Let me shed some light about managing transactions in QuickBooks Checking, nate. By gaining a clear understanding of this process, you'll be better equipped to manage your finances and maintain accurate records within QuickBooks.
Please be aware that envelopes are essentially a part of the QuickBooks Checking account. Moving funds to envelopes serves as an additional compartment to help manage spending by setting money aside.
Hence, the QuickBooks Checking balance remains unchanged or balanced, as these are considered internal money movements. This also explains why entries from envelopes do not appear in your bank feeds or check register during reconciliation, as there are no external transfers posted to your bank.
Therefore, when reconciling your account in QBO, you can disregard the envelope transfers from the statement, as those transactions are posted only within QuickBooks Checking.
Moreover, you don't need to document these transfers. Nevertheless, it's advisable to consult an accountant for precise information on this matter. They can assist in ensuring your account reconciliation is accurate. An accountant can offer guidance and ensure that all required actions are taken to manage the situation effectively.
You can review these articles for more comprehensive details about envelopes and fund transfers:
Let me know if you have additional questions about managing envelopes or reconciling your account. The Community always has your back!
