Hi. Thanks for posting your query here.
I’m here to help you with bank statements in QuickBooks Desktop.
You can use your bank statements to import transactions in your accounting software and to reconcile accounts at the end of your financial period.
Before you can begin to use the bank statement in QuickBooks desktop, you need to back up your company file and then set up bank feed. By simply connecting your bank account to your accounting software, you can simplify most of your accounting tasks.
Here’s what you have to keep n mind when setting up bank feed in QuickBooks desktop:
- Users can only download transactions once into a company file because downloading the transactions multiple times will lead to duplication of data.
- Users have to rely on Web Connect files to import transaction and bank statements from their bank account into QuickBooks desktop.
Download Transactions with Direct Connect
When you connect your bank account directly to your accounting software, you can set up direct connect that automatically downloads transaction information so that you don’t have to manually import the transactions.
Note: with direct connect, most banks only enable you to sync transaction data for the last 90 days. The previous data has to be downloaded and imported manually into QuickBooks desktop.
Here are the steps to set up direct deposit in QuickBooks Desktop:
- From the Banking menu, choose the Bank Feeds Center in the Bank Feeds section.
- Choose the bank account, then edit items as per your preferences.
- Click on Download Transactions to import the transactions from the bank account into QuickBooks desktop.
- Click on Syncronize so that QuickBooks desktop can import data from all the connected bank accounts.
Note: if you want to sync data only for a specific account, then choose the account and select Sync this account. You can also sync data for all the accounts under the same bank with the Sync all for this Bank option.
- Input your PIN number for the Bank account so that the import process can begin.
- Click on Ok.
Manually import transactions with Web Connect
Web connect is the most flexible and easy option for importing transactions manually from your bank account. Most banks enable users to download transaction data in Web Connect format, which is supported by QuickBooks Desktop.
With web connect, you can import transactions for any range of time.
Here are the steps to use web connect to get transaction data:
- From the Banking menu, go to the Bank Feeds option.
- Choose Banking Center.
- Then choose your bank and click on Download Transactions.
- Log into the bank account and download the Web Connect file so that QuickBooks can import the data from it.
You can also download the web connect file externally from your bank account if you don’t want to download it directly to the QuickBooks desktop.
Reconcile an account in QuickBooks Desktop
Apart from importing transactions, bank feeds and bank statements can be used to reconcile an account so that you can remove any duplicate or inaccurate entries from your books.
To begin with the reconciliation process, you can follow along with the steps given below:
- From the Banking menu, choose Reconcile.
- Choose the Bank Account or Credit Card account to reconcile and wait for QuickBooks to get the Statement Data. (You can change the statement date as per your preferences.)
- Check the Beginning Balance entered by the QuickBooks desktop. This balance is based upon the ending balance from the last reconciliation report created by the user.
- Input the current Ending Balance for the account, and also enter the other info – Interest Earned and Service Charge.
- Go through the fields, then click on Continue.
- Match each transaction that appears in the account with its equivalent in the bank statement.
- Once you’re done, create the report.
Now you can view all the transactions that weren’t matched and make the necessary adjustments to ensure that your books don’t have any errors.
You can also find out any fraudulent activity going on in your organization using the reconciliation report because it requires you to account for every transaction present in your QuickBooks account and your bank account.
Here are a few more resources that you may find helpful:
Let me know if you need help with this issue further.