We can use reports to reconcile what needs to be deposited or not, Mike.
We're unable to reconcile an Undeposited Funds account since it functions differently to other accounts we see in the reconciliation page. Reconciling an account is when we compare the bank statement (cleared and deposited) to what’s in QuickBooks for a specific period of time. The Undeposited Funds account holds invoice payments and sales receipt, like a drawer where we keep payments before taking (depositing) them to the bank. That's why it doesn't show up as one of the accounts to be reconciled since its isn't linked to a bank yet like checking, credit card, or saving bank accounts.
To review and manually reconcile the Undeposited Funds account, we can follow these steps:
- Go to the Accounting menu.
- Select Chart of accounts.
- Find Undeposited Funds on the list.
- Select View register.
For us to reconcile the transactions that are in our Undeposited Funds account, we can deposit these payments to their corresponding bank accounts first. From there, we can reconcile the bank where we deposited the funds to. I've attached articles that will help us clearing the undeposited funds and the reconciliation workflow:
You can always get back to me if you need anything else. Take care!
