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August 21, 2023
Question

Recording deposit corrections

  • August 21, 2023
  • 1 reply
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How do I record a NEGATIVE deposit correction from the bank?

1 reply

August 21, 2023

Hello there, @Cindy H413. I've got two ways for you to record a negative deposit correction from your bank.

 

The first step is to add a line item that reflects the adjustment amount. However, it is important to make sure that the transaction balance doesn't become negative. Here's how:

 

1. Open the Accounting menu and select Chart of Accounts.

2. Locate your account where the deposit is made then click on View register.

 

3. Find and tap the transaction. After that, hit Edit.

 

 


4. Go to the Add funds to this deposit section and enter another item.
5. On the Amount field, add the correction amount.
6. Once done, click on Save and close. See the image below for reference:

 

Another option is to issue a check. In this case, you'll need to input the correction amount as a positive value since writing a check is already a money-out. This will help balance the transaction and offset the previous error. I'll show you the steps to do this:

 

1. Click on the +New icon then select Check.

2. Choose a Payee from the drop-down.

3. Select a Category and enter the amount.

4. Fill out all necessary fields and click on Save and close once done.

 

I'd also recommend reaching out to your accountant for any additional accounting-specific advice to keep your books in order.

 

I'm also including this module with information to learn more about fixing discrepancies on your account balances: Reconcile account in QuickBooks Online.

 

That should do it. Comment back for more assistance with banking and I'd be glad to guide you through. Have a good one!

August 21, 2023

Thanks for the info.  I basically entered it as a -.01 deposit with a memo and QB moved it from the deposit column to the expense column.  That works for me. (So basically your option number 2)

Thank you,

Cindy

August 21, 2023

Thanks for following up with the Community, Cindy H413.

 

I'm happy to hear Mich_S was able to help with recording negative deposit corrections in QuickBooks.

 

You'll also be able to find many detailed resources about using QuickBooks in our help article archives.

 

Please feel welcome to send a reply here or create a new thread if there's ever any questions. The Community's always here to help. Have an awesome Monday!