Unapplied Cash Bill Payments Expense

Thank you for bringing this to our attention, @treasurer11.

Allow me to provide guidance on how to clear the unapplied account on your statement.

Firstly, it is essential to check for any duplicate payments that could be causing the unapplied account. You can do this by running a Transaction List by Vendor report and filtering it by the specific Vendor. If you identify any duplicate payments, open them and delete them to resolve this. 

If no duplicate payment payments are found after running the Transaction List by Vendor report, the unapplied account may be due to bill payment dates preceding vendor bill dates. This lead to the expense being recognized before the bill date, resulting in a balance in the Unapplied Cash Bill Payment Expense account. To resolve this, open the bill payment and edit the date. By doing so the unapplied account will be clear in your statement.

You can also read this article for the complete details: What to do if you see unapplied cash bill payment expense on your profit and loss.

Allow me to share these articles in case you need more guidance and resources when working with your banking transactions: 

• Add purchase orders to expenses, bills, or checks in QuickBooks Online
• Enter and manage bills and bill payments in QuickBooks Online

Feel free to reply to this post if you have further questions or concerns about running reports in QuickBooks Online. I'll be happy to lend a hand. Have a good one!

This is a date driven issue.  Look for payments applied before the bill date.  If you make a payment it should always be after the bill date otherwise QBO will create a journal entry.  Unapplied Cash is the same thing as Pre-Paid bills.

Always watch your dates when doing your data entry and this will save you a ton of headaches. 

@treasurer-ichc-n 

On cash basis, when you pay a bill before the bill date, it records the payment as an Unapplied Cash Bill Payments Expense since there was no bill dated prior to the payment being made.  On accrual basis, these payments will be recorded as reduction (debit) of A/P, not an Unapplied Cash Bill Payments Expense.