 zero accounting software 2023 bank feeds credit card bank feed data set up get ready to become an accountant hero with zero two thousand twenty three here we are in our custom zero home page going into the company file we set up in a prior presentation that being the bank feed file we're gonna be duplicating some tabs to put the reports in as done every time duplicating right click to duplicate and then we'll right click again to duplicate and then we'll go back to that middle tab going to the accounting drop-down open up that balance sheet report the famous balance sheet needs no introduction it's the balance sheet tab into the right accounting drop-down this time yes the income statement and then we're gonna do the date range change we're working in 2022 so I'll hit the drop down hit it to 2022 January to December of 2022 the end of it that's the 31st updating that report as well let's go back to the first tab now first tab accounting drop-down looking at those bank accounts this is where the information flowed through as we set up our checking accounts and when we think about bank feeds normally we think about the bank accounts of the checking accounts so we looked at those in prior presentations that credit cards work in basically the same way it's a little more confusing often for people to kind of think about the credit card because we have to deal with a liability account instead of a cash account but once you wrap your mind around that then the credit cards are actually kind of easier and more likely to be able to be constructed and used to build your financial statements directly from the bank feed data in other words we saw when we put together the checking transactions here that if we are in certain industries we can basically construct our books from just the information coming in through the bank feeds however if I go to my flowchart over here this is a quick books desktop flowchart but we're just looking at the flow of the transactions we saw that if there were a cruel transactions in play such as the use of accounts payable or invoicing accounts receivable transactions sometimes when we have to deal with the sales receipts or inventory or payroll for example those are all examples of things that will throw a wrench throw a problem into the use of simply the bank feeds to create our financial transactions however with the credit cards normally the credit cards would be kind of like just the payment side of our bank feeds for the checking account so usually with the credit card if you're using a credit card you're using it in a similar way of course as the payments that you might be making for normal kind of business activity type of payments and as we saw with the with the checking accounts those are usually the easiest things to set up because they're electronic transfers by nature because they're a credit card just like we saw in the bank feeds here if you paid the utility bill or the phone bill and that kind of stuff then those are the easiest types of transactions to basically be able to wait till they clear the bank and then just kind of add them as as they clear the bank and that's what the credit cards basically would be designed to do if you're using you know a credit card instead of the checking account so if I go to the balance sheet then just to see what's going to happen here the checking account is usually an asset account unless it's overdrawn as we saw on the prior presentation but it's usually an asset account and that means it's going to go down when we have expense type forms going out of it and it's going to be going up with basically deposits now the credit card is also from the same from financial institutions often the same financial institutions as you might have your checking account with and therefore it should be fairly easy to link as well but when you make a payment from the credit card instead of the checking account going down you're gonna have a liability going up so that's the only difference right with a credit card it's kind of like we started at the beginning it would be like the bank account being overdrawn every time we buy something on the credit card cash doesn't go down but instead the liability goes up and then when we and then at some point we pay off the credit card of course and when we pay off the credit card then the liability is going down notice we don't have any deposit side of the transaction we only have you know the the charges that we're gonna be recording with the credit card and then we pay off the credit card so it's actually kind of easier in some ways because we don't have all this other stuff the credit card doesn't run through every cycle that we're dealing with in other words the credit card isn't generally going to be part of our employee cycle because we're not going to pay our employees on the credit card typically it's not going to be part of our a lot of our other you know normal kind of processes as the cash is the cash is involved in every cycle at some point in time so that being the case let's let's set up the credit card now we can do it in the same fashion we did with the bank feeds to actually import the credit cards so you could then if I go to the first tab over here we could go to our banking dropdown and we could simply add another bank type of account now so this is another kind of confusing component because it's actually a credit card type of account but because we're connecting it to the bank feeds we're gonna be doing it you know in the same range here and that's why it has its own little special areas the financial institution transaction account let's say this is for let's just say it was for American Express American Express American Express I can't spell American or Express and I'm an American that likes things done expressly that's why this American uses spell check because that's what then you don't need to spell okay American Express let's do this one American Express doesn't really matter because I'm not actually going to connect but if you were gonna actually connect to it then it's gonna say connect to American Express just like we did with it with the bank accounts the different institutions may have different ways to verify but usually they're pretty easy to to to facilitate the you have to give them verification log into the account or whatever they ask for but usually that's pretty easy so I'm going to skip however here because what we're gonna do is upload the information and do it that way so I'm saying don't connect to my bank so we've just set up a credit card account so I'm gonna say the account I'm just gonna call it generic credit card account obviously in practice you might want to put the name of the credit card if you have multiple credit cards you're dealing with then you might want to put like the name of the credit card possibly the last four digits of the credit card which is not something you want to give out often to others however for external reporting you could group the credit cards into a group right and and that way you can have it in total reporting so you can distinguish which credit cards you were using and external reporting group the credit cards together as one lump sum using zero's beautiful edit layout tab down here to group things together so I'm gonna go down and say select an account it's gonna be a credit card account so credit card credit card number I'm gonna make one up there it is that's not an actual number so if you're gonna try to like last four digits if you're gonna try to you know buy something with that it's not it's not gonna work so save it save and continue boom credit card has been in there so it's in the same banking area because it's basically this is the bank feed area is the is the general idea so let's go and now notice that also added an account to the check it to the to the register so if I go to the account drop down what I'm trying to show here's if I go to my chart of accounts then we also have our credit card account that has been populated here now it's pulling up I didn't put an account number in it so the account number should actually be somewhere down here in the credit card area maybe it's an unpaid expenses claims sales tax maybe I want it under the accounts payable so maybe I make the credit the number two zero one zero let's say so I'm gonna say let's go back into this and say this is gonna be two zero one zero and then save it and so now I can locate it kind of down here even though it's still kind of a bank account and that bank account term doesn't really mean current asset bank account the bank account term means basically it has the capacity to connect to the bank feeds as does the credit cards alright so now I'm gonna upload the transaction so this means that you can download the transactions from your bank in a similar fashion as you can with the bank feeds if you so choose so if you go to your bank you're this would I mean I'm just looking at Wells Fargo but you could go to your America