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QuickBooks Tips Blog

Video QuickBooks Tip: Downloading Transactions Into QuickBooks

Posted by Matt Roberge on Oct 24, 2012 6:55:00 AM

Downloading transactions into QuickBooks can increase the efficiency as well as the accuracy of your bookkeeping system.  By downloading your transactions into QuickBooks you will reduce data entry errors.  You can spend less time on manually entering your transactions and more time analyzing your financials.  In this QuickBooks video demonstration I will cover the basics of downloading transactions into QuickBooks. 

Types of transactions that can download into QuickBooks

There are many types of transactions that can be downloaded into QuickBooks.  There are many outside services or plug-ins you can use to download various transactions into QuickBooks.  The basic types of transactions that can be downloaded into QuickBooks are banking and credit card transactions.  Some financial institutions are not compatible with QuickBooks downloading so you will have to check with your particular providers.

How to download transactions into QuickBooks

You can set up your various accounts to download in a few different ways.  From you chart of accounts you can right click on the account you want to set up and click edit.  On the lower left-hand side you will notice a button that says 'Set up Online Services.'  You can also set up an account for online download by clicking on the Online Banking button on the icon bar.  They will both launch the same wizard which will walk you through setting up your account for online download.  If you don't see your financial institution on the list it means that your particular financial institution is not supported for downloading into QuickBooks.

Once your transactions are downloaded into QuickBooks you simply fill in the vendor name, expense account and a memo.  At first there will be a significant amount of work to do.  However, as time goes on QuickBooks will get smarter and start to remember vendor names and expense accounts typically associated with the vendor; this is referred to as QuickBooks matching.  You will be able to add multiple transactions at once, but you will always have a chance to review your matched transactions.  

Benefits of downloading transactions into QuickBooks

There are many benefits of downloading transactions into QuickBooks.  Obviously you will save a ton of time by not having to data entry your transactions.  The reduction in data entry will increase your accuracy.  Lastly, you can spend the time you saved analyzing your financial statements.  Your financial analysis should allow you to look for any issues you see happening in your business.  You can identify areas you need to cut expenses out of and also opportunities to increase sales in certain areas.  

Problems with downloading transactions into QuickBooks

There are a few issues I have seen with downloading transactions into QuickBooks.  As I have already mentioned some financial institutions are not compatible with QuickBooks and therefore your data cannot be downloaded.  If you are manually entering some of your transactions into QuickBooks I have seen the download not match up your transactions in certain instances.  For example if you enter a transaction dated 9/27/12 and on the download it comes through at 9/28/12 I have seen QuickBooks not match these transactions together.  However, you would capture any duplicate transactions through your QuickBooks account reconciliation and fix the mistake.  For the most part I think the transaction download works flawlessly in QuickBooks and can be an asset to many types of businesses.  

Downloading transactions into QuickBooks can save you time on tedious data entry.  For some businesses it may not be the best choice, but typically downloading QuickBooks transactions can be beneficial to a business in numerous ways.

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Topics: QuickBooks, QuickBooks Tips, QuickBooks Tips Blog, QuickBooks Video Tips, QuickBooks advice, QuickBooks Importing, online banking