cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Level 1

Quickbooks Online. I need to record the EIDL loan in long term liabilities? After that, I need to record that balance into my checking account. Step by Step instructions.

I need to be told where to go step by step...Accounting...Chart of Accounts..long term liabilities .."new" set up EIDL loan and enter balance? Then how do I get that balance from here to my business checking account?
2 Comments
Highlighted
QuickBooks Team

Quickbooks Online. I need to record the EIDL loan in long term liabilities? After that, I need to record that balance into my checking account. Step by Step instructions.

Hello, @alabamarolltide.

 

I hope you're having a beautiful day. I'm happy to walk you through the steps of recording and tracking your EIDL loan in QuickBooks. This will allow you to set up a liability account and record the amount you received from the loan. The steps below will show you how:

 

  1. Navigate to the Accounting tab and click Chart of Accounts.
  2. In the top right-hand corner, press the New button to create a new account.
  3. From the Account Type drop-down, choose Long Term Liabilities if you plan to pay off the loan by the end of the fiscal year or Other Current Liabilities if it's payable in a short period.
  4. Select the details that match your loan in the Detail Type box.
  5. Add a name to the account like EIDL Loan, then enter the full loan amount as a negative in the Amount field.
  6. Hit Save and close

 

Once the account is set up, you can record the money you got from the loan through a journal entry. Here's how:

 

  1. Go to the + New icon on the left-hand side of your screen.
  2. Choose Journal Entry.
  3. In the first line, select the liability account you created in the Account drop-down box and enter the loan amount in the Credits column.
  4. On the second line, click the appropriate asset account from the Account drop-down, then type the same loan amount in the Debits column.
  5. Press Save and close when the entry is complete.

 

Now your loan is recorded, and you can track the money you spend. You may also find this article about setting up loans in QuickBooks Online helpful as well.

 

Feel free to drop a line below if you have any other questions. Enjoy the rest of your day!

Highlighted
Level 2

Quickbooks Online. I need to record the EIDL loan in long term liabilities? After that, I need to record that balance into my checking account. Step by Step instructions.

I am so confused by your verbiage here:

 

"4) On the second line, click the appropriate asset account from the Account drop-down, then type the same loan amount in the Debits column."

 

what ASSET are we debiting in the case of a loan funding?

Need to get in touch?

Contact us