I have all the bank statements going back to the beginning of the year. It would take a little longer but it sounds like it would be better to enter each transaction and assign them to their appropriate accounts instead of doing a lump sum journal entry.
If I did that, I'm guessing I would enter January's opening bank balance as Opening Balance Equity, then transfer that OBE evenly into the equity accounts of the four LLC Members, then enter each transaction accordingly. Does that sound correct?
Yes, that's correct, NumbersHurtMyHead.
Before you create an opening balance, make sure you don't already have one entered. Adding a second opening balance, will count the transactions twice.
To locate the transaction, you can follow these steps:
- Go to Accounting located on the left panel.
- Select Chart of Accounts.
- Find the account and select View register from the Action column.
- Click the Funnel icon above the Date column.
- Type opening balance in the Find box and click Apply. The transaction should have Opening Balance Equity in the Payee/Account column and Opening Balance in the Memo column.
Please see sample screenshot below:
If there's no opening balance recorded in that account, then let's create a journal entry.
- On the left panel, click the + New button.
- Under Other, select Journal Entry.
- Enter a Journal Date that is before the oldest transaction already in your account.
- On the first line, select the account you want to enter the opening balance for.
- On the second line, choose the Opening Balance Equity in the Account column.
- Enter a note in the Description field, so you know what the journal entry is for.
- Click Save or Save and close.
You can check this article for the detailed instructions: What to do if you didn't enter an opening balance in QuickBooks Online. I'm also adding this sample screenshot.
Once with the steps above, you can start recording the transactions manually
You can also check these articles for reference:
Feel free to get back to us at anytime you have additional questions. We're always around to help you some more. Thanks.
