How to reclassify transactions in QuickBooks Online Advanced

[0:00] With QuickBooks Online Advanced, you can change the category, class or location for multiple transactions with a single step, instead of one-by-one. We'll go over a common problem with categories on transactions and then fix that problem across multiple transactions with the Reclassify Transactions feature. Let's look at a common problem on the Profit & Loss Statement.

[0:23] This business has a parent account…and then subaccounts for extra detail. The problem is that some expenses were categorized to the parent account instead of to the subaccounts. You could fix these expenses one by one, but Reclassify Transactions is a faster way to correct it. Select the Settings button. Then select Reclassify Transactions.

[0:44] First, select the account that the transactions are currently categorized to. This menu helps you narrow down your choices to just the accounts that appear on the Profit & Loss statement. Or the Balance Sheet. You can also search for the account. Once you've chosen the account the transactions are currently categorized to, you can look for the specific transactions you want to change.

[1:08] Enter a date range and any other details that help to narrow down the search. Then you'll see all of the transactions categorized to the account you chose that match the criteria you selected at the top. Select the checkbox for any transaction you want to edit and then select Reclassify. From this screen you can change the account, class, and location assigned to the transactions you selected.

[1:33] This is a great tool if you just turned on classes or locations and you need to assign a class or location to a lot of transactions at the same time. Choose the changes you want to make and select Apply. QuickBooks makes all of the selected changes for you so you don't have to correct the transactions one-at-a-time. Now you're ready to correct problems with Reclassify Transactions.