Petty Cash

allen25glenn · ‎July 08, 2022

Hi, I have a client and in his Chart of Accounts has a negative Petty Cash Fund Balance. How did it happened?

KlentB · ‎July 08, 2022

Hello there, allen25glenn.

The negative balance/amount in the Petty Cash Fund account normally occurs when there is a credit balance. This happens when a business use funds for expenditures more than it has on hand. You'll want to review the transactions in the account to ensure that everything is recorded accurately. Here's how:

Go to the Accounting menu.
Select Chart of Accounts.
Open the Petty Cash Fund account.
Review the transaction, then make the necessary changes.

I've also added some articles about handling negative deposits in QuickBooks Online:

If you have any other concerns or follow-up questions, just drop them below and I'll get back to you. Have a good one.

View solution in original post

KlentB · ‎July 08, 2022

Hello there, allen25glenn.

The negative balance/amount in the Petty Cash Fund account normally occurs when there is a credit balance. This happens when a business use funds for expenditures more than it has on hand. You'll want to review the transactions in the account to ensure that everything is recorded accurately. Here's how:

Go to the Accounting menu.
Select Chart of Accounts.
Open the Petty Cash Fund account.
Review the transaction, then make the necessary changes.

I've also added some articles about handling negative deposits in QuickBooks Online:

If you have any other concerns or follow-up questions, just drop them below and I'll get back to you. Have a good one.

allen25glenn · ‎July 08, 2022

Thanks for the answer.. i will message you whenever I need help. Thank you.

ChristieAnn · ‎July 08, 2022

Hi there, allen25glenn.

Please know that you're always welcome and feel free to post if you have any other concerns. We’re always here to help. Have a good day!