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December 3, 2023
Question

Can someone advise how I add a PCP vehicle into Quickbooks... step by step guide? I use my vehicle for 80% business and 20% personal.

  • December 3, 2023
  • 1 reply
  • 0 views
I have also been given many options such as...
Full amount, minus 20% and divide this over 3 years
or
Monthly payments, minus 20%

1 reply

JaeAnnC
December 3, 2023

Thanks for reaching out to us, Angiwht. I'll be glad to assist you in entering a Personal Contract Purchase (PCP) vehicle into QuickBooks Online (QBO).

 

First, create the appropriate accounts in QBO. To do that:

 

  1. Go to the Gear icon and select Chart of Accounts
  2. Click New.
  3. Choose the Account Type and Detail Type. If the agreement is 12 months or less, select Current Liabilities with Loan Payable as the detail type. If more than 12 months, select Non-current liabilities with Notes Payable as the detail type.
  4. Enter the account Name. Leave the unpaid balance empty, then Save and Close.
  5. Select New in the Chart of Accounts page.
  6. Select Tangible Assets for the Account Type and Vehicles for the Detail Type.
  7. Provide a name for the account. Leave the balance field empty and click Save and Close.

 

Once done, create a Journal Entry to record the value of the assets and the amount owed on the PCP. Then, enter your initial payments. For the detailed step-by-step guide, please refer to this article: Record a Hire Purchase Agreement in QuickBooks Online.

 

Moreover, QBO provides financial reports to give an overview of the different aspects of your business. 

 

Let me know in the comments below whenever you need further assistance recording your PCP vehicle in QBO. I'll be more than happy to provide additional help. Take care, and have a good one.