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Lizaluuu1
December 6, 2023
Question

QBO Bank balance vs Balance in Quickbooks

  • December 6, 2023
  • 1 reply
  • 0 views

hi QB community! I recently migrated from QuickBooks Desktop for Mac to QuickBooks online. I had been manually entering bank transactions and bill payments/ receipts in QBD but in QBO I have connected my bank account. I'm confused by the two accounts in the COA -- my legacy Bank Acct from QBD (1001), and now another account, which is listed as a sub account of 1001. There's now a discrepancy in what Quickbooks shows vs the actual bank balance. I've attached a screen shot to illustrate.

 

I did delete an opening transaction that had been generated at the time of migration -- it had the balance off by about $18K so I deleted it. Whoops?

 

I just don't understand the dual tracking/ dual accounts and how to manage. Thank you!

 

Liza 

1 reply

M
MirriamM
December 6, 2023

Hello there, Liza. 

 

Let me help share information on how your Bank balance and QuickBooks balance work for your bank account in QuickBooks Online (QBO).

 

The Bank Balance in QBO is the actual bank balance of your account from the last bank feed update, while the QuickBooks balance is the sum of all bank transactions that you've added or matched.

 

Also, there are possible reasons why these balances don’t match. These are due to the following:

 

  • Outstanding transactions.
  • Card (liability) account.
  • Edited or deleted transactions.
  • Duplicate transactions.
  • New transactions for a connected account.

 

To fix this, I recommend categorizing and matching your downloaded transactions based on your bank statement to check what causes the difference. You can do so by following the steps outlined in this article: Categorize online bank transactions in QuickBooks Online.

 

On the other hand, it's most likely that the second account showing as a sub-account was created after you migrated. In this case, you'll need to deactivate the parent account and make the sub-account the parent since it is connected to QuickBooks. You may also want to transfer the transactions from the sub-account to the parent account.

 

When ready to reconcile in the future, see this resource for a guide: Reconcile an account in QuickBooks Online.

 

If you have follow-up questions about your bank balances, feel free to leave a message in the comment section. I'm here to lend a hand. Stay safe!

L
Lizaluuu1Author
December 8, 2023

Thanks Mirriam, I appreciate it. I think I still have questions --

 

why are their two separate accounts? In my case 1001 LLC Checking and the new subaccount created by QB

 

all transactions are accounted for, it's just that the balance is showing this big discrepancy. That's where I'm a bit lost. Is there an AJE that should be made? 

 

Thanks!

L
LollyNino_C
December 8, 2023

Thanks for joining the thread and sharing the details of your concern, @Lizaluuu1. We understand how frustrating it can be when you encounter difficulties with tracking and recording transactions in QuickBooks Online (QBO) due to runtime issues. 

 

We want to help you resolve this matter as soon as possible. Let's work together to find out the discrepancy and sort this issue out so you can get back to business in no time.

 

If your bank registered balance in QBO doesn't match your actual bank balance, several factors may cause the balances to vary. You may need to verify why they don’t match and fix them accordingly.

 

First, review the transactions in both accounts to ensure that all transactions are accurately recorded and categorized. Look for any discrepancies or missing transactions that could be contributing to the balance difference.

 

Journal entries are the last resort for entering transactions. You can reverse it if you need to update or correct its entries. Then, delete it if you've created the entry by mistake.

 

If you're unable to pinpoint the cause of the balance difference or if the issue seems complex, consider seeking assistance from a professional accountant or financial advisor. They can help you analyze the situation and make the necessary adjustments to reconcile the accounts.

 

Once you're all set, you can explore the following resources to assist you in effortlessly managing your transactions and accounts:

 

 

I'll be around if you need more help managing your bank transactions and books with your QuickBooks Online. Keep me in the loop by tagging me in your reply.

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