A/R vs Undeposited Funds - QuickBooks Online Tutorial
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- čas přidán 5. 07. 2024
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Check out my video with a deeper explanation of "Undeposited Funds": • Are You Doing Your Ban...
AJ Stockwell is the owner of Learn Bookkeeping Today LLC and Climb CFO LLC. He is a small business accounting and finance expert with a passion for sharing high-quality informative content for:
-Bookkeepers and aspiring bookkeepers or college students who are considering a career in accounting or starting their own bookkeeping business.
-Business owners who want to better understand their numbers or improve their accounting processes and controls.
-CPAs who are looking to bring even more value to their clients and streamline/update their processes.
What sets me apart is the fact that I have been in the shoes of all 3 of these groups. This channel is going to explore a wide variety of topics related to these areas.
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Go check out my blog and course offering here: www.learnbookkeepingtoday.com
"particularly confusing quickbooks feature", what a polite way to state that
Wow, the best person in CZcams explaining the whole process, thank you for sharing your knowledge.
This is the most helpful Quickbooks tutorial I’ve ever found. I’ve struggled with this concept for years! I’m saving this video link in a handy place so I can access it anytime I have issues.
Wow. Thank you. You made it so simple to understand. I was losing my mind trying to figure out undeposit funds & A/R 🤦♀️
Great topic and explanation. There was always an issue with those interlinked accounts. wonderful ! its very clear now. Thank you so much,.
I am new to bookkeeping. I find videos on YT to watch about QBO. I've seen several of your videos. Thank you for posting videos like this. I really find your videos very helpful & less confusing when it comes to QBO. I appreciate it! :-)
Thank you A.J.! Would you please do more videos. Because you explained how money moves I now understand how to clean up my books. As small business owner doing a million things at once I am so grateful for your explanation and could use more, more, more! In particular, how do you handle transfers of money between two businesses?
Thanks, this was great. Really appreciate your clarity and expertise. I am having trouble with my deposits still showing up in the undeposited funds register when they come through QB payments.
Started a new job using quickbooks and learning about AR. I was on my last straw with a horrible trainer! You really helped me understand this so much better!! Thank you!!
Yes please in depth videos please 🙏🎉
Hey AJ,
I was sure to like and subscribe to your channel.
I appreciate the delivery of this clear and concise information!
This was very helpful, Sir.
Thank you!
This was very clear and easy to follow, thank you
I really love your videos! You explain processes very clearly and that makes it easy to understand.
Thank you very much for the kind words, Cindy!
Thanks for this video. Unfortunately our situation is even more complex because our payments are coming in as journal entries that have to be cleared out of undeposited funds. We use membership software and do the invoicing out of that (ShalomCloud, for synagogues). If you don't have a bookkeeping background it's a nightmare.
If you unmatch your deposits, it will help with the overstating and use this method he describes here. Great video!
Wow, thx so much this really helped me to understand the process!
You are amazing! You explain complicated things so simply. And you show the results in all the reports. Thank you so much. I have been having this problem for so long and now I know how to do it correctly. Please keep up the great work.
Thank you Terry!
Great video for beginners about from invoice process to receive payment and it's effect in simple language
You explained well, thanks AJ!
Excellent Video! Thank you!
Very helpful video. Exactly what I needed. Thanks!
This is great stuff. Thank you for making videos!
Thank you for this video. I would like to know when a credit card payment was received by another source than QB payments, where do I find the transaction fee or where do I put it in the deposit? What account does the transaction fee go in?
Thankyou so much.. This really helped me, making it so simple to understand. Keep up the great work.
Thank you!!!
Thank you for this video and one other I have viewed. My question is, after following this process, I still have a duplicate A/R for an invoice, how do I remove it?
You are amazing! the information is very helpful. Thank you
thanks for this video, very helpful
AJ, thanks for the video. Very helpful. Question: My new client used to handle his own bookkeeping, and he has not used "Undeposited Funds". He is a consultant and he invoices attorneys. The attorneys pay him with checks and sends them through the postal system. He gets the checks and deposits them into the bank. Should I follow the same steps in the video when the bank feed alerts me that he has deposited the checks or when he tells me via email?
Great... Very very helpful. Thank you :)
Thanks a lot for the video. I'm having a big challenge when it comes to posting a huge list of payments made by customers, it's quite time consuming and I want your help on how best I can be posting a lot of payments at once whether through CSV excel file or any other way that you may suggest. Please
thanks! helpful
Thank you so much!!
What video should I watch to show me how to match the Undeposited Funds to the Deposits that come through the Bank Feed? Will these steps in the video automatically match those together?
How does this work when your bank data is imported electronically in QBO, are the steps still the same? of do you have to do a different process when adding the bank transactions?
Hey, excuse can you help me or do doy have a explanation video about how can I fix overdraft, please
most helpful.How can negative AR account be fixed
Great detailed explanation. I really appreciate how you explain why things are done
Thanks Rodney!
Once deposit is matched should transaction still show in AR register?
What can you do if the payment comes from a credit card directly to the bank through a payment processor? Such as Wix.
