Bank Deposit Bookkeeping Question

Bank Deposit

I was just going through my bank reconciliations for 2010 and I noticed some business checks were deposited into my personal account.

Both accounts are on the same card so in error it went to savings instead of checking. Will revenue Canada kill me?

Bank Interest

Am I right in thinking that to gross up Bank interest you use 100/80 and for Dividends its 100/90?

Bank Loan

by rpm
(Ontario)

When a bank loan and loan interest payment is made, is it correct to post a credit to the bank and a debit to the balance sheet account called bank loan payable and then a debit to the income and expense account called Bank Loan Interest Expense? Does the loan repayment portion inpact the Income Statement?

Bank Rconciliation

by Peter
(Adelaide)

I am using myob accounting plus v17 and am just a beginner, my boss has paid 2 bills twice during the month of february, consequently my myob bank recncilliation will not balance, one company has sent back the payment in the month of march and the other has kept the money and will credit it to us on the next purchase. can anybody advise me on what to do so i can balance for january. thank you.

Hi Peter,

Thank you for your question.

As I have zero experience with myob accounting plus v17, I'm hoping one of my other readers may be able to help give you an answer. :)

Bank Statement Nightmare

by Alison
(Appleton, WI, USA)

The Bookkeeper before me did not put the deposits in QB instead she put 0.00 amounts then did splits for our commissioned employees. They also do not add up to the actual deposits. So I guess my question is how do I reconcile the bank account.

Bank Statements

by Anthony
(Syracuse, NY)

I am working for a Paving Company. Are you suppose to keep your bank/checking account statements for a certain period of time? Do I attach them to my balance sheet and general ledger for year end audits by the company hired accountants?

It is recommended that you keep your tax returns and all supporting documentation (including bank statements) for at least 4 years.

Typically, your December statement showing the balance at 12/31 and the December bank reconciliation should be kept with the Year End Balance Sheet in order to show that the two "tie out" or match.

Banking

I have to record in the general ledger a monthly repayment on a bank loan of $3100. the interest component of the loan is $1625. How do I record this in the general ledger?

How Do I Record Bank Fees Deducted

by Annie
(Houston, TX)

I started working for a company which uses the following process to pay vendors:

1- Invoices are paid by Wire transfer
2- A bank fee is incurred and vendor is responsible for half the fee.
3-Invoice total does not include bank fee however deducted from invoice total amount upon making payment
4-Payment is recorded by using Pay Bill in QuickBooks
5-The total invoice amount is selected when recording payment.
6-A separate manual journal entry is recorded to record the bank fee

Is there an easier way to record bank fee using the pay bill feature?

Multiple Checking Accounts

by Janet Price

I keep books for my church and we are currently in the process of building a new one.

We opened a new account specifically for this, and I have been keeping books separately for the building program.

We are now using our original account at a different bank. My question: is it acceptable to record monthly expenses from two separate banks in the same book?

Hello Janet,

Thank you for your question.

The answer to your question is, YES. It is perfectly acceptable (and common) to record monthly expenses from two separate banks in the same book.

Many businesses actually use multiple kinds of accounts for business expenditures including checking, savings, credit card, loan and equity accounts.

Warm regards!

Reconcile the Bank

by Sylvia
(Yorkshire)

I am doing sage bookkeeping. I have looked over my accounts I dont know how many times. But when Igo to do my reconcile bank account as the bank statement it does not match. There is one entry for 258.00 which is a suppliers payment that is not working out which is not on the statement but in my sage:(

Can you explain?

Regards
Sylvia

Stale Dated Cheques

by Marion
(Ottaw, Canada)

How do you remove a stale dated cheque when it was used to reconcile a bank statement?
Thank you,
Marion

If you are using bookkeeping software, all you need to do is to void the check. In QuickBooks, you can do this through the check register by highlighting the transaction and selecting void. Using double entry accounting software, you can do a journal entry to reverse the original transaction.

Banking Fees

I am the volunteer treasurer for my church. At the beginning of each month the bank statement shows the account fees for the activity of the previous month.

So, when January 2012's statement shows the monthly fee for December, which is in a different calender year, do I include those charges for 2011 or 2012?

Thank you for your banking fees question. When January 2012's statement shows monthly fees for December, you will input the fees with the December Date for 2011.

Bookeeping Debits and Credits

by Suman
(Kolkata)

What is the meaning of debit and credit?

Thank you for your inquiry about bookkeeping debits and credits. Basically a debit is the left hand column of what is know as a T account and a credit is the right hand column. This is important to know for when you are recording a journal entry. It also helps to know which kind of accounts typically carry a debit balance or a credt balance.

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