How do i record cash being withdrawn from my bank account and then being put into our petty cash - used for purchases?

I will make certain that this gets resolved for you, poppingdeliciou. This way, you can seamlessly use your petty cash account in QuickBooks Online (QBO).

You can pay for minor expenses with petty cash, a handy source of your funds. If you haven't already, please create a petty cash account in QBO to track your transactions related to it. Here's how:

1. 1. Go to Settings ⚙ and select Chart of accounts.
   2. Click New and pick Cash and cash equivalents from the Account Type dropdown.
   3. From the Detail Type dropdown, choose Cash on hand.
   4. Enter Petty Cash in the Name field.
   5. The opening balance will be created when you move money from the current account by writing a cheque or transferring funds. If you already have money to use for petty cash, enter the amount in the Balance field and select the as of date.
   6. Tap Save and Close.
      
      

After that, you'll have to record the cash you withdraw from your bank account, depending on how you do it. Proceed with these steps if you wrote the cheque for cash:

1. Click the + New button, then pick Cheque.
2. Choose Petty Cash as the payee. Select + Add new if petty cash isn't in the list of payees.

Otherwise, follow these if you took out the cash without writing a cheque:

1. Tap + New button.
2. Choose Transfer.

For more information about recording cheque or transfer entries, visit these articles:

• Create and record cheques in QuickBooks Online
• Transfer funds between accounts

When using it for your purchases, record taking cash from petty cash as an expense transaction with petty cash as the payment account. The amounts on the slips of paper and the cash you have left should add up to the amount you deposited in the box. Check out this resource for detailed info about this option: Set up and use petty cash in QuickBooks Online.

That should do it! Please let me know how it goes or if I can assist with handling your petty cash by leaving a comment. Have a good day ahead!

What do i put in the VAT default code?

Hi,

    There is no Cash and Cash equivalents in my account.  I would have to pick Bank and then Cash on hand. 

I want to verify what version of QuickBooks Online you are using or in what region, @cconsoar? I 'm here to provide some insight into the different terms associated with each version.

Typically, the Cash and Cash Equivalents account is designated for non-US accounts. In the US versions of QuickBooks Online, the term Bank is used within the Chart of Accounts.

See the screenshot below:

I'm popping in this link so you can learn more about setting up the chart of accounts in QuickBooks: Learn about the chart of accounts in QuickBooks Online.

Reach out anytime you need help with setting up your new QuickBooks account. I'm dedicated to ensuring you have the best experience possible. Have a great day.