 QuickBooks Desktop 2023. Setting up bank feeds. Let's do it within 2-8s. QuickBooks Desktop 2023. Support Accounting Instruction by clicking the link below giving you a free month membership to all of the content on our website broken out by category, further broken out by course, each course then organized in a logical reasonable fashion making it much more easy to find what you need than can be done on a YouTube page. We also include added resources such as Excel practice problems, PDF files and more like QuickBooks backup files when applicable. So once again click the link below for a free month membership to our website and all the content on it. Here we are in QuickBooks Desktop Bank Feed practice file. We started up in a prior presentation now thinking about how to set up the bank feeds having already put together and started up the QuickBooks file. A couple places we can go to proceed one of them being the banking drop down bank feeds and then set up bank feed for an account. The other one being going to the lists drop down and into the chart of accounts. Let's look at the chart of accounts because that'll help us to visualize where our end result will be the chart of accounts being the under underlying financial or foundational things necessary to enter all financial transactions most of those with the use of forms that will then create the end result we're trying to create that being the financial statements balance sheet income statement or profit and loss and related reports. Now we have a limited chart of accounts because we didn't select an industry here but instead want to create the chart of accounts as we enter the bank feeds so we can show how to add accounts as we enter transactions. Note however we don't have a checking account up top and so now the checking account if we're connecting the bank feed to a checking account is something that we're going to need to set up somehow in the process. Note that there's two accounts that you can use account types that is to set up the bank feeds one of course is a bank account because it's connected to the financial institution the other is a credit card account also connected to a financial institution works in much the same way we'll focus more on credit card accounts at a future point now we're going to focus in on the bank accounts. Now if you were to add an account you'd have to go to the account drop down which is really a rise up and then we're going to go to new up top and then you'd have to select a bank account or credit card account if you wanted to connect this account to the bank feeds the other accounts don't have the capacity to connect to the bank feeds. Now I'm going to close this out for now and just noting that that's kind of like the end result what do we expect to happen once we set up the accounts we expect to have a bank type of accounts and then them being connected to the bank. Now note that if you've only got like one account that you're dealing with that's connected to the bank you might want to create the account first and then kind of connect it to the bank if you've got multiple accounts that you're connecting to the bank and oftentimes if you're doing quick books or using quick books for your personal accounts then you might have like multiple accounts or that that are connected to the bank in some way then you you might uh you might want to try to set it up using the widget here and set up kind of your accounts as you go so I'm going to I'm going to go through this process and this of course when you go through this process the general idea is that quick books would be connecting to the financial institution and as you do so also setting up an account so that so and that's the account that's going to be connected at the end of the day in other words we expect to have accounts here that are going to be bank type of accounts that are going to be connected to the bank feeds so the bank feeds can roll in to that particular account only the bank account types and the credit card account types have the capacity to do that bank connection now also note that if you only have one account you might choose to use a generic name for the checking account like just checking account or something like that if you have multiple accounts then it becomes useful to to add more information so you don't get your accounts mixed up one way you might do that is to create a parent account for for the bank accounts and then possibly I'm just going to continue on I won't finish it but possibly you make some sub accounts here and and that way you can collapse all of your accounts to the parent account and you can expand them and then in the sub accounts that you're actually going to connect to the bank you might just not want to call them just checking account but rather put cash account or possibly the name of the financial institution and possibly the last four digits of the account number because that will help you from a bookkeeping side to kind of determine which account you are working with now note that you don't want to really give your last four digits of the account number even to external people so that's why you could you can make it a sub account to collapse it into one line item for like reporting purposes is one method that you might use to just keep in mind with that I'm not going to record this yet I'm going to go up top here into the to the banking and let's look at it in this fashion go into the bank feeds and set up bank feed for an account so it's going to say all open quickbooks windows will be closed temporarily to set up bank feed services do you want to continue I'm going to say yes it's going to close all the windows now normally if you set up the bank feeds there's basically kind of two ways that you can do this one is that you can actually physically or connect it online to the bank because you're using a desktop version you may still have to tell quickbooks to kind of update periodically but it will should make an automatic connection to the bank and update the other method that you could use is to download the information from quickbooks in a format that is kept that has the capacity to then upload into quickbooks now normally of course you would probably just want to be connecting directly to the bank if you're using the bank feeds however once you once you upload all the information you'll be in the same place right whether you connect to the bank and download the data or whether you download the data from the bank in a format that you can then upload into quickbooks once it's in quickbooks the data will be from the bank in quickbooks in the same format and you'll have to add it will add it use it go through what I call bank feed limbo and so on however sometimes there's some limitations and this will depend on the particular institution that you're going to be connecting with with regards to how far back the data can go so for example if you're trying to do bookkeeping for an entire year you're trying to do your taxes or something and you want to do a full year of information then you want to make sure that you can the connection you get directly goes back an entire year right so you want to make sure that you have that starting date correct and if it doesn't go back as far as you want then maybe you can download the data sometimes you can download the data from the bank and that allows you to go further back in time so that you can pick up more the data that you need that's further back and then connect to the bank going forward the other thing we got to be careful of is the start date that we're going to start the banking if it's if it's the new a new company with a new date then we might just start the the banking you know at the beginning of the company that we started up but if you already have data in the system you want to make sure that you're not pulling in information banking information that's going to be duplicated information so you want to make sure that you have the timing correct on when you're going to basically be starting the bank fees just a couple things to keep in mind now you could then go to that your bank choose your bank or choose from these popular banks america you know bank of america chase they got the big banks here you could type in banks more and more uh you know they're getting they're getting much much better uh of america you know they're getting much better at picking up more and more banking institutions which is great now the setup process is usually fairly straightforward but it will be dependent in part on your institution and the verifications that the institution will require so it could vary depending on your financial institution to verify the connection so it can connect to the bank and so you might actually even have to you know contact the banking institution but usually it's a pretty straightforward process so it would go just through this process just like it says up here find it you're going to connect and then you'll you'll link it and then it'll be done and usually that's pretty straightforward an easy process and then you can get access to the bank feeds that's not usually the most complex part of the bank feeds the most complex part will then be of course having all that information in bank feed limbo and trying to then get it into the financial statements so now let's look at the other method because we're what we're actually going to do is download the information from the financial institution and then and then upload that to the practice file to help us in our practice context to have to have that information if you're just practicing with it you could you could try either method that you would like to do you might feel more comfortable doing what we're going to do here try to download the information from the bank and then upload it to our quickbooks or you can you know do the banking connection but once we get the information into quickbooks we'll be in that same bank feed limbo kind of situation either way closing this back out now the other way we could look at this if i i'm going to maximize the chart of accounts and i'm going to create a new chart of accounts again so i'm going to go to the account rise up and then new account and i'm going to make it a banking account i'm going to say continue and i'm just going to call it a checking account so i'm going to be generic checking checking account and so there it is we don't really need a description or the bank number or anything else in order to start our account so i'm going to go ahead and say save and new and notice it gives you a pop up here set up online services to save time your financial institution may offer account statement downloads and other bank feed services for this account do you want to set it up and then of course you can continue you'd end up in the same kind of place if you continue there so those are the general ways that you can go about setting up the bank feeds next time we'll get into actually uh downloading the information from the bank getting the bank feed data and uploading it into our uh checking account here so that it will be in the bank feed limbo again remembering that whether you connect to the bank or whether you download the information from the bank once you get it into your into quickbooks it's going to be the same kind of spot at that point in time the information being like in the bank feed limbo and then we'll add it from the bank feed limbo to the system so it can create the financial statements