Can I use "Transfer" to move money out of an Asset account to a Bank Account?

Hi Scott_K,

Thanks for reaching out to Community.  It's great to see you here!  QuickBooks Online banking feature has the flexibility you need when recording your transactions manually.  I'd be happy to help so you can carry on with your day.

I suggest recording the money movement with a transfer, if you haven't imported the transaction from your bank.  Here's how:

1. From the left menu select + New and then Transfer

2.  In the Transfer Funds From dropdown list, choose the bank account the money was taken from

3. Using the Transfer Funds To dropdown list, select the account it's being deposited to

4. Enter the amount being transferred in the Transfer Amount field

5. Edit the Date 

6. Add a description of the transfer in the Memo field (optional)

7. Hit Save and close or Save and new to complete 

8. Select Yes if you double checked the date

The transfer will be recorded in each account in the chart of accounts.

If the transaction has been imported, you can match it by following these steps:

1. Select Banking or transactions from the left menu

2. Choose the tile for the account that the transaction is coming from

3. Locate and select the transaction to open it

4. Choose Record as transfer and then, from the Transfer account dropdown, select the account the money was transferred to

5. Click on Record transfer

6. Select the account where you transferred the funds

7. rom the Action column, select Match so the transaction is matched in both accounts

You're all set!

Here's a helpful article for your reference when transferring funds between accounts in QuickBooks Online.

Should you prefer to record the transaction using a journal entry, it's best to reach out to your accountant for assistance.  If you don't have an accountant, we can help you locate a ProAdvisor in your area.

If you have any other questions, please don't hesitate to reach back out.  We'd be happy to assist!