I guess the only thing I'm missing is how should these steps appear in the bank register. Should they show as deposits or accounts receivable if they came from that account 🤔 😕 🙄 😅
Thank you for your video. I have the same question as Carla and I would like to know when you get the bank statement will this transactions are those going to be at the bank register too or you enter them manually? the business sales gift cards and has a bank account just for the gift cards. I would like to understand and tract the sale all the way to reconciliation. could you please help? Thank you!
I have clients who are depositing through the invoice, then go down to the bank to deposit a paper check, then the bank imports transactions, and deposits are doubled. yikes! Help!
With QB online you can match the deposit. But the Deposit has to be the exact amount. 1) receive payment for an invoices 2) Go to make a Deposit 3) deposit funds in to Bank account in QB 4) Deposit checks into Real life Bank Account 5) When the bank link updates find the matching deposit made. 6) Books Balance:)
Also try not to mix Cash deposits, with check deposits, or with credit card deposits. Deposit all your checks with one deposit, all the cash with one, etc...
Thank you AJ. I thought the video was helpful but it didn't address my question. I have a deposit still showing as undeposited even though it has been recorded to income, A/R and the bank account. All entries appear to be correct but the undeposited entry has not been offset?
Hi Angela - It’s a little hard for me to say what’s going on based on this comment alone. But if you are saying that you have a Deposit that is posting directly to Income, then this is the issue. The customer Payment should be added to the Deposit, not a “manual” row posting to Income.
Great video! Thanks! Question: What if qb 'chat' helped me yesterday to move all the qb checking a/c transactions (because all my sales transactions weren't deposited to my bank last month but instead to qb checking!) to 'undeposited funds' but i can't deposit to my bank account because they don't show up under 'make a deposit'? Plus, they are in my 'undeposited funds' AND my 'accounts recievable'. Accounts receivable shows already deposited to my bank a/c but my bank a/c doesn't show it....
Hi Heidi, sorry it took me a few weeks to reply here. If you see this, can you please email me about it at aj@climbcfo.com? I'm happy to talk through it to identify the problem!
I have an amount in A/R when i run my Balance Sheet report and i don't why it's there, i already got paid for all invoice, i noticed in your report there's an amount under a/r but how do we know if that amount needs to be zero or if it needs to be changed???
Thank you for help. Still very confusing. My question is, how come that when the deposit hits your bank feed, and you match it to that payment, its does not take it out of undeposited funds? It should automatically leave the undeposited funds becaus its now in the bank, but it does not. So confusing.
Hi Marvin - If you are properly matching a deposit in the bank feed with a payment, the payment will be removed from ‘undeposited funds.’ Are you sure you are matching the payment? Please feel free to email me some screenshots or more details, and I’ll see if I can help: aj@learnbookkeepingtoday.com
how does this work when you are working with third parties, i have a third party pushing me invoices, and i have my bank account synced online so when i match it is making my A/R and undeposited funds way off
Hi Alison - it’s hard for me to say what’s going on here without really seeing it. If you’d like to set up a consultation to look at it together, feel free to email me at aj@learnbookkeepingtoday.com!
after adding my deposits through the undeposited funds it isnt adding the amount to my checking account even though the deposit shows. Is there a place to turn the undeposited funds account on that I am missing?
Hi Glenda, if you are recording a Deposit and not seeing it in the bank account register, you might be recording the deposit as depositing into a different bank account. I would also suggest double-checking the date of the deposit so you're sure you're looking in the correct place in the register.
But in my case it has nothing to do with cheques. Who receives physical cheques anymore anyway? Could this be something else? What's the journal entry when money from customer is deposited to my account but I haven't applied it to my invoice? This is just a horrible account that's been unfortunately named
If a payment is being immediately deposited into your bank account, then when you use the "Receive Payment" transaction to record the payment, you can set the "Deposit To" account in the header of the transaction to be the bank account (instead of undeposited funds).
@@LearnBookkeepingToday Thanks. What are some of the other reasons that money would end up in “undeposited funds”? Is that maybe a flow through account for all customer payments?
Yes, you can think of it as the intermediary when a customer has initiated payment but it hasn't hit your bank account yet. For example, even ACH payments can take a day or two. Sometimes bill.com seems to hold onto payments for up to 5 days after someone initiates it. "Undeposited Funds" is where these payments sit when you want to record that payment has been initiated but not yet reached the actual account.
You've got to be joking because this is the clearest video I've found so far. All the other videos I've seen about undeposited funds talk from an accountant's point of view, but this guy is talking from the business's perspective which are the people who are probably out here looking for these types of videos since if you're an accountant then you should already know all this. If you know of a better video, please share it so I can see it.
Great video. This can get messed up. QBO should get some AI and tell us what we are doing/doing wrong..lol
Good to have you back.
This is very helpful, thank you
Welcome back
I'm not a quickbooks user yet, but curious why quickbooks wouldn't send a redflag regarding undeposited funds incorrectly?
Very helpful video. Thanks.
I guess the only thing I'm missing is how should these steps appear in the bank register. Should they show as deposits or accounts receivable if they came from that account 🤔 😕 🙄 😅
Really helpful on me..Thank you..
wonderful video!!! Thank you!!!
