PayPal Bank and Undeposited Funds

So here's how I handle this type of transaction.  First, create a Bank account named something like "PayPal Bank".  When the customer pays via PayPal, receive the payment in QB as usual, then deposit the payment in QB to the PayPal Bank account .  Then when the money comes out of PayPal into your regular Bank account, handle it as a transfer from the PayPal Bank to your regular Bank account.  This way, the customer gets credit for the payment on the date your PayPal account received the money, and when the money leaves your PayPal account and goes to your regular bank,  the balances of both the PayPal Bank and your regular bank accounts remain accurate.  Granted, you'll now have to reconcile both the PayPal Bank account and the regular bank account, but by handling the movement of the money from PayPal to your bank as a transfer, you'll have a more accurate statement of your cash assets.

BTW, Square and Zelle payments will automatically show up in your regular Bank account, so no need to set up a new bank account for those types of e-payments.  However, you could use the Payment Method field in the Customer Payment screen to record when the payment is made through Square, Zelle, PayPal (or Venmo, or any of the other e-payment methods out there).  If you add these to the Payment Method List, they'll automatically show up on the Make Deposits screen.  Then you'll be able to see how the money got into your regular bank account.  This will help if you need to create a report where the Method of Payment is tracked.