Tips and Tricks to Help You Use QuickBooks Better. | Hawkins Ash CPAs
In this edition
June 2019

Checking Your Usage Limits in QuickBooks Online

Reconciling Bank Accounts in QuickBooks

What Data Does or Does Not Convert from QuickBooks Desktop to QuickBooks Online?

Sales and Use Tax is a Big Deal
Checking Your Usage Limits in QuickBooks Online
QuickBooks recently started rolling out usage limits to their Online Plans. The plan limits are as follows:
There are two ways you can check your limits:

  1. Go to the chart of accounts, classes or locations page. There will be a banner at the top of the page that indicates whether you are below or have exceeded the limit.
  2. Select the gear icon. Select account and settings and click the usage tab. The usage tab will show you how many items you have used.

If you are currently over the limit, you will not have to get rid of any classes, locations, or accounts, but you will not be able to add anything additional until you are below the list limits or upgrade your subscription. 

Please contact one of our accounting services staff for help in decreasing your list limits or upgrading your subscription.

Contact: Becky Doyle , Certified QuickBooks Online ProAdvisor
Direct: 920.337.4524
Email: bdoyle@hawkinsashcpas.com
Reconciling Bank Accounts in QuickBooks
It important to reconcile your bank account against your bank statement on a monthly basis.

To reconcile your account:

  • Click Banking, Reconcile.
  • Enter the Statement Date and Ending Balance from your bank statement.
  • Enter the amount of Service Charge or Interest Earned in the appropriate boxes along with the account. In the date field, enter the date posted, which should be detailed on your bank statement.
  • Click Continue.
  • Click the ✓ column to clear deposits and checks/payments that are shown on your bank statement. 
  • When the “Difference” in the lower right of this window is zero, you have successfully reconciled your bank statement. 
  • If there is a discrepancy, you can compare the deposit and check/payment totals in the lower left of the window to your bank statement to narrow down the difference.

In QuickBooks, you can also reconcile credit cards, loans, and any balance sheet account.

For more information on Reconciling bank accounts in QuickBooks contact one of our staff members.

Contact: Renee Kabat, Certified QuickBooks ProAdvisor
Direct: 608.793.3154
Email: rkabat@hawkinsashcpas.com
What Data Does or Does Not Convert from QuickBooks Desktop to QuickBooks Online?
QuickBooks Desktop will always be my favorite software product I suggest to my clients to use for their daily bookkeeping and payroll services, but sometimes clients want the ability to use and see their accounts no matter where they are. QuickBooks Online gives you that freedom. 

But before converting, you should know how much work it’s going to take to get your records in working order in the new online system. Here is a list of features and their likelihood to convert or not when you are switching to the online version of QuickBooks.

Chart of Account:

QuickBooks Online has the normal account type such as Bank, Accounts Receivable, Other Assets, Equity, Income and so on, but it also has an additional level of account type called the “Detail Type” which allows you to sub-categorize your accounts within your chart of accounts. For accounts where the detail type is obvious (for example, Undeposited Funds), the conversion process assigns the detail type, but for accounts where it isn’t clear what the detail type should be (the majority of accounts are like this), the conversion process assigns a generic detail type within the normal type, which can be edited later. Bank account numbers and notes are not converted.


Attachments saved in your QuickBooks Desktop file are not converted to the Online version.

Audit Trail:

The audit trail of previously entered transactions does not convert from Desktop to Online, but QuickBooks Online has its own automatic Audit Log with a detailed audit trail of every transaction that is added or changed, as well as the log in/out of users accessing the file.

Bills and Bill Payments:

Bills – Item receipts are converted to Bills, but the Bill Received checkbox is not converted.

Bill Payments – The discount applied to a bill in the Desktop version is converted as a Supplier Credit. The address on the fill payment check is replaced by the Supplier Address in the Supplier List.

On our website, we explain several other specific features such as Budgets, Journal Entries, Credit Card Charges, Inventory, Customer and Jobs. Click the button below.
Please contact any of our experts if you would like help and further explanations specific to your needs!

Contact: Jamie Lambrecht , Certified QuickBooks Online ProAdvisor
Direct: 920.684.2556
Email: jlambrecht@hawkinsashcpas.com
Sales and Use Tax is a Big Deal
With the passing of the US Supreme Court decision in the South Dakota v. Wayfair, Inc. case on June 1, 2018, you may have become a Remote Seller who is required to collect and remit sales tax to another state.

A “Remote Seller” is an out-of-state business that sells its products to customers in another state using the internet, mail order, or telephone without having a physical presence in that state. If you know that you are or will be making sales of products for delivery into another state and you meet or exceed the threshold for that state, you are required to register to collect and remit sales tax for that state.

The above US Supreme Court ruling determined that the physical presence standard (nexus) is no longer a requirement for a state to impose a sales tax collection responsibility on sellers. This means all sellers need to evaluate if they have a collection responsibility. Many states have enacted economic nexus laws that apply to any business that makes sales into states in which they have no physical presence but meet the state’s sales and/or transactions thresholds.

To help you determine if you have met a state’s sales threshold, click on the link below. It is a link to the Economic Nexus State Guide which provides key information like effective dates, thresholds, and includable (gross vs. retail vs. taxable) sales for out-of-state sellers making sales into states that have enacted economic nexus legislation.

This is general guidance and is not legal advice. 

Please contact Hawkins Ash CPAs for assistance.

Contact: Bev Brahmer, QuickBooks Online Certified ProAdvisor
Direct: 715.748.1343
Email: bbrahmer@hawkinsashcpas.com
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