Clearing Accounts

Hello there, NewTo23.

I understand that managing clearing accounts can be a bit confusing.

To ensure that the clearing accounts net to zero, you'll want to make sure that the total amount of money coming into the clearing accounts (such as from credit card sales, cash transactions, fuel sales, and non-fuel sales) equals the total amount of money leaving the clearing accounts (such as payments to the bank and transfers to your income accounts).

Furthermore, you can create a journal entry to offset the balances. Here's how:

1. Go to the +New button.
2. Under Other, select Journal entry.
3. Put the Journal date.
4. Choose the account from the drop-down arrow and enter the amount in the appropriate column based on whether it's a debit or credit.
5. On the second line, choose the other account and enter the same amount with the opposite debit/credit as the first line.
6. Hit Save and close.

I also recommend seeking assistance from your accountant to help you choose the correct account.

Additionally, regularly reconcile the transactions in each clearing account by matching them with the corresponding bank and income account transactions to ensure accuracy.

I've added an article on handling daily sales in QuickBooks: Record your total daily sales.

Let me know if you have more questions about QuickBooks clearing accounts. I'm always here to help. Take care!

@NewTo23 

Presumably, the balances in these accounts net to $0, correct?  

To clear these balances, you need to make a journal entry.  Credit card and income account types are cleared with a debit if they have a positive balance and a credit if they have a negative balance.  Bank account types are cleared with a credit if they have a positive balance and a debit if they have a negative balance.