 QuickBooks Online 2023. Receive payment and make deposit. Get ready to start moving on up with QuickBooks Online 2023. Here we are in our Get Great Guitars practice file. We started up in a prior presentation using the 30-day free trial. We also have opened the free QuickBooks Online sample company. If you want these to open at the same time, we suggest using the incognito mode. 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. Or another browser. You can open the incognito mode if using Google Chrome by selecting the three dots in the browser incognito mode then search in the search engine for QuickBooks Online Test Drive. We're going to use the sample company to compare and contrast the accountant view, the view that Get Great Guitars is in, and the business view, the view that the sample company is in. If you'd like to toggle back and forth between the two views, you could do so by selecting the cog drop down up top and the switch to the views down below. Opening up a couple of tabs to put reports in like we do every time. Right click in the tab up top to duplicate it. Right click in the duplicated tab to duplicate again. Tab in back to the middle tab as the tab to the right is thinking go into the reports on the left hand side. Open it up one of the favorite reports that being the balance sheet. If you're in the business view, by the way, the reports are located in the business overview reports on the left hand side. We're also going to be opening up then or tab to the left. Let's tab to the left so that we can open up the reports on the left. I tab to the right so I can open up reports on the left. Sorry about that. That's going to be the profit loss, the P and the L report. Then we're going to close up the hamburger up top, close in the hamburger and change the range like we do every time. 010123 tab, 123123 tab, run it to refresh it, tab to the middle, close up the boogie, scroll up, and then 010123 to 123123. You've got to close up the boogie so you've got a bigger dance floor so that we can boogie on without the boogie. Okay, so that's the setup process that we do every time. Now we're going to enter both a receive payment form and then make the deposit into the checking account. So let's go to the first tab and I'm going to go down to the sales, which is like the customer center on the left hand side. Then let's go into the customers, close up the boogie, and I'm going to look at the open invoices up top. If you're in the business view, by the way, that would be in the get paid and pay center. Then in the get page, you've got your customers here. So there's your customers. So we can sort by those open invoices and down below we had, is this, did I click off the open invoices? There we have it. So Anderson Guitars is one that we sent an invoice out for and so now the next step is to receive the payment. We could do that here. We could go into Mr. Anderson there and then select the invoice here where we could either send a reminder, we could send statements to Mr. Anderson, or when we get the payment, we can go to receive payment here. We can also hit the plus button and say we go to receive payment and then enter Anderson and it'll populate or try to pull in that invoice. Now note, just take a quick look at our flow chart over here. Remember we're on the sale cycle now, which if we're on the sale cycle, the easiest sale cycle would be like gig work, meaning we just get paid by YouTube. We possibly use the deposit form to make the sale. On a cashed based system that is not dependent on the bank, we can then use a sales receipt would be used when we have a register often times and that would still be a cashed based system. Here we're in the kind of system that we had to bill the client. So we did work first. The idea would be we do the work first, we bill the client expecting to be paid at some future point. We already made the invoice. That means accounts receivable went up and sales went up. Now we're going to go to the receive payment. Now remember the options on the receive payment. If we got paid, we could deposit it from here directly into the checking account. And it's more likely that that would be a feasible strategy than using the sales receipt because when we receive a payment on an invoice, it's likely that we get paid with an electronic transfer or possibly a check to formats of payments that will typically be showing on the bank statement for just that amount, meaning we're less likely to be combining payments together and then depositing them together as we are when we're at a check register, for example, where we get paid by cash or by credit card. So I could put this directly into the checking account here often times for many companies, but I still might get being paid by cash or by credit card. And even if I weren't, if I deposit with the receive payment directly into the checking account, then in the checking account detail, I will receive a receipt. I will see a receive payment form for an increase to the checking account. And if I if I group my payments together and then deposit them with a deposit form, then I will see the payments all as a deposit. So I kind of like that better in any case as a general system. Then with the bank feeds, you will be matching the bank feeds to the deposit or doing a bank reconciliation, matching it out. Remember that if you have the bank feeds as we'll talk about in a future course or section, you could match the bank feeds possibly to the invoice itself or to the receive payment. But usually people if on an accrual system will probably follow the whole system through, make the