Making Bank Deposits

Whenever you record a cash sale or a customer payment on an invoice, QuickBooks adds the cash to its list of undeposited funds. These undeposited funds could be a bunch of cheques that you haven’t yet deposited, or they could consist of coinage (currency and coins) or even credit card payments, if you accept those.

You can also tell QuickBooks to give you the choice of indicating that a particular payment or sales receipt is deposited directly into a specified account. To tell QuickBooks to give you this choice, choose Edit⇒Preferences, scroll down to the Payments icon, click the Company Preferences tab, and then deselect the Use Undeposited Funds as a Default Deposit to Account option. After you make this change, QuickBooks adds buttons and a box to the lower-left corner of the Enter Sales Receipt and middle of the Receive Payment windows so that you can indicate into which bank account the money is deposited. Specifying a bank account is very handy if a customer pays you via electronic bank transfer, for example.