I'm having dificulties understanding the Opening Balance Equity and how to address it when I reconcile bank and credit card accounts in QB.
I'm trying to reconcile QB for the first time, and the OBE is throwing me off. For example, a bank account has an OBE of $300, which I assume was input during the inital set up of this QB (I did not perform this myself). However, QB also downloaded the account's beginning balance of $300 from the bank automatically. This was the only "transaction" on this statement.
The OBE shows up as "Reconciled" on the register of the bank account. When I go to reconcile, I'm shown a beginning balance of $0. When I try to reconcile the one transaction of $300 as downloaded from the bank, I'm shown a deposit of $300 and a difference of -$300. It only balances when I uncheck the $300 line item.
I also went back and tried marking the OBE as unreconciled on the register, but that still leaves $300 floating around when I try to do the reconcilation. I don't know what my next step should be!
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