 QuickBooks Desktop 2023 PayPal and Bank feeds. Let's do it with Intuit. 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 going through the setup process we do every time in the view drop down we got the hide icon bar open windows list checked off the open windows open on the left reports drop down company and financial let's open the profit loss standard change the range from 010122 123122 customize it fonts and numbers need to change to 14 okay yes okay then reports drop down company financial this time the balance sheet and we'll go and customize it first change the range from 0102 010122 to 123122 and then fonts and numbers increase to 14 okay yes and okay let's open up the bank feeds go into the banking drop down bank feeds bank feed center would only be there if you have them set up which we did in a prior presentation so we currently have the checking account the credit card accounts now we're thinking about what happens with those PayPal if I have a PayPal type of account so if I go back to the checking account here you'll note that on the deposits we had some deposits going through let's go to the unrecognized area then the deposits we had some deposits coming through that were transfers from PayPal which leads to the question of how should we be accounting for PayPal which used to be a kind of intermediary platform and you can have similar kind of questions with like the stripe that we talked about earlier other kind of intermediary platforms that used to be used primarily to to try to receive income a lot of times for businesses that needed to be paid through an intermediary platform such as that so then one way that we can deal with that is we could say okay well maybe I just use that platform as an intermediary I wait till it comes through and hits my checking account and then I can see the deposit there and I can record it as income at that point in time now that can work well if for example you're using the intermediary for one type of income and you're using it for one customer or you don't really care like that that you're not going to get that detail for the customer detail you just want to make sure it goes to the right income account when it comes into QuickBooks that could be a nice and simple type of method however you can see when it comes into the QuickBooks system it's going to be grouped together as one lump sum you're not going to have the customer information in the transaction detail here which you might have when you're in from the intermediate transfer item such as the stripe account or the PayPal account and you're only going to be putting it to one account like an income account possibly because you don't have any more data to know who it came from and therefore possibly being able to assign it to multiple different income accounts now of course PayPal could also have expenses they've expanded to the point where a lot of businesses are using them to pay stuff as well so you have activity which is looking more and more like a normal checking account to an intermediary kind of transfer platform so the next option would be okay well is there a way that I can connect to the PayPal or the intermediary account so I can pull in more data such as customer information and accounts you can look into apps to do that sometimes there's applications that you can dive into we're not going to dive into applications here but that's going to be one option that you can try to integrate an application to try to pull in that data and give you that more information now the other thought would be well can I just connect to PayPal here because if I can connect to PayPal I can use it just like a checking account and I can record the increases and I'll have the detail just like I have here for the increases and the checking account with the download data which will help me to determine who I got the money from the proper account to assign it to and we'll be able to kind of match out the inter-bank feed transactions like these items as well but at this point in time I don't believe that we can connect directly to the bank feed so if you go into the bank feeds and you try to connect to PayPal then you don't really have that option right now now for some reason I think you can do it on the online version which is one of the pros and cons to the online version versus the desktop and that's one of the pros right now you would think that they would update that so that you can do it on the desktop version as well I'm not sure why that would be a distinguishing factor between the two the next thought would be well if I can't connect to it directly I can download the information from PayPal and then upload it into the system periodically and that's another way we could just get our data into the system and treat it just like another checking account unfortunately PayPal doesn't have the data downloadable in a QBO file which is what we need to upload it into the system however we can download as a CSV file which is just like a comma slice just a data file so we could download it as a CSV and then we could just take that data or we could just take that data directly and enter it into the system by going to the list dropdown chart of accounts like you might just create up a new account call it PayPal it would be a bank account which we'll do in a future presentation I won't do it now but once you have it set up then you can go into the checking account and if you don't have many transactions you can just enter the transactions from PayPal directly manually into the register that's the easiest if you don't have many transactions but a bit more time consuming of course than just having a direct link to the system we can also try okay what if I can convert the CSV file into a QBO file you could do that and there's options out there one option that I saw that has a conversion software is this one so proper soft I think they have a conversion for free and then if you go over that amount you have to pay so that's one item that you can test out we'll test that out here as we go so if you download the data from your PayPal, your banking data you'll see a similar process with other financial institutions except that you can download it as a CSV file which usually looks kind of like an Excel file if you have Microsoft Office on your computer although it's not because if I right click on it and look at the properties for it it's a CSV file which is just purely a data file you can think of it as stripped of all the Excel kind of tools and formatting and then if I go into it then it's going to have our information here and so it's usually going to have the date and then it's got some added stuff I don't need the time I need that information I don't really need this mass payment thing right here typically all this other stuff I just need really the date and then the amount that's actually going to be pulled into the system which I'm going to say is this column we also have email addresses we don't need most of this stuff over here so typically what you're going to do first is just say to trim this down to the data we can convert into a QBO or just enter directly into the system I'm just going to delete this column this column right click delete and then I'm going to delete from here this column this column I just need the totals on this side so I'm going to right click and delete all that stuff and then I'm going to delete everything on this side that I don't need so let's just delete all that boom and delete and so now we've got just the bare bones kind of information that's usually kind of in a bank feed system that we can upload into our QuickBooks so now if there's not this many transactions like I said you can just enter this directly into the register and enter that many transactions or we can try to convert it to the QBO and let's just do that just for the practice of it so if I try to use this software there's only going to be 10 transactions I think so I'll have to cut this in half because I have 14 or 15 transactions so I'll cut it in half then I'll upload two of them and we'll see how that conversion process works so that's one method that we can use also just know when you adjust this kind of file here you could like sort it like I could enter filters on it if I wanted to sort the data or make a table from it and then I could sort the data by date and so on but if you save it and you can adjust the data but if you save it just realize I'm going to undo that it's going to remove any kind of items you put in if you save it as a CSV in other words like if I put this little yellow item here and I say file save as if you want to keep any adjustments you can't save it as a CSV file if you want to keep any Excel adjustments you got to save it as an Excel document if I try to just save it as is as a CSV file any kind of fancy changes I make I'm going to save it and close it if I open it back up are going to be gone because it's just a CSV file meaning it's not going to save just data but you can't add Excel formatting to it because it's a CSV file so just be aware of that so next time what we'll do is we'll continue with this process and take that data file and use this software that we're just testing out here to see if we can convert it to a QBO file and then we'll upload that into the QuickBooks system as we have done with the other bank feed files and start to enter some of that data so we can get an idea if I go to the bank and drop down bank feeds of the pros and cons and differences of just basically waiting until something clears the bank and just recording it as income versus having the PayPal data in there and then recording the income from the PayPal side of things where we have a little bit more information to record the account and the payee having the enter bank feed transfers happening so we'll get dive into that more in future presentations