Learn how to exclude a downloaded bank transaction from your expenses in QuickBooks Online.
Downloading your bank transactions automatically into QuickBooks can save you a lot of time. Sometimes, though, you may want to keep a downloaded transaction from going into your company expenses. Here’s how to exclude it and keep your books in order.
Or, find out how you can exclude transactions in the QuickBooks mobile app.
Step 1: Check if you should exclude the transaction
Before you exclude a downloaded transaction, make sure it’s the right thing to do for your accounting.
When you exclude a transaction, it doesn’t appear in any account registers or financial reports. Depending on the type of transaction, this may make it easier or harder for you to reconcile an account. Here are a couple situations to consider.
If it's a duplicate transaction
If a downloaded transaction is a duplicate of one you already recorded in your books, excluding it makes sense. You can go on to step 2.
If it's a personal expense
If the downloaded transaction is a personal expense, it’s best to add it to QuickBooks, rather than exclude it. Otherwise, your bank account in QuickBooks won’t match your bank statement when you reconcile it.
To avoid recording the transaction as a business expense, many business owners add the transaction to an equity account they’ve created, called an owner’s draw.
As always, check with your accountant or bookkeeper if you’re not sure how to handle a personal expense or any other type of transaction. Need an expert? We can help you find a ProAdvisor.
Step 2: Exclude a downloaded transaction
Once you confirm that excluding a transaction makes sense, here’s how to do it:
- Go to the Banking menu or Transactions menu, then select the Banking tab.
- Select the For Review tab.
- Select the checkbox of the transactions to exclude.
- Select Exclude.
The transaction moves to the Excluded tab of the Banking page.
Tip: If you accidentally exclude the wrong transaction, that’s easy to fix. Just select the Excluded tab, select the checkbox for the transaction, and then select Undo. The transaction goes back to the For Review tab so you can decide what to do with it again.