deposit on their end, use the bank feeds to double check in a reconciliation type of system. Okay. So let's close this back out and let's create the the receive payment. So we could do it here, but let's do it with a plus button up top this time and just say we're going to go receive payment. And then Anderson, I'm going to type in Anderson, Mr. Anderson. It always reminds me of the matrix over here. Anderson, even though it's a fairly common name, you know, I'm going to hit plus on the button here. So we got the receive payment. The method I'm just going to keep with the cash because I'm going to emphasize this payment, go into the payments to be deposited like the undeposited funds account. And that would be similar. If you had a credit card, you'd have the similar kind of issue. And you still might use this even if you got like an electronic transfer or something like that. And then instead of putting it into the checking account, we're going to put it into that payments to deposit the holding account and then make the deposit of possibly multiple payments at the next step down below. We've got the invoice that it's being connected to. I'm going to just check off the the payment that we're going to receive. If we were going to receive something other than the full amount due, we could type some other amount here, a lower amount typically. And then we would still have an amount due from there. What's this going to do? The receive payment represents a decrease to the accounts receivable account. And the other side will typically go to some kind of cash account, either the checking account or this holding account, typically payments to deposit. Let's save it, close it, check it out, save it and close it. Then in this detail down here, because we're in Mr. Anderson's account, Anderson guitars, that is, we see the payment has been made and the invoice, if I go into that invoice now, we can see it's been paid and we've got the link to the payment. That linkage is quite useful. Closing that back out, we can also see it. If I go to the left-hand side, sales and all sales, then we can sort our invoices here as well by going to invoices. And we can look at the open invoices or the ones that have now been closed. Or I could say all invoices. So that includes all the invoices. And so we could search that way, which if you're in the business view, that's in a little bit separate location. It's under the bookkeeping and then the transactions and then the sales tab up top. So there's where it's located on that view. Okay. And then if we go to our financial statements, we can go, I've got an ant on my arm or something. Okay. If I go to the right-hand side, financial statements, balance sheet, run it to refresh it. And then we're going to say the accounts receivable should have gone down. So if I go into the AR accounts receivable, Anderson is right there, payment having been made. Note that if you put this directly into the checking account, then it will have that payment form as a deposit. Let's go into it here. And there's our actual form. So that looks good. So it's a decrease to the accounts receivable, scrolling up, back. And then the other side is also on the balance sheet. It goes not into the checking account, but rather to that holding account, which is in other current assets. We go into that and we see it here. Now the point I was trying to make is that if you deposited this side directly into the checking account, it would show an increase in the checking account, but not with a deposit form, but rather with a payment form, making it a little bit more difficult to search by transaction on it. Let's go back up. We can also see the sub ledger will be tracking this AR. Let's check that out. I'll go to the tap of the right, right click and duplicate. We kind of saw it in the internal areas over here in the, in the centers, but let's look at it by report reports on the left hand side, closing up the boogie so we can, so we can boogie in a bigger dance floor or something. I don't know. Okay. So then who owes you accounts receivable aging summary? And then we're going to go, this is from 01, 01. This is going to go to 12, 31, 2, 3, the end of the period, the total by customer at the 43, 207, 50 at this point for these three customers should still tie out to what is here. So that looks good. Also that payments to deposit should be reflected in the deposit field now. So if I go to the first tab and I go to the plus button, make deposit, then now you can see that that's being populated right here. So if I have to match it with any other deposits, I can do so to put it into the bank in the same grouping as will be shown on the bank side on the bank feeds or with the bank statement. But before we do that deposit, let's do another one so we can see how we can kind of match the deposits up. So let's do it, ultra vase another time and we're going to go to the to the plus button up top and we could find in the sales area, we might search, you know, by all transactions for the open transactions or by customer. And then I think most people would probably go here and then go to the open transactions. And then this one, this is the open invoices and then say, okay, here's our three people, Eric music, I'm going to go into Eric music, we're going to imagine we got a payment from them. And so we're going to say there's the open invoice. Let's just do it this way this time. And just enter just make the receive payment from here. So it'll open automatically. And then there's my receipt payment form. And the customer's already populated the date. Let's bring it to 