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April 26, 2022
Question

My numbers seem all wrong and profit is higher than calculated, I think I'm inputting wrong any ideas??? When I put expenses thry don't seem to be showing?

  • April 26, 2022
  • 1 reply
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Why is my profit high? Why is my balance higher in quickbooks than my bank account? How should I record expenses so they dhow?

1 reply

DivinaMercy_N
April 26, 2022

I won't rest until your QuickBooks Online (QBO) and bank account balance will match, @hypesalons8-gmai.

 

The QBO balance is affected by all of your transactions in the register as well as those you have not yet reviewed. On the other hand, the bank balance is determined only based on the transactions in the register.

 

Several factors may affect the balance of your accounts. There might be a transaction that causes the difference which results in the bank balance being greater than your QBO balance. You'll want to check your account based on the list below:

 

  • Outstanding transactions.
  • New transactions for a connected account.
  • Duplicate transactions.
  • Edited or deleted transactions.
  • Card (liability) account

 

You'll want to ensure to categorise and match the transactions based on your bank statement to fix this. By doing so, we can guarantee that you have the correct entries. You can also perform the steps in this article to resolve the difference: Fix issues for accounts you've reconciled in the past in QuickBooks Online.

 

Then, when recording expenses in QBO, this depends if you've already paid it upon purchase (enter it as an expense) or have plans to pay it in the future (add this as a bill). For further assistance on how you can manage your business expenses, feel free to visit this article: Enter and manage expenses in QuickBooks Online.

 

Also, it's recommended to perform the reconciliation process regularly to make sure your accounts match your real-life bank statements. After that, QBO automatically generates a report so you can check your beginning and ending balances as well as those transactions left uncleared. 

 

I'm always around here in the corner to help you if you have any other banking concerns. Leave a comment below and I'll get back to you as soon as possible.