Bookkeeping Advice Archives

Posting Sale of Spec Home

This article deals with the basics of posting the sale of a Speculative (Spec) Home in your bookkeeping. This article only discusses how to close out or recognize the following: That being said, this article will NOT address closing out Construction in Progress to COGS. Please refer to an earlier post on this website that

Resolving Payables Conflicts with a Vendor

This article deals with resolving Accounts Payables balance conflicts with a vendor. It is always a good idea to reach out to a major vendor from time to time and inquire as to the current open balance they show in their records. Be sure to match their open balance with your current payables balance for

Posting Interest Payments on Lines of Credit

This article deals with different ways of recognizing interest fees associated with Lines of Credit. A line of credit is just credit extended with the ability to make cash draws against this when funds are needed. Lines of credit always have limits and, of course, interest will be owed as well for the temporary use

Types of Bank Balances for Reconciliation Work

This article deals with the three basic types of bank balances when deciding which one to reconcile to in your books. The three basic types of bank balances are: The realities are the Ending Collected Balance and the Current Posted Balance are probably going to be the same amount unless there was a long hold

When to Reconcile Loans in your Bookkeeping

This article addresses the concept of maintaining your various types of business-related loans in your bookkeeping system. Small businesses will typically be in debt and thus will need to maintain some sort of loan account in their bookkeeping ledgers. There are indeed various reasons why a small business would even carry a loan in the

Vendor Expense Reports for 1099 Purposes

This article deals with utilizing the popular QuickBooks “Expenses by Vendor Summary” report to help ascertain which vendors might be a candidate to process the annual 1099-NEC form for. Typically, when you utilize QuickBooks to help with processing 1099 forms, you probably utilize the 1099 wizard or some other 1099 candidates related report to accomplish

More Bank Reconciliation Issues – Clearing Payments That You Cannot Delete or Alter

This article deals with a particular issue you may run into from time to time when trying to reconcile a bank account. Sometimes a check payment is posted in your bookkeeping software, however, the actual check that clears the bank account is for a slightly different amount. You may be tempted to simply login to

Making Changes to Already-Reconciled Bank Accounts – Part 2

This article continues a series of articles that will deal with the fact that you have decided to make a change to an already-reconciled transaction in your QuickBooks Online bookkeeping company file. Like Part 1 of this series, this examplescenario of this is: You previously received a deposit but did not know where these moneys

Making Changes to Already-Reconciled Bank Accounts – Part 1

This article deals with the fact that you have decided to make a change to an already-reconciled transaction in your QuickBooks Online bookkeeping company file. One scenario of this is: You previously received a deposit but did not know where these moneys came from, so you decided to post as an Uncategorized transaction (deposit) for

Bank Reconciliation Discrepancies

This article deals with bookkeeping reconciliation discrepancies with your bank account. Normally, when you are trying to match a bank account balance to the associated bank account balance in your books, you should be able to match each and every transaction that had occurred within a certain time period. The more often you complete a