QuickBooks Pro is one of the most demanded software’s by Intuit. The program that came into existence not long ago is now being used both by small and large business organizations. Not only you can record and report your entries but it also helps you do your A/P or A/R on autopilot. All you need to do is supply entries within QuickBooks. If you have a loan to make then all the tracking can be easily done with QB. Let’s just understand “How to record a loan payment in quickbooks” the easy way.
Though you can use quickbooks with lot of ease and plenty of features but today we will try to find how to record a loan payment in quickbooks. Thus without further adieu let’s jump into find how you can do that:
How to record a loan payment in quickbooks?
Print your cheques
When your bills are due, you can directly print out a check from QuickBooks. This software records all your transactions and has the option of linking your banking accounts too. Since you can view all your financial records on a single screen, you can discard the use of paper bank statements.
Keep a track of expense billing
If you run a business, then you would need to keep a track of your expenses which have to be later billed to clients. Every kind of expense whether big or small that may or may not include, your car expense, any purchase of raw material etc can be easily recorded within QB.
- Launch QuickBooks. Click the “Lists” tab in the top menu and then click “Chart of Accounts” in the context menu.
- Click the “Account” button below the list of accounts. Select “New” from the pull-down menu.
- Select “Company,” “Lists” and then “Chart of Accounts.”
- Right-click on any location on the list and then select “New” from the context menu. Now you would need to choose the “Other” tab. This you can find from the accountant’s list. Choose the downward pointing arrow. This will automatically bring down the scroller and thus will help you choose other accounting types available.
- If you need to choose short term loans that are repayable over an years span then click on “Current liabilities” tab.
- Provide with an ID and enter the same in the fields required and leave the balances as nil.
- Click the “Save and Close” button.
Deposit the Loan Amount
Click “Banking” in the main menu and then select “Make Deposits” in the context menu. If the Payments to Deposit window opens, click the “Cancel” button to close the window.
- Select the deposit account for the loan in the Make Deposits window.
- Enter the name of the liability account you created to track the loan in the field in the “From Account” column.
- Type the loan amount in the field in the “Amount” column.
- Click the “Save” button.
Recording Loan Payments
- Select banking from the menu provided and choose to write a check.
- Provide the name of the person to be paid and supply the amount in the Check window displayed.
- Assign the interest figure and choose the account from which you want to charge these expenses. The other half of the payment should be assigned to a liability account that you are using to monitor your loans.
- Select “Edit” and further select the “Memorized” option. This will automatically populate all the details within the check and help you save a payment reminder.
- When you are done, click save and exit the window.
Hope you have solved your query by now. But if you are still facing issues with quickbooks or looking for further solution then get in touch at our Quickbooks Canada Support at our Toll free number at 1800-940-7442.