Best way to connect credit card charges to bills

Hi,

I am using QBO for UK Market.

When I try to enter CC charge (transaction type: Expense), I can't use Accounts Payable account in the "Account" section as it has t have Supplier associated with it and there is no option to add supplier.

Please assist.

HI Aleksandra,

Thank you for your query & Welcome to the QuickBooks Community!

Before I can advise would you be able to clarify which QuickBooks product you have is it Self Employed or small business and a UK product?

We are currently out of the office until tomorrow morning so if you reply it will be picked up first thing in the morning by myself and I will be able to assist you with your query.

Thank you in advance and I look forward to hearing from you.

Hope you enjoy the rest of your evening!

Kindest regards

I'm in the same boat right now, do you mind sharing how you resolved this? 

Hello there, @Learner2020.

You'll need to use the accounts payable on the CC credits. From there, you can link them to your bill payments in QuickBooks Online.

Here's how:

1. Go to Expense.
2. Locate the credit card credit transactions, then categorize it under accounts payable.
3. Click Save and close.
4. Open the bill payment.
5. The CC credit will appear at the right side of the page, click Add.
6. Enter the total amount of the payment.
7. Hit Save and close.

I'm leaving you some recommended articles to help guide you in applying and tracking credits from  a vendor as well as handling vendor balances in QuickBooks Online:

• Enter a credit from a vendor
• Resolve A/R or A/P balances on a cash basis Balance Sheet

We're always here to help if you have any follow-ups. Have a good one.

Thank you for the speedy help!

I actually tried to do that before coming to this forum. In the bill, I replaced the account with accounts payable. But QB gives me an error that I have to enter a vendor. The vendor is listed as the payee, but the only other place to list it is in the account window. I'm stuck...

Thanks for letting us know, @Learner2020.

Let me provide you some information and help you resolve this.

This message appears when the Account Payable account is chosen on a transaction. It usually happens if you leave the field blank or the name associated with that account is not a customer or vendor name.

QuickBooks requires a name in certain transactions. You can create a name so you can save it in the system successfully.

If the same thing happens, even you already entered a name. Try accessing your account to a private or incognito window for testing. If it works, you’ll want to clear your main browser’s cache to start a clean slate. You can also use other browsers as an alternative. 

I'm always here to help if you need further assistance. Please take good care.

Hi Madelyn, I'm actually in Desktop Enterprise - it won't let me save when I change the vendor to account payable in the account window. Is there another way?

Thanks for your prompt response, @Learner2020.

You can record this one as a check since a bill already has the A/P as an initial account. That's the reason you're getting an error when you use a bill to record it.

I'd suggest creating a check for the CC charges so that you'll be able to record it as Accounts Payable.

Feel free to place a comment below if you have more questions. I'll be around to help. Stay safe and healthy!

Thank you, and sorry for the late reply! It's a credit card payment, though - 

If I go to "write checks" and try to change the bank account to the credit card account, it doesn't appear as an option (only my banking accounts). As a credit card charge, how do I do this?

Thanks for getting back to us, @Learner2020.

Yes, you're right. You can only choose banking accounts if you write checks. It is where the money will be taken from. Also, recording a credit card charge is similar to recording a check or bank account withdrawal. I'll guide you how:

1. Go to the Banking menu.
2. Select Enter Credit Card Charges. 
3. Make sure to select Purchase/Charge. 
4. Enter the desired information below and click Save and Close.

For more detailed steps, please click this article and proceed to Enter credit card charges: Set up, use, and pay credit card accounts.

You'll also want to reconcile your accounts so they will match with your bank and credit card statements in QuickBooks.

I've added these articles in case you want to print checks in the future:

• How to print checks
• Create, modify, and print checks

You can also reach your accountant to ensure that this will be the best process for you. Stay in touch if you have any other questions. Have a good day ahead!

Thank you so much for your help. I have been following those directions to a T (we enter cc charges and reconcile monthly, so I have that process down :))...

When I try to put "accounts payable" in the account field (instead of the regular expense account I would normally enter), I get this error and it will not let me save "Please choose a vendor when using an accounts payable account as a line item". I do have the vendor listed in the "purchased from" window. What now?

Just as a refresher, I'm trying to apply an already cleared credit card charge to a bill so that the two transactions are connected. Currently I have a bill, and a credit card charge, but the credit card charge is not applied to the bill (and I need it to be).

Thank you!

Thank you for your help!

