QuickBooks Desktop clearing account instructions
If you have a QuickBooks Desktop account, one way to reconcile expenses is to set up a payroll holding account with the title: Gusto Payroll Clearing Account in order to isolate the Gusto payroll expenses and the individual bank transactions. This will effectively match and reconcile both items using only aggregate amounts.
Note: This process will not have any financial statement implications. It will only assist in the closing of the books.
- Pull up the imported Gusto payroll entry, done via IIF file import, in the actual bank account register. To do this, navigate to File > Utilities > Import > IIF file.
- In your Chart of Accounts, create a bank account titled “Gusto Payroll Clearing Account.”
- Pull up the Gusto entry from your actual bank account register.
- Change the bank account drop down at the top of the entry to the payroll clearing account.
- Pull up the live bank feed and locate the Gusto cash withdrawals.
- For each cash withdrawal select the payroll clearing account in the account field and select Add under batch actions.
- Pull up the register for the payroll clearing account.
- Make sure our ending balance is zero.
- In Gusto, edit the accounting integration and upload our chart of accounts containing the new payroll clearing account. Also select the payroll clearing account drop down (this eliminates steps 2-4 in the future).
- Moving forward you can simply continue to transfer all cash withdrawals to the clearing account.