?], etc. each of these transactions. The simpler your advice the better.
1. In the Paypal account - Incoming payment
2. In the Paypal account - Withdrawal to bank checking account
3. In the checking account - the associated transfer from Paypal
Guess when I get to reconciliation I'll find out.
As an additional option, explore this app to learn how it works reconciling PayPal transactions to QBO. You don't have to purchase it if you prefer to reconcile the transactions manually later.
Another option, utilize the trial version of a backup restore app.
Please review the above post re: Sales of Service and Paypal. Some simple guidance on how to process them is appreciated. It appears that there are 3 items/transactions I'll have to handle, I listed them in the above post.