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J
JoanDM1211
August 27, 2021
Solved

Clearing account

  • August 27, 2021
  • 8 replies
  • 65 views

I am still learning QBO. I have shopify and a local/physical store. I manually recording monthly shopify sales and  then debited the total amount to a clearing account. Once the shopify sales/payment reflected on the bank, i just categorized the deposits under clearing account to offset the journal entry I made.

Now for the sales coming from local store, I just do the "received payments" and then later on matched with the deposits reflected from the bank feeds. 

My problem now is that when I check on the registry of that clearing account, the payments from sales of local store were also included. It should not be the case because the balance of clearing account should match the shopify sales only.

I checked the information of product and services portion of QBO and note that the income amount of invoices is under Sales of product income. How is it that the payment from the invoice  also goes to the clearing account? Is there something i need to fix/ edit? 

Best answer by Jen_D

It's nice to see you here in the support page for QuickBooks, Joan.

 

I can share some insights on how you can correct the wrong posting of the funds in the clearing account. Normally, income from sales are reported based on the income account used on the items on the sale.

 

If there are incorrect posting of funds, try to review the items sold, and see if the Income Account is correct. Otherwise, you can open the clearing account register and check the transactions under it. This way you will see any duplicate postings and you can correct them.

 

I would like to share some links on how to handle Etsy transactions in QBO:

 

 

If you need anything else with this invoicing topic, please let me know in the comment below. I'll be right here to help you further with your Etsy entries. Have a happy week!

8 replies

Jen_D
Jen_DAnswer
Level 8
August 27, 2021

It's nice to see you here in the support page for QuickBooks, Joan.

 

I can share some insights on how you can correct the wrong posting of the funds in the clearing account. Normally, income from sales are reported based on the income account used on the items on the sale.

 

If there are incorrect posting of funds, try to review the items sold, and see if the Income Account is correct. Otherwise, you can open the clearing account register and check the transactions under it. This way you will see any duplicate postings and you can correct them.

 

I would like to share some links on how to handle Etsy transactions in QBO:

 

 

If you need anything else with this invoicing topic, please let me know in the comment below. I'll be right here to help you further with your Etsy entries. Have a happy week!

    J
    JoanDM1211Author
    August 28, 2021

    Hi Jen!

    Thank you for your response, I highly appreciated your support. I'd like to note thought that I map the products and services under Sales of product income.  It should not be mixed with clearing account because I used different account in categorizing shopify sales - that is Shopify sales sub account shopify sales income. 

    I am confuse as to why the deposits from the bank goes to clearing account.

    I'd like to mention also that when I received payment on my invoices, i used undposited funds and then create a bank deposits. I then matches this on the bank feeds.

    Did I do anything wrong in the process that lead the payment goes to shopify clearing account? 

    Angelyn_T
    Angelyn_TModerator
    Moderator
    September 3, 2021

    Hi Charies! Thank you for your help! When you say deleting bank deposits, are you referring to the bank deposits I manually created to match the deposits/ payments reflected from the bank feeds? 

    Also, I will try the solution you suggest in accessing in cognito and will revert to you. Thanks!


    Hi there, Joan.

     

    Yes, my colleague Charies_M is referring to the manually created deposits or payment transactions. You can do it following these steps:

     

    1. Open the transaction.
    2. Tap on More.
    3. Hit Delete.
    4. Click Yes to confirm the action.

     

    Once done, enter the deposit again. You can check out this link as your reference: Record and make bank deposits in QuickBooks Online.

     

    When everything is in place, you can ​​​reconcile your account to keep your books and balances intact.

     

    On the other hand, please keep me posted with the result when trying the solutions provided using an incognito window. I'm always here to help. Wishing you a good one!

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