25. That's good. The payment method. I'm just going to stick with cash. And it's going to go once again into undeposited funds. The invoice already having been checked off down below. What's this going to do? Well, it's a receive payment form. That means the accounts receivable is going to go down the sub ledgers going to go down for Eric music as well. And the other side's going to be going into the the the payments to deposit account. So and because we're not going to put it directly into the checking account. So same thing, let's save it and close it. And then we'll check it out a little bit more quickly. Balance sheet. Run it. Accounts receivable has been decreased. There it is. Anderson and Eric. So let's go up. It's no longer someone owing us money. But now we have the money in our hands and the payments to deposit not in the checking account yet. And there's there it is right there. There's these two. That looks good. Now this sub ledger account should match here, which we can see here. So now we've only got these two that owe us money at the 12,750 750 that matches what's on here 12,750 750 on the first tab. We also can see that we have the invoice, the invoice having been paid. So if I go into the invoice, it's been paid one payment made. So that looks good. And then there's our payment. Also on the balance sheet, we've got the amount in the payments to deposit 3470 250 now, which should match if I go to the first tab, the deposit. If I make a deposit form, those two items should be included in here. So I could check them off if I deposit them together and deposit them at one time. Remember that I could also still use this deposit form to deposit something else, not checking those off, but rather going down below and just saying I'm going to make a deposit from a loan or something, the other side going to a loan account or something like that. But I have the option of checking these two things off. And I want to use that option if I'm making deposits or making use of the sales receipts and the receive payments, meaning these two forms, this would be the cash based form. If you're using a full service system, this being the accrual based form that will be populating into this area. Now again, if I was depositing one of these at a time, I could just check one of them off and then deposit that one and then make another deposit form for the second one. So I could do that. I don't have to deposit them all together. But the point is if I collected these on the same day and they were cash sales, I know these are quite large to be cash sales, then I would deposit them both if they were credit card sales. And I knew that my credit card company was going to batch them together to put them into my checking account. Then again, I would group them together if they were electronic transfers that were not going to be grouped together when they hit the bank, then I would deposit them one at a time. The goal is to deposit them in the same grouping as we'll be showing on the bank statements on the bank statement side of things to make the bank reconciliation easy. So we're going to deposit them both together. This of course will increase the checking account and decrease the that that undeposited funds or deposits to be paid or whatever they call it now, save it and close it. And we're going to go then to the tab to the right. Why have to change things all the time? People changing words, definitions, whatever. We're going to go into the cash account here. And then this is going to be the deposit for one lump sum, the 347250, which is what we expect to be on the bank statement. Notice that all the deposits therefore are now in the form of a deposit. We don't have these two forms showing up as an increase, the receipt payment and the sales receipts. If you deposit these directly into the checking account, you would have those transaction types here and you'd have to be mindful of that if you were to filter your transactions by those that are increasing the checking account. Alright, let's go back then. That's a minor detail. It's not that big of a problem or anything, but just something to note. Here's we got our payments to deposit back down to zero. Notice that in here, it checks them off one at a time, one at a time. So we can see things increase and decrease quite nicely formatted way good, goodly formatted, very goodly formatted. Okay. So that's it. No impact on the income statement because the income statement was increased on the sale side when we created the invoice, not when we received the payment, not when we made the deposit because we're on an accrual system by the fact that we used an invoice. That means we're doing an accrual system and there it is. So let's go and do our trial balance, tap to the right. Let's open our trial balance to see where we stand reports on the left, close up the buggy and then trial balance. You're limiting my dance floor space with that hamburger. We're going to go from 01, 01, 2, 3, 12, 3, 1, 2, 3. I'm trying to buggy not have the buggy in the way of bugging. Okay. Enough with the buggy. Did I run it? So this is where we stand. If your numbers tie out to these numbers, that's good. If not, try changing the range, expanding the range. If there's a change when you expand the range, drill down on where the change is with the zoom function, see if it's a date issue. If it is, change the date to the transaction, which you could do in a practice problem, but be careful doing that in practice. We will be running a transaction detail report at the end of the first month of data input to further drill down on any differences.