We appreciate your prompt and detailed response, justdave72. I can help you clear your Undeposited Funds account in QuickBooks Oline (QBO).
To clear both the check and Journal Entry (JE) from undeposited funds, create a deposit for the check and then modify the JE to credit your bank account. These actions ensure that your financial records accurately reflect the actual cash flow. I'll guide you through the process.
First, create a deposit:
- Go to + New.
- Select Bank Deposit.
- From the Account dropdown, choose the account you want to put the money into
- All transactions in your Undeposited Funds account appear in the bank deposit window, select the checkbox for the transaction you want.
- Hit Save and close.
Next edit the journal entry. Here's how:
- Open the Journal Entry you've previously created.
- From the Account field, Credit the bank account you're using and Debit the Accounts Receivable.
- Select Save and Close.
Despite these changes, please keep the JE and the bounced payment (unapplied payment) linked. You may refer to these helpful resources for more info on the topics above:
For future reference, refer to this article on ensuring your accounts match your bank statements: Reconcile an account in QBO.
We want to help you make your financial processes easier and clearer. Please comment again if you have any questions about handling checks or running reports. We'll ensure you have a smooth experience with QuickBooks. Have a great day ahead!
