Thanks for joining us here, @Gary33160.
There are two ways to track loans in QuickBooks Desktop. You can track it manually or through the QuickBooks Loan Manager.
To manually track loans, you'll first have to set up a liability account. I'll guide you how.
- Go to the Lists menu, then select Chart of Accounts.
- Right-click anywhere, then click New.
- Select Other Account Types, then select the right account type for your loan:
- Other Current Liability: Use this for short-term loans payable over one year.
- Long Term Liability: Use this for long-term loans payable over a longer period.
- Choose Continue.
- Enter the name and number for the account.
- Click Save & Close.
Once done, you can follow the steps below to learn how to record the loan amount. Here's how:
- Go to the Banking menu, then select Make Deposits.
- In the Deposit To section, choose the account you want to record the transaction.
- Enter the date.
- Click on the Received From the drop-down list, then select the appropriate name.
- In the From Account drop-down, enter the name of the liability account.
- In the Amount column, type the loan amount.
- Click the Save button.
Also, for the non- cash loans, check out this article to know more the details on how to record it: Non-cash Loan.
To learn how to track your loan with the help of Loan Manager in QuickBooks Desktop, you can refer to this article: QuickBooks Loan Manger.
For future reference, you can follow the steps to create a fund transfer from your undeposited funds account to your liability account to pay your loan: Transfer Funds Between Accounts.
Get back to me if you have other questions about tracking loans in QuickBooks. I'll be around to help. Wishing you a great day!
