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sw1222
Level 1

automatic bank feed deposit and applying to payment

I am trying to figure out the best way to match an automatic bank feed deposit of payment from a customer, towards their invoice that I have in qb.

5 Comments 5
Tori B
QuickBooks Team

automatic bank feed deposit and applying to payment

Thanks for reaching out, @sw1222.

 

How are you today? I hope all is well. 

 

You can use the automatic matching feature. This feature automatically matches bank deposits that correspond to QuickBooks Payments transactions. You can find and view details on automatically matched transactions in Transactions under the Categorized or Reviewed tab.

 

Here's how you can turn this feature on: 

 

  1. Go to Transactions, then Bank Transactions.
  2. Select the Categorized or Reviewed tab.
  3. Clin on the Gear Icon ⚙ at the top of the transaction list.
  4. Turn the Automatic matching switch On.

 

Please keep in mind that QuickBooks may not automatically match all your transactions. For example, your bank may not provide a unique ID for each deposit. In such cases, QuickBooks won’t automatically match and will leave it for you to manually match the bank transactions.

 

For more details about this feature, check out Automatic Matching for QuickBooks Payments.

 

Don't hesitate to let me know if you have any additional questions or concerns. Have a good one! 

 

 

 

 

 

sw1222
Level 1

automatic bank feed deposit and applying to payment

Hi Tori, 

Thank you for your quick response.  My automatic matching is already switched on, however the problem occurs when I have more than one deposit at a time.  In this case it was a deposit of 3 checks.  2 were income for a legal service that was done, but had no invoice created in the system to match up.  I put those 2 in its own income category under legal fees.  The issue I have is with the 3rd check which is corresponding to an invoice already created in the system.  QB wont match up to an invoice if you split the deposit.  Let me know if I'm still not clear.

Thank you!

Nicole_N
QuickBooks Team

automatic bank feed deposit and applying to payment

Thanks for your follow-up. Let me share some insights about matching deposits to invoice payments in QuickBooks Online.

 

You're right about QuickBooks won't match up to an invoice if you split the deposit. If one deposit is downloaded, you can match it to multiple invoices. However, if 3 deposits are downloaded to match one invoice, then it isn't possible.

 

What you can do is exclude the deposit transaction and manually clear the invoice in the bank register. I'll show you how:
 

To exclude the transaction:
 

  1. Go to the Banking menu.
  2. Select the For Review tab, then locate the deposit.
  3. Tick the checkbox of the transactions to exclude.
  4. Select Exclude.

 

Follow the steps below to manually clear the invoice:
 

  1. Go to the Banking menu.
  2. Click on Go to bank register.


     
  3. From there, select the right bank account to which the invoice was allocated.
  4. Locate the invoice and click on it to expand the view.
  5. Tick the box until it stops at the letter C.


     
  6. Once done, click Save.

 

Moreover, I've added this article to learn how to use bank rules to automatically categorize transactions from your bank: Set up bank rules to categorize online banking transactions in QuickBooks Online.

 

I'm all ears if you have further clarifications and concerns. Have a good one!

sw1222
Level 1

automatic bank feed deposit and applying to payment

I'm confused how this resolves my problem.  What would be the next step after clearing it?

Mich_S
QuickBooks Team

automatic bank feed deposit and applying to payment

Greetings, @sw1222. I want to clarify things for you to seamlessly keep track of your transactions in QuickBooks Online. 

 

There's no need to exclude the entries. To manage a deposit that includes three checks, you can instead manually match the deposit to the corresponding open invoice. Afterward, use the Resolve Difference feature to account for check 1 and check 2. 

 

  1. Open the Bank transactions menu and navigate to the Bank transactions tab.                                                                                                                
  2. From the For review section, locate and select the deposit.                      
  3. Click on the Find match radio button.                                                                                                                                                                                                 
  4. Set the filters correctly, especially the date range.
  5. Look for the entry to match and tick its checkbox.
  6. From the bottom part, toggle Resolve difference.
  7. Under Add resolving transactions, enter check 1 and check 2. Make sure to select the appropriate income account from the Category drop-down.
  8. Enter the Amount.
  9. Once done, click on Save.                                                                                                                                                                                                                    

 

If you're all good, check out this extra module about resolving account balance differences: Reconcile an account in QuickBooks Online.

 

Feel free to reach out to us if you have a follow-up question about banking. We're always here in the Community to help.

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