I appreciate your time and effort in attempting to resolve the issue of the bank deposit being incorrectly categorized, Howie. Let's work together to identify the root cause of this problem and ensure all entries are accurately categorized.
There are scenarios we can explore to determine this issue. First and foremost, QuickBooks Online (QBO) depends on the data from your financial institution. Additionally, make sure that your account set up is correctly classified as income.
To check, here's how:
- Go to the Gear icon and select Chart of accounts. Find the right customer.
- In Actions, select dropdown then Edit.
- Double check the Account type. Make sure it is Income.
Since, it is wrongly applied as expense we can recategorized these transactions from expenses into income.
Finally, we can also check if there are bank rules that are already set up which assigns the deposit under an expense account once added in QBO.
I've added this resource as future reference in case you wanted to reconcile your account: Reconcile an account in QuickBooks Online.
You can get back here in Community space if you have further questions related on QuickBooks categorization, reconciliation and etc. I'll be more than willing to assist.
