I have entered the bank opening balances, and some transactions, which all reconcile. The opening balances are totalled in the suspense account. They then appear on the p+l as income.
If I journal them to retained earnings they remain at the same figure on the balance sheet, though the figures in the bank accounts have changed. Where should they be accounted to in order get them out of the suspense account, and them not to appear on the balance sheet as the original total?
Hello @1234-4321
When you enter opening balances the software does not know where they came from so the other side of the transaction goes to suspense. Once you have entered all your opening balances (e.g. have you entered all your opening balance sheet balances yet) they should net off the suspense balance.
Hi Steve,
I was not planning to enter anything brought over from an old system, just start a fresh set of books from here. This is a “cash accounting” based community council account. (I am using this as a practice exercise before I start our farm accounts on quickfile at the start of the next financial year).
Should the opening balances in the bank accounts just be entered as capital introduced instead? as that would get them out of the suspense account?
Hello @1234-4321
Usually when a business starts money if put into the bank, this could be from a person, business loan etc. This needs to be replicated in QuickFile.
- Enter the Opening bank Balance
- Enter an opening balance for the code where the money came from
The net affect in the suspense will clear the balance.
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