The new check issued in the current period will remain outstanding until cleared. When you perform the next reconciliation the outstanding Bill Payment from the closed period and the journal entry reversing the original Bill Payment in the current period should both be marked as reconciled. Make a note in the memo that it is a re-issued check for the original Bill Payment.įor example: Re-issued ck #1071 from Step 4: Write a new check in the current period to the same bank and expense account that you used in the reversing journal entry in Step 2, so it washes in the current period. Now re-issue the Bill Payment with a check. Using a wash account will avoid overstating the amount paid to the 1099 vendor in the current period. If the Bill Payment relates to a 1099 vendor, we recommend using a wash account (instead of the expense account) for the journal entry and re-issued check. The journal entry will reverse the activity in the current period. Journal Entry Example – Journal date : Account To create a journal entry in online go to the Create icon > under the Other column click Journal Entry. To create a journal entry in desktop go to Company > Make General Journal Entries. Step 2:Ĭreate a journal entry in the current period, debiting the same bank account and crediting the expense. Voiding a Bill Payment could cause issues if it was used to purchase inventory, or pay a 1099 vendor. It is not recommended to void a Bill Payment in a closed period. Make a note within the memo of the original Bill Payment and re-issue the check noting the current period date and new check number by way of a journal entry.
Note the account or items affected, and use the same account to book a journal entry.
Therefore, you want to perform the following steps: Step 1:įind the Bill Payment within the Vendor that needs to be re-issued. You do not want to delete or void the check as this would cause problems. You need to re-issue the Bill Payment check, but it was in the last fiscal year and the books are now closed. A vendor you paid via Bill Payment in QuickBooks lost the check.
0 kommentar(er)
