Bank deposited incorrect amount, corrected in following month

When the bank error reduces what you show, you enter a Check and post to Other Asset, if you intend to get it back as a deposit later. You post to Bank error Expense, if you lost it for good. When the bank increases what you show, you enter Deposit as Other Liability, since you have to Give it Back, and later you pay out that Liability on a check.

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@SkinnyRaven wrote:

Add a line to the original deposit with the amount of -2999.97, for the from account use one of your banking related accounts or make one called "bank error", save the deposit. Make the deposit for the correction and use the same from account.

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This worked for me.  My customer wrote a check where the numerical value was $66 greater than the legal written line and I did not catch it upon depositing the check.  I received a bank debit of $66.00 for the difference, as banks defer to the legal line in a discrepancy such as this one.  I re-opened the deposit, added the customer, deposit from Accounts Receivable (to add the $66.00 back to their account), added a memo referencing the issue, and did a -$66.00 to correct the deposit.  Only note is my bank account will be 2 entries (original incorrect deposit and the -$66.00 adjustment) which will net to the QB deposit.  Thanks for your answer!

Thank you for recommending what actual accounts to use for the two distinctions of an other asset or an expense.

Using QBO and QB Desktop.

In QBO whom does the check get written to?

Thanks for reaching out to us, Angela.

I'm joining in the conversation to share some insights about this check concern. If you're using QuickBooks Online, you can enter the name to whom that check is created for or will be recorded for. Otherwise, you can leave it blank, and still QuickBooks will allow you to save that entry.

I've attached some related links for your reference:

• Create and record checks in QuickBooks Online
• Learn the difference between bills, checks, and expenses in QuickBooks Online

Visit us again for other QuickBooks concerns. You can also mention me anytime, if you need help with this topic. I'll be right here to help.

What if the bank gave you .20 as a correction and you do not have to pay it back?  That is my issue.

What if the bank corrected the deposit (increased)  by a small amount and you do not have to pay it back?

Glad to have you here, Lwhobbs.

Can you tell us more details about the correction that the bank has sent? I also wanted to ask what version of QuickBooks you're using? We're asking these questions to make sure that we give you the right details to sort this out.

Please add a reply below to share more details. We look forward to it. 

I am using QBO.  The deposit had several issues, but I was able to fix them, so my deposti was $xx,xxx.30 and the bank deposit was $xx,xxx.50 and the bank gave me a .20 Misc Loss Debit.  I need toknow how to add .20 to my depsoit in quickbooks to match the bank.  I do not have to pay back the .20.