Thank you AJ
I am an ACCA but now learning Digital marketing.
Thank you!!
Thanks for sharing
Thank you for your video. I have the same question as Carla and I would like to know when you get the bank statement will this transactions are those going to be at the bank register too or you enter them manually? the business sales gift cards and has a bank account just for the gift cards. I would like to understand and tract the sale all the way to reconciliation. could you please help?
Thank you!
I have clients who are depositing through the invoice, then go down to the bank to deposit a paper check, then the bank imports transactions, and deposits are doubled. yikes! Help!
With QB online you can match the deposit. But the Deposit has to be the exact amount. 1) receive payment for an invoices 2) Go to make a Deposit 3) deposit funds in to Bank account in QB 4) Deposit checks into Real life Bank Account 5) When the bank link updates find the matching deposit made. 6) Books Balance:)
Also try not to mix Cash deposits, with check deposits, or with credit card deposits. Deposit all your checks with one deposit, all the cash with one, etc...
Thank you AJ. I thought the video was helpful but it didn't address my question. I have a deposit still showing as undeposited even though it has been recorded to income, A/R and the bank account. All entries appear to be correct but the undeposited entry has not been offset?
Hi Angela - It’s a little hard for me to say what’s going on based on this comment alone. But if you are saying that you have a Deposit that is posting directly to Income, then this is the issue. The customer Payment should be added to the Deposit, not a “manual” row posting to Income.
I wish I had found out about this earlier.... when do you use accounts receivable then?
Hi Peri -- That is a great question, and this is an area I see a lot of misunderstanding. I will make my next video about this!
Great video! Thanks! Question: What if qb 'chat' helped me yesterday to move all the qb checking a/c transactions (because all my sales transactions weren't deposited to my bank last month but instead to qb checking!) to 'undeposited funds' but i can't deposit to my bank account because they don't show up under 'make a deposit'? Plus, they are in my 'undeposited funds' AND my 'accounts recievable'. Accounts receivable shows already deposited to my bank a/c but my bank a/c doesn't show it....
Hi Heidi, sorry it took me a few weeks to reply here. If you see this, can you please email me about it at aj@climbcfo.com? I'm happy to talk through it to identify the problem!
I have an amount in A/R when i run my Balance Sheet report and i don't why it's there, i already got paid for all invoice, i noticed in your report there's an amount under a/r but how do we know if that amount needs to be zero or if it needs to be changed???
Thank you for help. Still very confusing. My question is, how come that when the deposit hits your bank feed, and you match it to that payment, its does not take it out of undeposited funds? It should automatically leave the undeposited funds becaus its now in the bank, but it does not. So confusing.
Hi Marvin - If you are properly matching a deposit in the bank feed with a payment, the payment will be removed from ‘undeposited funds.’ Are you sure you are matching the payment? Please feel free to email me some screenshots or more details, and I’ll see if I can help: aj@learnbookkeepingtoday.com
how does this work when you are working with third parties, i have a third party pushing me invoices, and i have my bank account synced online so when i match it is making my A/R and undeposited funds way off
Hi Alison - it’s hard for me to say what’s going on here without really seeing it. If you’d like to set up a consultation to look at it together, feel free to email me at aj@learnbookkeepingtoday.com!
after adding my deposits through the undeposited funds it isnt adding the amount to my checking account even though the deposit shows. Is there a place to turn the undeposited funds account on that I am missing?
Hi Glenda, if you are recording a Deposit and not seeing it in the bank account register, you might be recording the deposit as depositing into a different bank account. I would also suggest double-checking the date of the deposit so you're sure you're looking in the correct place in the register.
But in my case it has nothing to do with cheques. Who receives physical cheques anymore anyway? Could this be something else? What's the journal entry when money from customer is deposited to my account but I haven't applied it to my invoice? This is just a horrible account that's been unfortunately named
If a payment is being immediately deposited into your bank account, then when you use the "Receive Payment" transaction to record the payment, you can set the "Deposit To" account in the header of the transaction to be the bank account (instead of undeposited funds).
@@LearnBookkeepingToday Thanks. What are some of the other reasons that money would end up in “undeposited funds”? Is that maybe a flow through account for all customer payments?
Yes, you can think of it as the intermediary when a customer has initiated payment but it hasn't hit your bank account yet. For example, even ACH payments can take a day or two. Sometimes bill.com seems to hold onto payments for up to 5 days after someone initiates it. "Undeposited Funds" is where these payments sit when you want to record that payment has been initiated but not yet reached the actual account.
Can we just delete the "undeposited funds" account step totally? its a waste for me
What if we receive payments that we do not invoice for?
Hi Nikki - In this case you would use the "Sales Receipt" function to indicate that payment is received immediately.
This is the worst explanation video I have ever seen
You've got to be joking because this is the clearest video I've found so far. All the other videos I've seen about undeposited funds talk from an accountant's point of view, but this guy is talking from the business's perspective which are the people who are probably out here looking for these types of videos since if you're an accountant then you should already know all this. If you know of a better video, please share it so I can see it.