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May 8, 2024
Question

How to add Opening Balance. Went online in 6/23, my OB shows 0 and so I don't now how to add an OB. I tried a journal entry, but keeps showing zero so must doing wrong

  • May 8, 2024
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1 reply

May 8, 2024

No worries, let's figure it out together to add opening balance, userunitedlawnservic.

 

The Opening Balance in QuickBooks Online shows as 0 for a few reasons. One possibility is that you haven't entered an opening balance for that account yet. The opening balance represents the amount of money or value that existed in an account before you started tracking it in QuickBooks Online. If so, you'll need to create a journal entry for this. 

 

Here's how: 

 

  1. Click the +New button.
  2. Choose Journal entry under Other.
  3. Enter a date that comes before the oldest transaction in the account. This will be the opening balance date.
  4. On the first line from the Account drop-down menu, choose the account you want to enter the opening balance for.
  5. We recommend adding a note in the Description field so you know what the journal entry is for.
  6. On the second line from the Account drop-down menu, select Opening Balance Equity.
  7. Use your bank statements to enter the opening balance. Note: Enter the balance of your real-life account for the date you picked as the opening balance.
  8. Enter the debits and credits based on the type of account you entered on the first line.

 

After creating the journal entry, I recommend reconciling the entry in the Chart of Accounts to prevent it from appearing on future reconciliations. Here's how:

 

  1. Click the Transactions on the left panel.
  2. Within the Chart of Accounts, find the account and select View register from the Action column.
  3. Search for the journal entry you just created.
  4. Choose the box in the checkmark column until you see an R. This reconciles the journal entry.

 

Also, I recommend seeking guidance from an accountant to correct the issue. If you don't have one, you can find an accountant through this link.

 

Here are a couple of articles for your additional reference:

 

 

Please post again or leave a comment in this thread if you have additional questions about opening balances or anything else. I'm always ready to lend a hand. Keep safe, and have a great day!