How do I clean up books that someone has left moneys in the undeposited funds for 8 months and reconciled the bank statements? Make a JE? Mind you theses are invoices that are paid. Should I void the invoice and add a memo paid but duplicate deposit?
AJ, please help me. When I go into a "bank deposit" I don't see the section to "select payments included in this deposit" - why? All our banquet invoice payments are sitting in undeposited funds.
Would love to see something about cleaning up reconciliation discrepancies...
Hey Raymond, it's like you read my mind. I JUST uploaded this video on fixing reconciliation discrepancies: czcams.com/video/N46EGrEXi8A/video.html -- Let me know what you think!
How does account receivable and payable work with cash and cash equivalent in QuickBooks online
How to make an hoa receipt in quick online
Can you show what happens when a customer pays with a cc thru QB payments? I connected my bank with QB online so do I wait for the deposit thru the bank feed to show up and then record a "receive payment" against the invoice? and will it match with the undeposited funds and invoice automatically or do I have to manually do this?
Hi David - This is a great idea for another video. And as I think you know, I have been in touch with someone from your office to help out here. Thanks for your comment!
Can you do a video using the bank feed? Also using cash basis instead of accrual
I am cleaning up my A/R. If the payments/deposits have already been put in manually, when I "receive payment" should I post it to Undeposited funds or to the bank account? My reconciliation is up to date but my a/r is making my income look higher than it actually is.
Good question. I have that issue too.
Hi ! So now QB replaced Undeposited Funds with Payments to deposits - would procedure be identical, using Payments to Deposits now? Is there a way to undo all deposits and start from scratch, matching payments to invoices the way you described here? Thanks
Hi Ray - They changed the name hoping that would make the purpose of the account more clear. It still functions exactly the same way.
@@LearnBookkeepingToday Thank you!
Hi! May I ask when will you know when to transfer the amount from undeposited funds to the bank account? Is the undeposited fund always used when receiving payment or we can skip it and transfer it directly to the bank account? If we're required to use undeposited funds to receive payments, is it a must that undeposited funds should be zero when all payments are received and transferred to the bank? I'm confused, hope you could help me. Thank you so much!
Hi Jen, you will want to record the deposit of an “undeposited payment” as of the date you deposit it. Then your books will match the bank activity. If you aren’t holding on to any paper checks from customers, then it probably makes sense for Undeposited Funds to be $0!
Thank you! :)
Why are deposits showing as a credit and debit in undeposited funds register? 😓
my accountant is asking me to move all accounts receivable deposits to income, how do i do this?
Hi Michelle - I'm not sure exactly what you mean by this. If you'd like, you can schedule a free 25min consult with me here: bit.ly/3ULmoi9
What do you do when accepting online payments and say.. after stripe takes their 3%, only $970 was deposited, but the client did pay the full $1000?
Sorry for the delayed response. Usually in this case, I add a row to the Deposit for -$30 for “merchant processing fees.” QBO will let you have a negative deposit line as long as you don’t have a negative total.
Where should I post the funds if an invoice wasn't entered?
I would always suggest creating either an Invoice or a Sales Receipt to record revenue transactions, even if you're creating it after the fact.
In my Undeposited funds account, some entries say Payment and are posted to A/R, and some say deposit and are posted to my bank account. What a mess. The A/R increases my balance and the deposits to bank decrease the balance. How do I fix this; and according to this video, these payments should show as a bank deposit, if I understand what I heard. How do I move them from A/R to bank deposit? If I made a mobile deposit to my bank, won't that duplicate the deposit shown on the bank ledger? Help!
Hi Dana - I would suggest reviewing the other video that I have about this topic as further context.
What you are describing sounds like the correct functioning of this account: receiving a customer Payment reduces A/R and *increases* the balance of Undeposited Funds, while a deposit *decreases* undeposited funds by moving that payment to the bank account.
If you want to skip the Undeposited Funds account, then you would change the "Deposit To" account in the Payment to be the bank account instead.
Why do you have to post the receivable to Undeposited Funds? Can you receive the payment directly to the Bank Account?
I feel like this is an extra step to help to go back to the Undeposited Funds Account to then post the deposit.
I understand if it is money that you actually haven’t deposited. These are actual deposits.
Hi Regina, thanks for asking about this. If the payment is deposited right away, or especially if it comes via a bank transfer or similar, then you can certainly indicate that the payment is depositing to the bank account rather than Undeposited Funds. You are correct that this saves a step and additional transaction.
Can someone on CZcams please make a video on customers paying with EFT, electronic fund transfers. Then start from the invoice, then the money is deposited directly into your bank acount. When you open your dashboard, it says that there are items to match. Now you match it and choose accounts receivable as category. When you go to the customer's account, things get complicated. I can't find a single video on CZcams that show this simple transaction. Why is Quickbooks making it so complicated? After you matched a deposit, it should be deducted automatically from the customer's account. It does'nt.
great question. I have been working off and on for years on QB and when I come back to it it baffles me again and have to relearn everything. I find that the QB questions section does not answer these questions clearly. Nor does their videos because they don't look at all angles of how things go wrong.
This did not help. I need to see how A/R and undeposited funds from Quickbooks payments is the reason for the line items 😅