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cmc-portlandoreg
Level 1

How do I change the default offset account for manually entered AP transactions, both prior and future?

When our bookkeeper makes AP transactions he can't find a way to tell QuickBooks which offset
account to use for the transactions. In the audit trail I see that the transactions are being offset to account 2020 Grants, which is incorrect. It needs to be 2010 Accounts Payable. He'd like to be able to change the offset for both prior transactions and future ones.
5 Comments 5
Maybelle_S
QuickBooks Team

How do I change the default offset account for manually entered AP transactions, both prior and future?

Hello there, @cmc-portlandoreg.

 

In QuickBooks Online (QBO), we can merge the two accounts if it's the same. If not, we can create a journal entry to correct the balances.

 

Here's how:

 

  1. Go to the +New button.
  2. Select Journal Entry under Other.
  3. On the Journal Entry page, enter the transaction date in the Journal date field box.
  4. Tick the Account field and select Accounts Payable from the dropdown list.
  5. Enter the amount under the Credit column, tab to the Name column, and select the vendor name from the dropdown list.
  6. In the next line, choose the offset account and enter the amount under the Debit column.
  7. Fill in the field boxes and make sure the debits equal to your credits.
  8. Press Save and close to keep the changes.

 

For more details about rules to consider when adding a journal entry, check out this article: A QuickBooks Refresher on Journal Entries.

 

Additionally, I'd recommend seeking assistance from your accountant to reclasify transactions.

 

Just in case you need to write off bad debt in the future, see this article: Learn how to write off bad debt in QuickBooks Online.

 

Please know that you can always get back to us if you have other questions. We're always here to help. Take care.

cmc-portlandoreg
Level 1

How do I change the default offset account for manually entered AP transactions, both prior and future?

This addresses past transactions, thanks. Regarding future transactions: How do I change which account QBO picks for A/P postings? I've got two A/P accounts and QBO seems to always pick the wrong one unless I make the one I don't want picked 'inactive', which is a chore to do each time.

TirzahC
QuickBooks Team

How do I change the default offset account for manually entered AP transactions, both prior and future?

Hi, cmc-portlandoreg.
 

It seems like a duplicate post. My colleague has already shared some answer in this thread :https://quickbooks.intuit.com/learn-support/en-us/account-management/re-bills-not-posting-to-ap-acco...

 

For additional tips about working with your vendor/AP transactions, you can check out the topics from this link: Enter expenses, pay bills, write checks, and manage suppliers

 

Just reply to the thread if you have further questions. I'm always available to assist. Stay safe!

cmc-portlandoreg
Level 1

How do I change the default offset account for manually entered AP transactions, both prior and future?

Thanks for your input and links. My specific question ("How do I change which account QBO picks for A/P postings?") is still unanswered, however. Quickbooks Desktop makes it so easy with the drop-down account choice at the top of the payments window (see image), but QBO doesn't seem to have this feature.  

Capture8.2.22.JPGI'm new to the community so a little confused as to which thread I'm posting on so sorry for any duplicates - if anyone has instructions on this I'd be grateful.

DivinaMercy_N
Moderator

How do I change the default offset account for manually entered AP transactions, both prior and future?

Hello there, @cmc-portlandoreg. Thanks for getting back here. I'm happy to share additional information about your accounts payable concern in QuickBooks Online (QBO).

 

I appreciate you sharing details of the issue you're having as well as brief info about the feature you need by comparing the two different programs. First off, let me discuss how the accounts payable works in QuickBooks.

 

When recording bills, the program always uses Accounts Payable as the default account. It is the one that was automatically created when you set up your company. Since you've mentioned that the transactions are being offset to an incorrect account, the most possible reason I can think of is that the default A/P was renamed. 

 

Let's verify it by going to your Chart of Accounts:

 

  1. In your QBO company file, go to the Gear icon and select Chart of Accounts.
  2. Then, locate this 2020 Grants account and click Edit under the Action column.
  3. From there, check to see the Name and Detail Type if it is under Accounts Payable.
  4. Make necessary changes if needed then, click Save.

 

Also, you can only change the account for the manually entered AP transaction in QBO via journal entry. The option to select which account to use just like in QuickBooks Desktop (QBDT) is unavailable. In performing this process, I highly recommend reaching out to your accountant for guidance. This way we can ensure that you select the correct account and prevent messing up your books. 

 

I'd love to know how this goes. If you have any other concerns about managing your accounts payable transactions in QBO, don't hesitate to leave a comment below. I'm just a post away to lend a hand. Have a great week ahead and take care. 

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