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

Reconciliation

My client has about 17 uncleared expense transactions from 2020 that show up every time I reconcile the credit card account.  The previous bookkeeper didn't worry about these since the account will always reconcile fine by just not selecting the old transactions.  I'm wondering if I should also just not worry about these old transactions, or if anyone can recommend the proper way to clear the old transactions out without affecting the prior period.  I believe these old transactions are legitimate business expenses but some could possibly be personal.  Any help is appreciated. 

8 Comments 8
FritzF
Moderator

Reconciliation

Hi there, @LeerL.

 

It's nice to have you again here in the Community. I'm here to share information about uncleared transactions in your QuickBooks Online (QBO).

 

The uncleared transactions in QBO are not yet cleared in your bank, so you can leave those transactions as is. You can filter the reconciliation page to show the cleared transactions only. Transactions that are cleared and uncleared will not affect your P&L since the report is accrual/cash basis.

 

However, if you wish to clear them, you can create a Journal Entry (JE). Before doing so, I recommend consulting your accountant or accounting professional for guidance on which account receives the debit and the credit side of the transaction. You can also find an accountant if you need one.

 

Here's how to create JE:

 

  1. In QBO, go to the + New option at the top left.
  2. Select Journal entry.
  3. Enter the necessary information in the desired fields.
  4. Select Save and new or Save and close.

 

You can also refer to this article for more information about managing JEs in QBO: Create a journal entry in QuickBooks Online.

 

I'm also adding these articles or more insights about reconciliation:

 

 

For tips and other resources, I recommend visiting our website for reference: QBO self-help articles.

 

I'm only a post away if you need more help about reconciliation or anything else. Take care and enjoy the rest of the day.

LLars
Level 2

Reconciliation

Thank you @FritzF . I may have not phrased part of my question correctly. The transactions that are showing up from 2020 were actual charges on this clients credit card that is connected to QBO.  I think the reason they are showing up when reconciling the account is because rather than being "uncleared" transactions, they were actual transactions that were never reconciled. Hopefully this makes sense. And again, maybe I just should ignore them? Or is it possible to clear them out somehow by making a reconciliation adjustment in the current period without affecting the prior period? Thank you for your help on this.

RenjolynC
QuickBooks Team

Reconciliation

Hello, LLars.

 

I'd like to add some additional information about your situation.

 

If you're unsure about making any changes on the past reconciled transactions, please reach out to your accountant. The process can get tricky and they know how to handle the next steps. Don't have an accountant? We can help you find one.

 

On the other hand, if your bookkeeper has corrected the reconciliation for that specific period in QuickBooks, then you have the option to exclude the transactions. 

 

Here's how: 

 

  1. Go to the Banking menu, then select the Banking tab.
  2. Click the For Review tab.
  3. Select the checkbox of the transactions to exclude.
  4. Hit Exclude.

Note: Excluding the transaction will only remove them from the For review tab. You can still undo the changes in the Excluded section. Here's an article for reference: Exclude a bank transaction you downloaded into QuickBooks Online.

 

To learn more about the fixing the past reconciliation and how you can undo them, please check out these articles:

 

Please let me know in your reply if you require additional information about the process or other concerns. I'll be right here to help. Take care!

Pete_Mc
Community Champion

Reconciliation

What month were they from?  If just Dec or maybe Nov, can you just go back and reconcile again?  It will take your Accountant (or someone with an Accountant version of QBO) to unreconcile the CC Acct.  But it may be well worth it. 

 

JE to me are a last resort or to be used when you need to close out the prior year and move forward some outstanding liabilities.  But for CC transaction, there's no reason for them not to be reconciled. 

LeerL
Level 1

Reconciliation

Thank you @RenjolynC .  To clarify a bit further, these old transactions that are showing up as "unreconciled" have already been added as expenses in 2020 and categorized from the bank feed. So they are no longer in the "For Review" tab.  If I excluded them, I'd have to "Undo" the categorization, then exclude them and I think that would impact 2020.  So I'm just wanting to figure out what type of action can I take in the current period to remove these transactions from being "unreconciled".  This way they won't show up every time I do the reconciliation for this credit card.  Hopefully that makes sense. 

LeizylM
QuickBooks Team

Reconciliation

Thanks for getting back to us, LeerL.

 

Allow me share additional information about the unreconciled transaction in QuickBooks Online. 

 

When transactions show on the reconciliation page, they have already been added into to the account registers and must be reconciled. This is why it appears every time you perform a reconciliation.

 

 I'd suggest consulting an accountant to help and guide you on how to handle unreconciled transactions  . Your accountant can provide more expert advice in dealing with this concern.

 

Here are some links you can check. These will show you how to fix reconciliation issues if you encounter one again, and how to save a report for future use:

 

Let us know how this goes so we can further assist you. Additional screenshots would be much appreciated. Have a great day!

Pete_Mc
Community Champion

Reconciliation

Another thought...   Do you know if the Cliient actually Balanced when they Reconciled that month?

 

it's a long shot, but do you know the Client didn't accept the reconciliation with errors?  First just confirm that they didn't put in some sort of "Correction" for that  in that month.  Something you might not have noticed if you were not looking for it as a correction.

 

Next, start the Reconcile process again and put in the date of the period you think those transactions should have cleared.  Also put in that statement's Closing Balance.  By any chance did they just not check them off?

 

I know this is unlikely, but it will only take a couple of minutes to check.

LLars
Level 2

Reconciliation

This is a great suggestion thank you @Pete_Mc 

Need to get in touch?

Contact us
Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up