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Level 1

How do I record accounts payable?

4 Comments 4
Level 15

How do I record accounts payable?

enter a bill from a vendor

Ashley H
QuickBooks Team

How do I record accounts payable?

Thanks for reaching out to the Community, @carbonbiomass. Let me provide you with more information on Accounts Payable in QuickBooks Online.


QuickBooks Online organizes Accounts Payable data for you so that you will always know how much you owe vendors and when your bills are due. You can easily print reports such as the Unpaid Vendors Report, the A/P Aging Report and the Vendor Detail Report so that you can efficiently manage Accounts Payable.


I've provided steps below on how to enter bills in your account:

  1. Press on the +New button on the left-hand menu, then select Bill.
  2. Fill out all the necessary information.
  3. Hit Save and Close.

Here's an article that provides information on how to enter the payment for the bill.


If you have any further questions, don't hesitate and reach back out! I'm always here to lend a helping hand.

Level 1

How do I record accounts payable?

Hi Ashley,

I've just taken over the Quickbooks Online file and it has multiple accounts payable accounts in their chart of accounts. 

They have the regular Accounts Payable account.

Then they have Federal Corp. Taxes Payable and Provincial Taxes Payable accounts also set up as accounts payable accounts.

The bills they get from various suppliers got posted to the regular Accounts Payable account as they should be until October. And then from November onwards, all the bills are getting posted to Federal Corp. Taxes Payable account.

Quickbooks online doesn't give you the option of choosing the AP account like Quickbooks desktop does.

How do I go about fixing this to setup the regular AP account as the default AP account so that all the bills get posted to this account?


I reversed all the bills that were incorrectly posted and zeroed out the Fed. Corp. Tax. Payable account. Then I tried changing the account type to Current Liabilities instead of Accounts Payable. That didn't work as QBO doesn't let you change the account type of an account originally set up as an AP account.


Please help!

QuickBooks Team

How do I record accounts payable?

Thanks for joining the thread, @Baffled2.


I appreciate you for sharing the details you’ve done to isolate this issue. Rest assured I’m here to help and share with you some insights on how to manage your Accounts Payable (A/P) and fix this.


In QuickBooks Online (QBO), you can create multiple accounts in your chart of accounts. Since you have more than one A/P account, this makes the system disorganized resulting in posting to the wrong A/P account. To ensure your book is well organized, we recommend maintaining one A/P and one Account Receivable (A/R) account. 


You can also read through this article for more information in managing your A/R and A/P accounts: How to group Accounts Receivable or Accounts Payable account types.


To get around this issue, let’s merge your Federal Corp. Taxes Payable account to the default A/P account. Let me show you how:


  1. Go to your Chart of Accounts.
  2. Locate your Federal Corp Taxes account.
  3. Select the drop-down menu beside the View register link under the Action column and select Edit.
  4. Change the Name and Detail Type of your Fed. Corp. Tax account to Accounts Payable (A/P) (make sure there are no sub-accounts when merging the two accounts). 
  5. Click Save, then select Yes to confirm the changes.

You can also check this link for the complete guidelines: Merge duplicate accounts, customers, and vendors in QuickBooks Online.


When everything is good, you might want to read this article for future reference: Reconcile an account in QuickBooks Online. This link can walk you through the steps in matching your accounts effectively in QBO.


If you have other concerns or questions about supervising your accounts, tag me in your reply. I’d be more than happy to work with you again. Have a great day ahead and always stay safe.

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