Skip to main content
D
dLearned
August 3, 2021
Solved

Reconciling payments recorded into wrong account

  • August 3, 2021
  • 2 replies
  • 0 views

Our QBO payroll was linked to the wrong account (on the chart).  There is no way to reassign the account number on the transactions to show the payments (employee and taxes) on the correct account.  QBO Support advised the only solution was to do journal entries to remove them from the erroneous account and add into the correct one, which I have done as a bulk JE (it is several years of payroll).  However, I do not know how to reconcile the bank statement now, as the downloaded transactions do not have anything to match to.  If I "add" the transactions the payroll expenses will be overstated as they were already properly recorded by QBO (only the transaction from Direct Deposit payable to the bank is incorrect).  Older transactions are not available for matching as "sync" was not enabled (hence why the error wasn't caught sooner) :-(

 

Best answer by JasroV

I appreciate your quick response, @dLearned.

 

Deleting transactions from the Excluded tab permanently removes it. The Excluded tab serves as the trash bin of your deleted download bank transactions.

 

Deleted transactions from the For review tab will go to the Excluded tab. There, you can select the transaction you've deleted and select Undo. This will make the transaction appear again in your For review tab and decide what to do with it again. 

 

You can also see this article for more details about excluding bank transactions in QuickBooks Online (QBO): Exclude a bank transaction you downloaded into QuickBooks Online.

 

When everything is all in place, you can confidently reconcile your accounts. For guidance, feel free to check out this resource: Reconcile an account in QuickBooks Online. 

 

Our door is always open if you need more help matching your accounts. You can also share with me if you have other QuickBooks concerns. I'm always around to back you up. Keep safe! 

2 replies

RenjolynC
RenjolynC
August 3, 2021

Hello, dLearned.

 

I appreciate your time in providing all the details about your situation.

 

You did the right steps in correcting your payroll payments. Since the journal entry is recorded in bulk, we're unable to match it to the downloaded transactions.

 

Instead, you can exclude the transactions from the Banking page and manually clear the ones you recorded in the register.

 

To exclude, here's how:

 

  1. Go to Transactions > Banking.
  2. In the For review tab, put a check mark on the payroll transactions that you can't match.
  3. Click the Exclude button.

Here's a sample screenshot for a visual reference:

 

 

After excluding these transactions, you can delete them in the Excluded section.

 

Then, clear the journal entry by following these steps:

 

  1. On the left panel, click Accounting > Chart of Accounts.
  2. Click the View register link of the bank account where you recorded the journal entry. 
  3. Select the transaction to expand and under the Reconcile column (indicated by a check mark), click the blank field until you see the letter C. This means Cleared and R means Reconciled. 
  4. Hit Save after. 

Once done, you start reconciling your bank account. You can watch the video tutorial in this article: Reconcile an account in QuickBooks Online.

 

Please let me know if you have any additional questions or other concerns. Simply click the Reply button below and I'll get back to you as soon as I can. Have a good day ahead.

D
dLearnedAuthor
August 3, 2021

Thank you for your prompt reply.

 

That makes sense.  One question, when you say to delete them from the excluded tab, does that delete the transaction totally or just from the banking display?  I'd hate to lose the actual transaction detail

JasroV
JasroVAnswer
August 3, 2021

I appreciate your quick response, @dLearned.

 

Deleting transactions from the Excluded tab permanently removes it. The Excluded tab serves as the trash bin of your deleted download bank transactions.

 

Deleted transactions from the For review tab will go to the Excluded tab. There, you can select the transaction you've deleted and select Undo. This will make the transaction appear again in your For review tab and decide what to do with it again. 

 

You can also see this article for more details about excluding bank transactions in QuickBooks Online (QBO): Exclude a bank transaction you downloaded into QuickBooks Online.

 

When everything is all in place, you can confidently reconcile your accounts. For guidance, feel free to check out this resource: Reconcile an account in QuickBooks Online. 

 

Our door is always open if you need more help matching your accounts. You can also share with me if you have other QuickBooks concerns. I'm always around to back you up. Keep safe! 

C
c2double
December 30, 2022

I have the exact same issue, but have not yet made any corrections. There is about one year worth of paychecks being counted twice. Instead of a one bulk JE, is it preferable to make an individual JE for each paycheck? (There aren't that many.) The bank feed account has been reconciled every month so I'm fearful to exclude those transactions now. 

Candice C
Candice C
December 30, 2022

Hey there, @csdouble. 

 

Thanks for joining in on this thread. Allow me to give you some insight into your problem with reconciled accounts and excluding transactions. 

 

If you'd like to exclude these transactions, the best route would be to get a QBOA user to undo your reconciles from each month. From there, you'll be able to exclude the transactions and then re-reconcile the account. Here's a few articles to help you out: 

 

 

Before doing these actions, I recommend consulting with your accountant to be sure this would be right for your business. I hope this helps answer your question. Have a great day! 

Terms & ConditionsAccessibility statement