Paying a credit card from a personal account

I appreciate the detailed information, Monica. Let's get the transactions sorted out based on the information above.

When paying credit card (business) using your personal account, you'll need to record it as Journal Entry. Then, enter the reimbursement as Check or Expense.

Meanwhile, you don't need to undo the previous reconciliations. This is to avoid further confusion of existing transactions.

Then, you can delete the Credit Card Refunds/Credits that were recorded under the business account.

I'd also recommend seeking professional advice from your accountant. They know what's the best way of dealing these transactions.

I'll be right here if you need anything else.

@MonicaG 

If the payment was made from a personal bank account, then bring up the credit card credit and change the account from the checking account to Owner equity investment (IF the company is taxed as a sole proprietor or partnership)

Then the checking account will be able to be reconciled

Journal entries (as suggested in another post) should be the exception when using QB, they often do not work as you think they should, and when you use inventory type items they never work for inventory. It is much better to use the forms on the home page the way QB is designed to be used. Journal entries also bypass accrual/cash reporting, and will not show on many reports.

Can/Should I change it from the checking account to the loan account the CEO has set up? 

Thanks @KhimG ,

I have similar transaction.

I paid my business credit card with a balance transfer from my personal credit card. This resulted in a transaction with  "uncategorized Asset " - Transfer Funds from account  and  "business credit card" - Funds Transfer To account

This  transaction got already reconciled for the year (2018).

Will your steps  impact the reconciliation and do I need to do reconciliation again for all the months starting with transaction's month?

Thanks in advance.

I'd like to make sure that your reports are accurate, krish12.

Any changes on a reconciled transaction for 2018 will affect your financial reports. You may have to undo the entire reconciliation for that account.

I'd recommend consulting your accountant before following KhimG's steps.

I'm also adding this article for more details on how to unreconcile a transaction or undo a reconciliation.

Feel free to reach out to us if you need anything else. Thanks.

Thanks RenjolynC for sharing the article.

Since we have not filed our taxes, I guess it is a safe bet for me to undo reconciliation, correct it and reconcile.

Lesson learned - do not reconcile until the transactions are final and in the right account.

Thanks again,

This worked for me!  Thank you @Rustler !  Over the years your many expert posts have helped me so many times!

I just changed the checking account dropdown to owners contribution and saved it.  It was already set up as a transfer.   It worked perfect!  Verified via reports after and it all looked great!  

Was searching for a solution on this same topic so, again, thank you!

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@kjnkjknj wrote:

This worked for me!  Thank you @Rustler !  Over the years your many expert posts have helped me so many times!

 

I just changed the checking account dropdown to owners contribution and saved it.  It was already set up as a transfer.   It worked perfect!  Verified via reports after and it all looked great!  

 

Was searching for a solution on this same topic so, again, thank you!

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Appreciate the kind words, thanks

Rustler - 

So - that is typical that if the credit card was paid by an account outside the business, and the transaction was recorded by web connect,  that it will show up as a "credit" in the register?  (My thoughts are it can't show as "check" because it's not from the business checking account. 

(Owner mistakenly paid the credit card out of his own account; it IS coded to equity). 

I just want to ensure the expenses associated to that credit card payment aren't affected.  They don't seem to be, but just want to ensure before I run final financials.  

Thank you, and I always appreciate the information in your replies.  

I paid the outstanding balance of the business credit card with personal funds.

I followed the instructions here, but when I clicked save Quickbooks said I need to choose a different account.
In the "Category", I selected the Credit card account I paid off, then on the next line "Owners Investment".

Should I have matched all of the transactions that were made on the card instead?

Also, in the "Payment Method" I selected "cash". This was a bank transfer. Do I need to Add Bank Transfer to the Payment Method?

Best regards