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I have searched and searched, watched YouTube and I am sure the issue is I am not searching the question the right way. So, here I am looking for help.
I am setting up a new set of books and have never dealt with stock (preferred, common, treasury). I have the amounts as of 1/1/22, and know I have to set up an Equity account, seems easy. I don't understand how to set up a beginning balance in the Equity section without it also entering a Beginning Balance Equity. I believe the cash is the other side of the entry I need, however, I don't know when these purchases happened and if I enter a stock purchase it depletes my cash and messes up my beginning balance on the cash account. I am sure this is simple but its just not clicking. Thanks in advance for any response!
I appreciate your effort for trying to look for a solution before posting here in the Community, @RobinB1. I'd be glad to assist you on how we can enter an opening balance from the Equity section.
Once done setting up the Equity account in QuickBooks Online, we can proceed with manually entering an opening balance. I'll guide you with a steps below:
To begin with, make sure you know the amount you need to enter for your opening balance.
You can refer to these articles for more insights:
I've also added this article if you want to match your account with your bank and credit card statements in the future: Reconcile an account in QuickBooks Online.
If you have clarification or additional information with managing your Equity account, feel free to tap the Reply button. I'll get back to you as soon as possible. Have a prosperous business!
Thank you so much for you response. I already did JE's for my opening balances in my 3 Equity accounts (sample of 1 attached). I guess the issue is it changes the cash when I do this, as it should. However, my cash figure that the owner gave me already takes into account the decrease in cash. Would a work around be to add the cash back in to my cash figure and create a beginning balance in cash that then allows my JE's to deduct the cash account and still come up with the same figure as my starting cash? Basically I just want to start with a balance in my Equity account and not have have the other double sided entry of cash. I know, I know....I can't do that but my brain isn't backtracking on how I can just get to that point.
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