I'm trying to add a new sub-category to the Stock asset account, and I need to set the opening balance. However, it gives the error "Select a non-stock account for your deposit"
Why can't I use the Stock account for stock and set a balance?
I'll help you get this sorted out.
I've tried this on my test company and found that you'll get this error when you enter a balance when adding the stock account.
To use the account, you can enter zero in the Balance field. After saving the stock item, the balance will be automatically updated based on the initial cost of the stock item multiplied by the number of quantity on hand.
I've got this sample screenshot for a visual reference:
I'm also adding this article that you can read for more information: Set up and track your stock in QuickBooks Online.
Please let me know if you have additional questions or other concerns in your reply. I'll be right here to answer them. Have a great day!
Thanks for the reply. We are on the Essentials plan, so don't have full stock tracking turned on. Does this mean we can't use the normal Stock account and have to create our own stock accounts under Other current assets?
You can still use the stock account, Steven_ZA.
When doing so, ensure to enter zero on the Balance column. Afterwards, the balance will automatically update based on the initial cost of stock multiplied by the quantity on hand.
You can use the screenshot shared by my colleague for a visual representation.
Feel free to pin this guide about tracking stock: Set up and track your stock in QuickBooks Online.
Don't hesitate to mention my name if ever you needed help. Keep safe!
Thanks for getting back to me, Steven_ZA.
Since the option for full stock stacking is available in QuickBooks Online Plus version, we're unable to use the normal stock account and create a different one under Other Current assets.
If you want to use the stock account, you may want to upgrade your subscription.
Here's a reference on how we can upgrade the account: Upgrade or downgrade your QuickBooks Online subscription.
Keep me posted if anything arises.