In QuickBooks, a transaction type identifies what sort of transaction came about, including a patron transaction, bill charge, or a financial institution transfer. When you submit a transaction, you type in a transaction code to represent it. But, no longer do all transaction types have a related code. Placing a transaction type also helps you clear your transactions in your reports.
There is an advanced feature of transactions n QuickBooks, named split transactions. Learn what does split means in QuickBooks from the given link.
Also Read: Record rental company property management transactions in QuickBooks.
Customer Transactions
Customer transactions are the crux of your business, and as such, you should report every sort of transaction. A “PMT” represents a payment from a client; an “STMTCHG” identifies a statement charge you have billed to a customer, while a “CREDMEM” indicates a credit memo you have issued; an “RCPT” is an established code for income receipts; an “item RCPT” specifies an item receipt, which indicates which you’ve acquired gadgets from a vendor without an invoice; a “TAXPMT” code represents a sales tax payment.
Bills And Invoices
Some of the types are used to symbolize transactions among you and your vendors to preserve track of the money you owe or are owed. The “BILL” type represents a bill from a vendor which you’ve yet to pay; “BILLPMT” represents a bill from a supplier that you have paid; you use “BILLCRED” to show a credit score given to you from a dealer; “INV” stands for an invoice you’ve got issued to a client or seller.
Checks and Credits
If you have the employees, you also have to maintain track of your payroll and some other costs associated with running your business. The “PAY CHK” type identifies every paycheck issued to your employees; a “CC” type represents a credit card charge, even as a “CC CRED” represents a credit card credit, possibly in case you’ve needed to go back purchases. A “LIAB CHK” indicates payroll tax and different liability transactions.
Generic Types
The remaining transaction types are those that don’t immediately involve transactions with others. The “CHK” kind stands for assessments; “DEP” represents a deposit you’ve made on your bank, while “TRANSFR” represents a transfer you’ve got made among two stability sheet registers. “DISC” identifies a reduction you have given for early price both to customers or carriers. Quickbooks automatically generates the bargain quantity based on your purchaser or dealer settings. Subsequently, “GENJRNL” stands for a general journal entry, which you use while the opposite transaction types do not apply.
Other Transactions
Other transaction types in QuickBooks consist of buy orders, estimates, pending assembly builds, and pending invoices. Those types do now not have transaction codes associated with them because you in no way want to apply them while posting to an account. As an alternative, you use those to manipulate your money and resources, or for your very own reference later on.
Version Disclaimer
Information in this article applies to QuickBooks 2013. It may vary slightly or significantly with other versions or products.
