Ryan Vaughn shows how to add bank transactions to QuickBooks and set up rules to automatically categorize recurring deposits like Stripe payments as sales income. Learn to match transfers between accounts, create new payees and vendors, and assign transactions to the right expense categories to keep your books accurate.
So here's the fun part. This is where we get to actually add the transactions to QuickBooks. While they're all sitting here, they're not technically on your books. They won't show up in your reports or affect your profit and loss or balance sheet. So once we go through this process of adding them, that's when they're actually a part of your company data. Now it's important to note that when we're recording transfers between accounts or even from our checking account to pay a credit card, for example, that we have those transactions match each other. So you can see here that there is $1,600 out of our checking account, and if I were to go to the savings account, I see $1,600 into our savings account on the exact same day. So we know that those are The same transaction just showing up as a deposit on one side and money out on the other. So I'm going to go ahead and record that as a transfer. I'm here in the savings account recording that as a transfer. I will click Add, and now if we go to the checking account, it's no longer there because it's already matched it and added it on this side. Here I have a deposit from Stripe that is income, and what we can do, because there are a lot of Stripe deposits here on my books, I can create a rule so that it will automatically categorize all of my Stripe deposits as income. So I'm going to click on that transaction and then down here click Create a Rule, and I'm going to call this Stripe income. And Stripe sometimes could be money out if it was, say, a refund or merchant fees, which is why I'm going to name this Stripe income. So this is money into my Chase checking account. I always like to use bank text rather than description because sometimes if we use description, it's going to miss things. So I'm going to say money in with the name, this text right here. I'm going to call this a deposit. The account will be sales and my payee is going to be Stripe. So now I have to add Stripe as a payee because it isn't already in QuickBooks. So I'm going to go to Add New and I'm just going to call it Stripe. That's great. So I'll click Save. And then I usually get rid of this here and let it import whatever description is already coming in from the bank. Now here, this auto-add button is going to If it's clicked on, it's going to automatically categorize any Stripe deposit as income. If it's turned off, then we have the option to review it before it gets added to the books. So I'm going to go ahead and turn that off and click Save. Okay, so you can see now that the Stripe deposit is being categorized as sales. Another thing that we'll want to make sure is that this box is checked, copy bank detail to memo. And what that does is just allows us to be able to view whatever the bank detail was when we open any transaction that was imported through the bank feeds. So we'll click add. Now we can see that not all of our Stripe deposits were included in that rule, which is great. I'm going to show you how to edit a rule. So if we go to rules here, I'm going to click edit, and I think I just want to get rid of that extra text there. Click Save and go to your bank transactions. And there we go. So now they're all here. There will sometimes be cases where you need to update a rule, edit the text so that it includes more things. Another thing that you can do with a rule is say if it says Stripe You can say or contains, and then you can add a different description that might still be the same thing, and you can add that there. So I'm going to go ahead and add these deposits that are all Stripe deposits. Okay, and I would just go down the list and do that same thing. Here's another deposit. This one is from Hudson Marketing, so I'm going to go ahead and enter Hudson Marketing, they're a client, so customer Hudson Marketing. I'm going to click save, and this will also go to sales, so I'll just click add. Next we have Canva, which is a software, so I'm going to again add Canva as a vendor, click save, and then that will go to my software subscriptions expense account, and I'll click add. Okay, see here we have money out of Stripe. Now you might need to log into your merchant processor to see whether or not money out is a refund or Stripe fees. In this case, I know that it's a refund, so what I'm going to do is add customer name, and then I want to keep my refunds separate from my sales rather than have it just go against sales, so I'm going to Call this refunds. And we can see here that refunds are not— is not already an account in QuickBooks. So I'm going to add new account. This part is super important. I often see clients who add an account, but they accidentally leave it as a bank account. We don't want that to be a bank account. This is an income account. I'm going to call it refunds. Save and close. Even though it's money out, I'm still calling it income because it's just negative income technically, right? It's a refund. So we'll go ahead and add that and keep going. So Z1 Consultants. And they are a consulting firm that we hired, so I'm going to leave that as legal and professional and click add. Betterment is employee retirement. I'm going to call that employee benefits and click add.
