Hello! We have a 50/50 partnership LLC and we recently sold both of our personal trucks to the business. We sold for X amount of dollars, gave a "down payment" from the business and are owner financing the rest on a purchase contract. Can you guys give some input on how all of this needs to look in QB online? I need to know the best way to record the down payment, monthly payments and the vehicle's as assets. This may sound simple, but still fairly new to QB and want to make sure we do it right. Thanks!!
It's an honor to share tips on how to handle your concern, Aaronc5150.
You can use the Journal Entry (JE) feature to record down payments and vehicle assets in QuickBooks Online (QBO). Before doing so, make sure to set up the following:
Also, it would best to seek an expert's advice from an accountant to ensure you're using the correct accounts so your books will be accurate.
Here's how to create a JE:
For additional information on this, I recommend checking the following article about creating Journal Entry: Create a journal entry in QuickBooks Online.
In case you want to review the entries made, you can pull up or print a report for JE's: Report for Journal Entries.
As always, you can find me here if you need more help with the process above. It's my pleasure to assist you. Have a good one.
Thanks for the information! I have a couple follow up questions:
Thank you very much!
Thanks for getting back here, @Aaronc5150.
Let me go over and discuss further details about your concern.
In QuickBooks Online (QBO), here's an article that provides you with the general way how you can record loans: Set up a loan in QuickBooks Online. It includes steps on how you can set up a liability account and instructions on how you can record the payment.
Also, to answer specific questions about recording the loan amount and how you can account for the interest, I highly recommend reaching out to an accounting professional. Your accountant can give you further accounting advice to make sure that you'll set up the loan correctly. In case you're not affiliated with one, you can use our Find an Accountant tool to look for ProAdvisors near you.
Just in case you need handy guides in performing your QBO tasks, here's a compilation of how-to videos that you can open.
I'm just around the corner if you have any other QuickBooks concerns. I'm always willing to lend you a hand so you can achieve your goals. Thanks for dropping by and have a good one.