Thanks for joining this conversation, @MJ33.
Since the SBA is making payments on a business's behalf, you can deposit the payment in the liability account instead of creating a journal entry. Then, use it to pay the loan in QuickBooks Online (QBO). This way, the only amount that will be deducted from the account is the one you've deposited.
Here's how to deposit the payment:
- In QBO, go the + New option at the top left to get to the Bank deposit.
- Proceed to the Add funds to this deposit section.
- Enter the necessary information, then hit Save and close to complete.
To learn more about the process, consider checking out this article: Record and make Bank Deposits in QuickBooks Online.
Just in case, I'll add this article for future reference: Set up a loan in QuickBooks Online.
Please leave a comment in this thread if you have any other questions or concerns. I'm more than willing to help. Have a great day!
