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R
regan_trow-outlo
August 28, 2024
Question

I'm adding locations to all transactions. I have been able to add locations to everything apart from "Exchange Gain or Loss" entries. How do I add location to these?

  • August 28, 2024
  • 1 reply
  • 0 views
These are specifically the journal entries for revaluing currency. When I try to edit the journal entry or add location using the Reclassify transactions tool it won't let me or throws an error. Interestingly, the Reclassify transactions tool allows me to add a location to every account line item in the revaluing currencies journal entries except the line item for Exchange Gain or Loss.

1 reply

S
ShyMae
August 29, 2024

I understand you want to add a location to your exchange gain or loss entries. I recognize the importance of this feature in accurately managing and reporting your financial data, Regan.

 

The location tracking in QuickBooks Online is designed to classify information based on different locations, offices, regions, outlets, or departments within a single company.

 

The exchange gain or loss amounts are calculated separately from the source transaction once the payment is applied. The adjustment is automatically generated by the system, so editing or adding a location to it is currently unavailable. This process guarantees that the financial records precisely represent the actual value of transactions in the company's main currency.

 

Regarding the error you encountered, could you please provide a screenshot? It will help me offer the necessary information or fix the issue.

 

For additional reference in creating journal entries, refer to these articles:

 

 

Let me know if you have other concerns. I'm always here to provide information and help you fix any challenges you may encounter.

R
regan_trow-outloAuthor
September 2, 2024

To be clear - I do not want to change the value of the exchange transaction in any way - all I want to do is add a location to each individual line item (like you can do for every other journal entry). Adding a location doesn't alter the transaction in any real way, other than classifying the line item to the right location so it can be reported on accurately.

 

Given all I am wanting to do is a location classification is there a better explanation on why we aren't able to allocate locations to exchange gain/loss? What's the logic when every other journal entry can be allocated a location? As a result of this lack of basic functionality we are left with Income Statement and Balance Sheet reports that are forced to have an unclassified column purely for this single type of transaction. It's messy and unwieldy and as a result also messes up the values for the accounts for the locations (because they should have the foreign currency piece included).

 

People pay extra to get access to using Locations but it seems like it doesn't work as advertised if there are transactions that are impossible to split into location and mess up all your reporting numbers. If this is the state of the feature it shouldn't be included as a paid upgrade item. Realistically, if QBO are unable to properly classify by location, it means having to find another provider that can - which I'd prefer not to have to do because it's a hassle, so please if there's anything that can be actually done to properly allocate locations to all transactions, please make it happen.

 

 

JenoP
JenoP
September 2, 2024

The Location feature is designed to provide additional information on transactions involving specific physical locations or departments within a business, Regan. I'd like to join you and offer my assistance on this matter.

 

On the other hand, exchange gain/loss transactions refer to variations in the value of foreign currency transactions caused by fluctuations in exchange rates. These types of transactions are often recorded in a bank account specifically designated for foreign currency transactions.

 

After making some adjustments through the Revalue currency feature, QuickBooks will create a journal entry for the amount to show up in your Profit and Loss report.

 

While you can't directly assign a location when revaluing currency, you can open the journal entry and manually assign the details after the fact. Allow me to show you how:

 

  1. Open your Profit and Loss report and look for the Exchange Gain or Loss section.
  2. Click on the amount.
  3. Look for the journal entry and click on it.
  4. Add the location details under the Location column.
  5. Click Save.

 

I'd also recommend sending feedback directly to our product engineers about locations to exchange gain/loss entries. Here's an article as a guide: How Do I Submit Feedback?

 

Feel free to check out these articles for additional reference materials when creating currency adjustments:

 

 

Don't hesitate to always ask for help in the forum if you need anything else when managing currencies, editing exchange rates, and dealing with international transactions in QBO. We're just around the corner to make sure all your inquiries are taken care of.

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