Recording the Journal Entry in QuickBooks is an easy process. Generally, the journal entry recording is needed when the accounting transactions go incorrect. To get rid of this problem, you have to edit the original transaction once it is recorded.
There is no other process to edit and correct the accounting transactions other than recording the journal entry. QuickBooks has this special feature of journal entry recording, and we will discuss all the necessary actions that are required to record a journal entry in QuickBooks.
If you want to connect with the Intuit certified QuickBooks ProAdvisors, call on the toll-free QuickBooks Customer Service Phone Number +1800-801-4164.
The Definition Of Journal Entry
When an accounting transaction is recorded or posted in the general ledger, it is called as the journal entry in QuickBooks. A general ledger is a major group of accounts that records sheet and income statement transactions.
The below-given operations can be done using the journal entries in QuickBooks:
- It is used for the amount transfer from asset, liability, or equity account to income/expense account.
- It helps to access debits and credits in the general ledger to insert transactions in the traditional accounting system.
- It is used for the amount transfer from one class to another.
- It is used to transfer from one expense account to another.
- It allows you to enter random transactions to compare the activities at the end of the year.
Steps To Create Journal Entry In QuickBooks
To create the journal entries in QuickBooks, users must be well aware of the account that is getting the debit or the credit. We suggest that you consult with your accountant before you proceed to create journal entries in QuickBooks.
You can follow the below-given steps to create a journal entry in QuickBooks:
- Run QuickBooks and select Company from the main menu. Click on Make General Journal Entries.
- Edit the date section if required.
- This action will create the Entry number automatically. When it does not create the entry number, you have to put the journal entry number manually, and that gets stored in the QBD.
- Then you have to insert all the General Journal Entry Details.
- Choose or insert the initial account that was used in the transaction. If you use A/R or A/P accounts in the first transactions, the first account is supposed to be an AR or AP account in the General Journal Entry.
- Insert the accurate debit or credit amount for the previously selected AR or AP account.
- A memo can be used to explain the selected transaction. This memo gets reflected on the reports along with the General Journal Entry.
- When you are using the AP or AR account, insert or select the Customer, Vendor, Employee, or Other name associated with the transaction.
- When you select the expense account with the customer or a job, QuickBooks allows you to create a billable amount to the customer. You just have to check the billable column box to do this.
- If you want to assign a class to the amount, you can do that too.
- Till the transaction goes to the zero balance, carry out the repetition of the previous steps to enter distribution lines. Make sure the sum of the total in the debit and credit column is the same.
- Hit Save & Close to save the recently created journal entry and end the process. If you want to create a new journal entry, click on Save & New option.
- You can mention the customer or the vendor on the first line of the journal entry in case you want to showcase the journal entry details in the customer or vendor center. It is not possible to display the journal entry details for multiple vendors or customers on the single journal entry.
- Based on your QuickBooks version, you will get different and extra options in the Make General Journal Entries section. For QB Premier, you get debit and credit totals, and for QB Enterprise and accountant, you get debit and credit totals along with the list of chosen general journal entries.
Get In Touch With QuickBooks Technical Team USA
This article explains everything to help you create journal entries in QuickBooks. Make sure to put the customer or a vendor in the first line of the journal entry in case you want to create a journal entry that affects the customer’s AR or vendor’s AP account.
When you find difficulties while creating general journal entries in QuickBooks, dial the toll-free QuickBooks Support Phone Number +1800-801-4164 to connect with the Intuit Certified QuickBooks ProAdvisors of Dialsupportnumber.