Quickbooks Tips

Setting Up Petty Cash in QuickBooks

1. Open the chart of accounts in QuickBooks.
2. Highlight the petty cash account and click on the edit button.
3. Change the type from 'Other current asset' to 'Bank', and click OK.

Your petty cash account now has the property of a bank account, which allows you to deposit money, pay bills and account for cash going in and out of the petty cash account.

To deposit money into the petty cash account:

1. Click on Activities => Make Deposits.
2. Enter the name of the petty cash account in the 'Deposit to' field at the top of the window, change the date to the date of deposit.
3. Enter the items you wish to deposit by selecting a name, account and amount. Additional memo information can be entered if required. Click OK.

To pay bills:

1. Click on Activities => Pay Bills.
2. In the 'Pay by' field select check.
3. Check the 'To be printed' box so that a Check number is not entered.
4. Select the bills you want to by placing a check next to them. Click OK.

Always remember, if you've enter a bill you must select Pay Bills to clear them from your Accounts Payable Account. If you wish to enter the bill and payment at the same time, use write a check.

To write a check.

1. Open the Write Check window.
2. In the Check number field put the word 'cash'. Remove the check from the "To Be Printed" box on the right hand side.
3. Fill in the check as normal, and click OK.

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