How can you make a general entry with Accounts Receivable Subaccounts?

sean5 · ‎December 10, 2018

I found out that you cannot use more than 1 A/R or A/P in a General Journal Entry. I get the error when I attempt to add in the info. I am attempting to manually enter in our sales from our POS. I want to separate the Cash, AMEX, and other Credit Card transactions. I also want to record the amount of sales tax that should be paid for that month. I have a Credit Card Receivables account with 2 sub accounts: AMEX and VISA/MC/Other. That is how our POS splits them up. The transaction that I attempt to put in is this:

Debit: Undepsited Funds (Cash), Credit Card Receivables:AMEX, Credit Card Receivables:VISA/MC/Other

Credit: Merchandise Sales, Sales Tax Payable, Deposits, Gift Cards

This would allow me to split cash and credit card transactions up so I can keep track of them. It would also allow me to keep track of when the taxes are paid each month and whether they match up. I don't understand why this doesn't work. Since it doesn't, is there a different way to do this so that I don't need to make multiple entries? Or if I do need to make multiple entries, how would it make it look the least messy?

Thanks in advance for anyone's help for this.

qbteachmt · ‎December 10, 2018

It is the same thing you can do.

The function you are trying to manage is NOT AR. AR = unpaid sales.

You have been paid. Paid by credit card. The customers have paid you. That is done. You just didn't get the money from the Card provider yet.

Now, you are working on Banking, not AR.

Yes, one way to do this is to post each type of Credit Card amount to its own bank account. Then, you can use that bank account to enter the processing fees you incur. You also would then use a Transfer fucntion when there is settlement, FROM the credit card bank account to your real bank account.

None of this is AR. It is Banking.

But the other tool you have is Undeposited Funds. If you identify the payment types, then they can ALL sit in UF until the various merchant account providers have made their settlement to your real account.

You haven't told us anything about how you are processing Sales. Credit Card Payments, Checks and Cash are NOT your sales. They are Payments.

That is why I gave you that link. That link is exactly what you use when you are simply using QB to summarize. That is called Daily Sales Summary.

If it doesn't make sense because you are seeing it on PC QB, then go here:
http://www.qblittlesquare.com/?s=sales+summary

View solution in original post

Raywhite28 · ‎December 10, 2018

You will need multiple journal entries to do this. There is no way around entering 1 A/R or A/P per journal entry.

sean5 · ‎December 10, 2018

I am able to make the journal entry if I just use the Credit Card Receivables account without splitting them up. Do you have a suggestion how to split them up into the AMEX and Other Credit Card category in a separate journal entry? It seems like I would have to put it into another account in between adding it to the separate Credit Card Receivables categories. This seems like a much harder way to do it. But I don't get how it can be easier and less messy.

qbteachmt · ‎December 10, 2018

Credit Card is not a receivables process. AR = unpaid sales. You are waiting for settlement from merchant accounts? That is banking, not AR.

Here is the tool you would like:
http://longforsuccess.com/2011/09/20/daily-sales-summary-for-retailers-restaurants-ecommerce-and-mor...

You need to be setting up and using your Payment Items and Payment methods/types more specifically.

sean5 · ‎December 10, 2018

Are you saying set the account type for the Credit Card Merchant Accounts as "Bank" instead of "Accounts Receivable" to make it work? We make the sales and then receive the money days later, so they have to be set up to equal out somehow.

I checked what the website link said, but I don't know where that is set up in Quickbooks and it seems to be different than what I am able to do on the Mac version of Quickbooks. Unless I am just looking in the wrong place.

qbteachmt · ‎December 10, 2018

It is the same thing you can do.

The function you are trying to manage is NOT AR. AR = unpaid sales.

You have been paid. Paid by credit card. The customers have paid you. That is done. You just didn't get the money from the Card provider yet.

Now, you are working on Banking, not AR.

Yes, one way to do this is to post each type of Credit Card amount to its own bank account. Then, you can use that bank account to enter the processing fees you incur. You also would then use a Transfer fucntion when there is settlement, FROM the credit card bank account to your real bank account.

None of this is AR. It is Banking.

But the other tool you have is Undeposited Funds. If you identify the payment types, then they can ALL sit in UF until the various merchant account providers have made their settlement to your real account.

You haven't told us anything about how you are processing Sales. Credit Card Payments, Checks and Cash are NOT your sales. They are Payments.

That is why I gave you that link. That link is exactly what you use when you are simply using QB to summarize. That is called Daily Sales Summary.

If it doesn't make sense because you are seeing it on PC QB, then go here:
http://www.qblittlesquare.com/?s=sales+summary

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How can you make a general entry with Accounts Receivable Subaccounts?