How’s Your Accounts Receivable Looking These Days?

As you are starting a new year and nearing tax time, it’s time to take a closer look at your QuickBooks files and be sure that you have everything correct in order to provide accurate recording.

The accounts receivable area of your files can be one place where mistakes are commonly seen and can be frustrating to try to solve.

When you see your list of customers you likely know how much they owe, but for some reason their balance is incorrect. This can lead to hours of frustration trying to figure out just what has gone wrong. It is wise to have a professional look over your QuickBooks files with you to ensure that you are accurately recording and keeping exact records for your business.

If someone has paid their account in full, but it still shows a balance owed, this can alter their profit or loss number. The balance in your QuickBooks accounts receivable must be accurate to maintain correct financial statements. When a customer shows a negative balance in their Accounts Receivable, this means the customer has a credit balance and has overpaid their account. Your clients will not be to thrilled with overpaying, and your Quickbooks numbers won’t add up if you have this mistake in your file.

If your accounts receivable is incorrect, there could be a mistake in invoicing. If you did not record an invoice, but did record the payment, your records will not balance correctly. Each invoice and payment must be individually and accurately recorded. Also a payment may not be applied against the correct invoice or even the correct customer. It’s easy to get in a hurry and apply a payment to the wrong invoice or customer, so take the time to be sure it’s done right.

Spelling mistakes can wreak havoc in your QuickBooks file. Simply adding an “s” at the end of the client name can wreak havoc in your bookkeeping records. If you have the client name recorded without and “s” and then record it with an “s” at the end, it will be considered two separate accounts and will result in miscalculations.

Texas QuickBooks Help is here for you to help you discover these and other errors within your QuickBooks file. Don’t struggle alone, let us help you stay on track and keep the financial health of your business in check!