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GabeFleming
November 28, 2023
Question

Main/Sub Bank accounts and reconciling

  • November 28, 2023
  • 1 reply
  • 0 views

I'm currently facing an issue with my reconciliation process in QuickBooks, and I'm hoping someone here can provide some guidance.

 

As a rep-payee, I recently received permission from the SSA to utilize a collective account to manage funds for multiple individuals. In QuickBooks, I have set up a Parent bank account with several Child bank accounts attached to it to keep track of each individual's ownership.

 

Here's where I'm encountering a challenge: I made a deposit for two different individuals, and I forgot to request the teller to split them up. So when the bank statement arrived, I was unable to correctly match the 1 transaction with the 2 transactions that were displayed in the parent account.

 

Ideally, I would like the deposit to show as a single deposit in the Parent account, while also being split up into the respective Child accounts for each individual in QuickBooks. For example, if I made a $200 deposit for 2 different people, I want the parent account to show $200, while the child accounts show $80 and $120 respectively. This was my reconciliation will look clean, and I can also keep track of how much money each person has in the child accounts. 

 

I'm wondering if anyone has experience with a similar situation or if QuickBooks has a feature that allows for such transaction splitting. Any advice or workaround suggestions would be greatly appreciated.

Thank you in advance for your help!

1 reply

S
ShyMae
November 28, 2023

I've got the information you need, GabeFleming. I'm here to help you achieve your desired outcome. 

 

Currently, QuickBooks Desktop does not have a direct feature to split transactions from a parent account to different sub-accounts. However, there's a workaround that can help you achieve the desired outcome.

To address this issue, the best approach would be to exclude the bank transaction first. After excluding the transaction, you can create separate deposits for each of the sub-accounts. While this process may involve additional steps, it will enable you to maintain clean reconciliation records and ensure accurate tracking of funds for each individual.

Here's how:

 

  1. Go to Banking, then select Make Deposits.
  2. In the Deposit To column, select the sub-account you want to put the deposit into
  3. From the Received From column, choose your customer. 
  4. Enter the date you deposited at your bank.
  5. Once done, tap Save & Close.
     

Repeat the process for the second sub-account. 

 

Once done, follow these steps to mark the transactions as cleared in the register manually:
 

  1. Go to Lists, then select Chart of Accounts. 
  2. Find the account you want to review.
  3. From the ✔ column, click the blank space until the ✔ is visible. It means that the transaction is now cleared. 
     

I'm adding this article for you to have a guided when you reconcile your account in QuickBooks Desktop: Reconcile an account. 

 

You can reach out again if you require additional help or clarification regarding your transactions. I'm always here to help you. Best wishes!

G
GabeFlemingAuthor
November 29, 2023

Thanks for the reply!

 

But I don't actually see how this fixes the issue that I am having. When I go to reconcile, I reconcile the parent account, not the child accounts. Following the process that you are describing, this will still show up as two separate transactions instead of one. 

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