Just checking in to see if anyone has had a chance to see my message :)

Hi Learner2020. Glad to see you in the community. In order to help you as best as possible, I recommend you check out this article on matching bank feed transactions in QuickBooks Desktop. There are some yes or no questions with dropdowns in the article that go over the steps to perform depending on the exact situation.  

Just follow the quick guide and you will be well on your way to getting the transactions matched. If you run into anything else, I recommend you reach out to the phone support team. To do so just follow these quick instructions:

1. Click on Contact us from the Help menu.
2. Enter a brief description of your concern in the What can we help you with? section.
3. Select Let's talk.
4. Choose to Get a callback or Start messaging.

One of our phone agents will be happy to get you going if necessary. I wish you luck with your business and hope you have a great rest of your day. 

Thank you for responding. I don't use automatic bank feeds though, is there another step by step process you could send my way?

I am also having the same issue. Except I am on Quickbooks Enterprise. Whenever I try and categorize the expense as an accounts payable, it saves no problem, but no credit show up on the pay bills section. Is it different for QB enterprise?

I am dealing with issues regarding this as well except I have QB Enterprise. When I change the expense to the AP account, I can save it no problem, but the credit doesn't show up in my pay bills section at all. Is it different for QB Enterprise?

There's not much of a difference if you're using the Enterprise version, Vnguy027. I'll help you link the credit to the bill.

When you go to the Pay Bills window, you'll have to select the bill first so the credit will show, then click Set Credits. 

After selecting the credit, click Pay Selected Bills. 

I'll add the reference on how to record a vendor refund or credit for more information.

If you have more questions, please drop a comment below. We're just a post away.

Thank you for the help. Alas, I'm still stuck.

When I'm in the credit card purchase/charge screen, I try to change the account from the COG account to "Accounts Payable". When I try to save, I get the error "Please choose a vendor when using an Accounts Payable account as a line item."

So when I go to pay the bill, this doesn't show up as a credit or anything. HALP. 

Thanks for the screenshot. There are a few things that you can do to fix the issue, Learner2020.

The message appears when you choose Accounts Payable (A/P) on the transaction but the name associated isn't a customer or vendor name. You'll want to check the type of name used on the transaction. Then, review the type of name listed.

Go to the Customer, Vendor, or Employee Center, to find the desired name. If the name is listed under the wrong type, you can correct it and create a new name.

 Also, Accounts Payable is the money that a business owes. This is used to track the money you owe to your vendors. The first time you enter a bill, QuickBooks will add Accounts Payable to your Chart of Accounts. Then, when you enter or pay a bill, QuickBooks records the transaction to your Accounts Payable account.

In Accountings view, A/P can serve as either a credit or a debit. Because accounts payable is a liability account, it should have a credit balance. The credit balance indicates the amount that a company owes to its vendors. However, I still suggest reaching out to your accountant if you have questions about Accounts Payable.

For future reference, please review this workflow is in QuickBooks: Accounts Payable Workflows in QuickBooks Desktop.

Please touch base with us if you need anything else. I'm always here to help.

Hello,

I still cant seem to get the vendor bill and credit card charge to link. I followed all of the suggestions. I enter a vendor bill, then downloaded credit card charges a few months later and I see the credit card charge appear on the correct vendor as well. I go to pay bills and pick the correct payment method as well as the correct credit card charge. I then hit done. It does pay the bill, HOWEVER the credit card charge still shows open. Very frustrating. I have posted a screen shot to show what I am seeing. Please advise on how to link the 2 entry's.

Hi there, @hecjr2.

I can guide you on how to link a credit charge into a bill.

To connect these transactions, make sure that the Credit Card Charge is recorded under Accounts Payable (A/P). Then, choose the vendor's name under the Customer:Job section.

Once done, you're now ready to link the two transactions through a bill payment.

Here's how:

1. Select Pay Bills from the Vendors menu.
2. Choose the existing bill.
3. Set the payment method to Credit Card, then select the Account.
4. Tap on Set Credits.
5. Pick the credits under the Credits section, then hit Done.
6. Review the payment, then click on the Pay Selected Bills tab.
7. Click Done.

For more tips about managing A/P transactions in QuickBooks Desktop, I recommend checking out the topics from this link: Accounts Payable workflows in QuickBooks Desktop.

I'm also adding this article to learn more about paying credit card accounts in QuickBooks Desktop: Set up, use, and pay credit card accounts.

Please let me know how else I can help you with managing your vendor transactions in QuickBooks. I'm always here to help. Have a good one!