Rainflurry
Level 15

Payments

@JRR430 

 

You can't just mark a bill as paid because that isn't enough information to properly record the bill payment in double-entry accounting.  If you record a bill and then pay it, you are creating transactions that will impact your financial statements in future years.  If this is not a legitimate business yet, but will be in the future, you don't want to do that.   If you were using QB Desktop (a much better product IMO), you could create a practice company file and play around with it all you want since QB Desktop allows you to set up as many companies as you want.  QB Online doesn't allow you to create multiple companies under one subscription. 

 

However, if these are legitimate business expenses that you have paid personally, then you can pay the bills using a bank clearing account (if you don't have one, set one up).  Then, create a journal entry and debit the bank clearing account and credit owner equity.  If you want to just record this as an FYI, that is not really what QB is intended to do.