 QuickBooks Online 2024 Adjusting Entry and Reversing Entry Reports. Get ready and some coffee because we're off to a quick start with QuickBooks Online 2024. Here we are in our Dick Gray Guitars 2024 QuickBooks Online sample company file. We set up in a prior presentation opening the major financial statement reports as done every time the reports on the left were right-clicking on that balance sheet in the favorites to open a link in a new tab right-clicking the P&L the profit loss the income statement right-clicking the trustee TB to open a link in a new tab tabbing to the right hamburger close it for crying out loud change the range 010124 tab 02 let's go to 033124 tab dropping down for the months and then run it and then we'll tab to the right to the right repeating the process hamburger close it range change it 010124 tab 0229 033124 and then month by month run it one more time on the trustee TB tab closing up the hand buggy changing the range in 010124 tab 033124 tab dropping it down for the months and then running it again for the refreshment of it let's go back to the balance sheet and we're now going to be looking at the reports that we have generated after having done both the adjusting entries and the reversing entries remembering the adjusting entries are there to make the financial statements as close to the accounting basis being used typically an accrual basis but can also use the same concept for cash basis tax basis so you can get the books as close to that method as possible as of the cutoff date which for us was February 29th the end of February we then do the reversing entries only for those journal entries that aren't permanent differences where we need reversing entries so that we can get the financial statements correct as of the cutoff for external reporting purposes taxes management and management internal but taxes and then like bank loans and investors and what not and then we reverse it so that we don't mess up the internal bookkeeping process noting that what we want to have is a clean separation of duty neither the bookkeeping nor the adjusting process being like correct or incorrect meaning we're not correcting errors we're setting up a system designed specifically to to have it work as smoothly as possible and as easily as possible on the bookkeeping data input and then shoring it up as necessary with the adjusting entries okay so that being the general process we now want to take a quick recap of the reports that we have constructed possibly reviewing one more time the adjusting entries noting that sometimes the adjusting entries might be done by say an accountant directly to the QuickBooks file but sometimes that's not the case sometimes we don't want to like actually do the journal entries in QuickBooks possibly maybe you want to do that the journal entries outside of QuickBooks so traditionally a lot of times what would happen and the old days before you actually had access to the QuickBooks file at the CPA firm is that we would get the actual reports and then plug them into Excel or some other kind of software do the adjusting entries and then decide how we're going to put them which adjusting entries need to be put back into the QuickBooks file right so you still might have similar processes at this point in time in other words if I'm taking the books and I'm adjusting it so that I can then prepare the tax return on a tax basis then I might take the books as they are within QuickBooks do my adjustments outside of QuickBooks in Excel or something like that to prepare the tax return and then the question is what needs to be entered into QuickBooks right so just the workflow could change depending on again what your setup is between the bookkeeping process and your accountant or your tax preparer so you want to be clear these days we have a benefit of being able to give the tax preparer the actual books tip typically because most tax preparers in CPA firms have access to QuickBooks that's why QuickBooks is a great tool to use because you can give access but but you still might end up in a situation where you're saying I want to communicate between myself and the accounting department the actual journal entries that were entered right so to do that we're generally going to run a report let's go to the first tab over here and let's go and close up the hand bogey I'll scroll all the way down to the report so we can find it but you probably would be easier just to type it in as a journal report so here's the journal report if I go into the journal report that's the report that shows everything in journal entry format so so notice that it gives all the transactions check transactions deposit transactions so on invoices and what not as a journal entry let's hit the drop-down and make the date for a custom date for the cutoff date where we made all of our adjusting entries 022924 to 022924 now by restricting the date then I'm going to eliminate a lot of the other activity just by doing that so these are the transactions only that happened on that date noting that the adjusting entries we can identify them by a few specific things one being they all happen on the same day 22924 in this case the end of the month if they were year-end adjusting entries they would all be as of December 31st 2024 to we're going to put in the memo that it's an adjusting entry and three they're all going to be the transaction type of journal entries so you can see we have other stuff happening here but a lot of it are other kinds of forms so we can then further filter this report by transaction type just looking for the journal entries so let's go ahead and do that filter and select the drop-down and then we want the transaction type of equaling the journal entries I'll just type in journal and there we have it so now this trims it down to basically just the adjusting entries although we still might have a couple other ones in there we can see the description here adjusting entries so everything here this one is not an adjusting entries so tax adjusting it says adjustment oh what happened there capos so tax taxed adjustment so I don't believe this one was an adjusting entry so I'd still like to clean that one out so how can we clean that one out well the easiest thing is I can export it to excel from here and just delete it right so if I'm going to give this information to my book the bookkeeper or something I'm if I'm communicating the adjustments that we made this is a way that we can filter down the adjustments that basically we made and we can do the one last filter by exporting to excel so export it to excel open it up and then we'll say let's do that last bit open it up here I'll edit it and then we can do whatever we want to do on the editing typically I'll I'll go to the to the tab to the right back to the tab to the left it's a long report so it's on multiple pages as you can see so then I might want to go to the layout and make it landscape orientation landscape