Bank opening balance showing as profit

[newuser]

I’ve just started with Quickfile. I created a bank account and put an opening balance in it, this is not “income”, it is an opening balance, however it is appearing on the P&L as profit, how do I correct this please.

[ian_roberts]

When you set an opening balance on a bank account the matching double entry goes onto the suspense account by default, and you have to journal it from there to the correct place for the actual source of the funds (probably something like “capital introduced” or “director’s loan” if it’s a new business or “retained profit” if it’s an existing business that has switched accounting software).

A positive bank account balance is a debit entry in accounting terms, so the matching suspense entry is a credit and shows as income.

[newuser]

Thanks Ian for your help