QuickBooks Online: Unapplied cash payment income / expense (Cash vs. Accrual) 

What an awesome video and I definitely loved the pace. It was quick and rapid fire. Tremendous value in distinguishing deltas between cash and accrual based reports. Thanks for posting this.

Started bookkeeping a month ago. No experience. This video saved my day. Thanks!

This video was extremely helpful since I'm converting to accrual after 50 years of only using cash basis. Thank you so much!

Thanks a lot Hector. A great piece of work as usual!

Very helpful and informative! I've been racking my brain trying to figure out why none of my reports made any sense for over a year and a half now... it literally never even occured to me (although I asked the accountant what method he was using, he never answered me), but my reports showed tons and tons of income that we simply just never received. It wasn't until on a new computer I went to go run a report and/or maybe it was an update that happened since the last time I ran reports??? But, it asked me what accounting method I wanted the reports in... it wasn't until that message today that I realized why our numbers were so skewed, as we have alot of invoices hanging out there that need to be cleaned up in one way or another. I appreciate your videos so very much more than you realize! I just wish I would of known this was a problem or actually, simply just a setting before that message popped up today. I've wasted countless hours trying to figure out why the numbers are so skewed and watched so many videos... But, not being an accountant, nor having any classes past 'computerized accounting" that mainly taught excel spreadsheets formulas back in 1998, I didn't even realize that the reports would be different! So, I didn't even have a clue as to what to even search to figure out what the issue was... This video went above and beyond. I like the quickness of it. And, I've saved it for future reference!!

Exactly what I was looking for! Thank you Hector!

Hector, you are always entertaining! Great video.

Thank you very much, Hector! A worthwhile endeavor.

Great video Hector. It really helped me understand better the concept of CCRUAL BASIS.

It was valuable.. I understand. Thanks Hector

It's a little confusing at the first watch but when I rewatched it again, I get it.

1.30.21 Hector, was interesting to see how the amounts flowed around. I will have to watch a few times to follow. Thanks

Thanks for the tutorial sir!

Thank you. All your videos are helpful.

Very helpful and informative. these Unapplied accounts are simply place holders until Invoices or bills are created after the fact of receiving or submitting payments. Helps a lot.

Good video...even years later. Would like to see the credit memo example on the bill/bill pmt side for prepaid expenses. And, for bonus, include a loan. For example, financed liability insurance is pretty common. So, let's say I have a $12,000 insurance premium. The broker gets paid a down payment, the balance is part of a premium loan that is paid off over 9 months. From an accrual basis, I want $1000 per month insurance expense. But, from a cash basis (I think) I want to see the entire insurance expense with the down payment and loan. Then of course, the interest expense on the loan over the 9 monthly payments. That's my current dilemma. Any way, very good content Hector!

I'm from india. It was very helpful. Can you please make video on matching bank balance with real example. Because I am very confuse in duplicate, clear, unclear,matching transactions.

Very good and informative video. Please keep it.

very helpful!

It was really helpful

Complicated but clear. What impact would a credit card purchase have on the BS or P&L if bought in March but credit card paid in April, using cash basis.

As always, thank you Hector for getting into the weeds to enhance our understanding. My question is related to the unapplied cash payment income. How do we clear the unapplied cash payment income if the customer overpaid and just wants us to keep the extra as donated income? They don't want the overage applied to a future invoice. (I paused the video at 10:26, so I apologize if you answer this question later in the video that I haven't seen yet)

It's helpful

Questions: How do you enter tips? Since they’re not part of the invoice. How do you enter reimbursement of materials received from customer? Should that reimbursement be part of the invoice?

NERD! All kidding aside, succinctly done. Another great tutorial.

Great video, as always! I learn so much for you-- thank you! I was hoping this video would cover if there's a way to clear out old Unapplied Cash Payments from previous years. Did a conversion from Desktop to Online, and old invoices/payments got messed up, so now customers show Unapplied Cash Payments when they shouldn't have them. Is there a way to fix these?

Your videos are a truly a gift from the heavens! Thank you so much! Quick scenario & question: Does QBO or even QBD has a functionality like restricting amendments/posting to closed period for reporting purposes; i.e. period controls? I noticed that the bills/invoices are reported based on the bill date/invoice date. What if for example a "lost bill" dated 12/15/2021 has been received in March 2022. If we record it in QBO, I think it will change the P/L in Dec 2021 which has been closed and finalized already. It should be reported in March already, right? Instead of using the actual Bill date in the invoice, we should use a date in March (perhaps Received Date) just to have it shown and reported in March 2022 P/L.. That's the only way I can think of. Haven't used QBO yet so.... XD

I’m looking thru your videos to see if you have a video that pays a business credit card using the business account. But I can’t find any.

Hi hector, thank you for this amazing tutorial. Question though, what if the invoice date crosses to another calendar year say 1/15/2021 , but the company received cash on 11/25/2020, will the unapplied cash income present a balance amount in P&L for year 2020? Or do we have to close it to sales? Thank you. 😊

How can I add past invoices and receipts of a customer or supplier with accumulated transactions?

Great information but please slow down a tad.

Puede por favor hacer un video completo en español enseñando a trabajar con quickbooks online ,o por lo menos enviarme el link si ya ha hecho alguno ...gracias

Hi, Hector! Your videos helped me so much! I have a problem, QBO. I have a customer who is also a supplier to us, we owe him money for an invoice and agreed we send him goods in exchange (sales invoice). How do i set the sales invoice against the purchase/expense? QBO doesnt let me use undeposited funds…so im strugling to come up with a solution.🙏 Thank you!

Hi Hector, I've cleaned up the Unapplied Cash Payment Income report for the most part. What remains is a pair of transactions with the same date: "Payment" (overpayment by customer) and "Check" (refund check issued by the business); the payment is applied to the check. Why are they still showing on the report, and how can I clean them up? Thank you in advance for your expertise.

One question I have is how do you record accrued salaries?

Cash basis accounting is awful, I'm not sure why anyone would want to do their accounting that way instead of doing accrual than just switching to cash basis view if you want to see cash basis stuff.