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bsweitz
Level 1

Void checks in closed period

Any other accounting software I have ever used allows you to put in a "void" date so you can void the check in the period you are actually in.  It then debits the check amount back to the checking account and credits accounts payable and opens the invoice back up for payment.  I have never worked with accounting software that requires you to do all of this manually.  This makes no sense.  It is such a common thing.  I don't understand why Quickbooks hasn't fixed this issue.

TBISJ
Level 1

Void checks in closed period

Same all other software I've used allows you to assign a void date. We recently switched to QBO and this is one of the most frustrating issues. Having to go through all of this to void a check and track it.  Also have to keep up with any payment voids that may affect a vendors 1099 record.  I hope QBO adds a fix to this soon. 

TBISJ
Level 1

Void checks in closed period

Same, all the other software I've used allows you to void the actual check, enter a void date, and open the payable back up so that a new check can be reissed.  I hope QBO updates their software to allow for this.  Also, seems like we'd have to keep track of voids to ensure we are entering correct 1099 information. 

rgonzalez21
Level 3

Void checks in closed period

I agree

rgonzalez21
Level 3

Void checks in closed period

I hope they fix this soon.

rgonzalez21
Level 3

Void checks in closed period

can you explain this more.  I need to clear the checks i want to void, but then I also need the liability to issue new checks.  Do I make a journal entry into the liability for the total amount after I've cleared all the old checks?

katy2022
Level 1

Void checks in closed period

How do you explain that deposit during an audit?  I see many posts that specify the void and various journal entries

ChristineJoieR
QuickBooks Team

Void checks in closed period

Hi there, @katy2022.

 

I appreciate you for coming back to the thread to add further clarification about your concern. With this, I'll share details on how an entry works in QuickBooks. Then, ensure you'll be able to achieve your goal.

 

You may want to clear out old outstanding checks from your checking account during this time of year when financials and tax returns are being prepared. QuickBooks warns that voiding a check from a previous year or closed period may affect the accuracy of your prior period reports and account balances.

 

If the check you are voiding is associated with an expense account, void the check and have QuickBooks enter journal entry adjustments. To perform this recommended option, follow these instructions:

 

1. From the Check Register, find the check you want to void. Click on Edit and click Void Check. Then click Record.

2. QuickBooks message will pop up. Choose Yes. The original check is voided and amounts are changed to zero.

3. QuickBooks will create two general journal entries.

 

  • The first journal entry, dated the same day as the original check, duplicates the accounting entry of the original check. This assures no changes will be made to the prior period’s reports.
  • The second journal entry, dated in the current period, reverses the accounting entry of the original check. This adds cash back to the checkbook balance in current period.

 

If you are voiding a check associated with non-expense accounts or items (a check used to purchase inventory items, a bill payment check, a paycheck, a payroll liability check)

 

Furthermore, I recommend consulting an accountant to ensure your records are in order. They can offer advice on how to handle the situation properly in voided payment check, particularly with the category/account to use when voiding an entry.

 

If you have any further questions or concerns about the information provided, please leave them in the comments section. I'd be delighted to assist you. Have a wonderful day.

NEMorgan99
Level 2

Void checks in closed period

I have followed your steps for a check that was originally issued on 8/3/2021.  I don't see these general journal entries automatically completed by QuickBooks.  Where can I see these two general journal entries that QuickBooks automatically creates for my deleted check and the check that I re-issued?  

 

3. QuickBooks will create two general journal entries.

 

  • The first journal entry, dated the same day as the original check, duplicates the accounting entry of the original check. This assures no changes will be made to the prior period’s reports.
  • The second journal entry, dated in the current period, reverses the accounting entry of the original check. This adds cash back to the checkbook balance in current period.
AbegailS_
QuickBooks Team

Void checks in closed period

Hi there, @NEMorgan99

 

I'm glad to see you posting here in QuickBooks Community to let me provide information and address your concern.

 

Let's turn on the inventory item feature before you import your file so that the item type will appear on the list in the mapping of your file.

 

Here's how:

  1. Choose Reports.
  2. Search for the Journal Report in the search bar.
  3. Pick Run Report.

 

On the other hand, you can find the deleted and re-issued check by utilizing the Audit log. You can follow these steps below:

 

Here's how:

  1. Click the Gear icon.
  2. Select Audit Log.
  3. Select Filter.
  4. Use the fields on the Filter panel to choose the appropriate UserDate, or Events filter to narrow the results.
  5. Select Apply.

 

You can learn more about this here on this link: Learn about the audit log.


Additionally, when we delete paychecks in QuickBooks, the system will auto-create an adjustment check to zero out the check. Hence, I highly suggest consulting your accountant for proper guidance. They know better how to handle this matter.

 

For future reference, you can refer to this article on how to handle your tax overpayment: Resolving a tax overpayment.

 

I want to make sure everything is taken care of for you, please let me know how it goes or if you have any other issues or concerns. Just leave a comment below and I'll get back to you. You have a good one.

carsons
Level 3

Void checks in closed period

I agree. It is stupid that this software records you voiding a check in the month that you wrote the check, not today when you void the check. That totally messes with your financials!

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