It can be easy to rush through the setup process without really thinking about it. You’ll notice this in the video. In the initial setup of QuickBooks Online, there are three big decisions to make that may have long-term affects. My guess is, if you make the wrong decision, you can still correct it, but it will be extra work.
Connecting the Bank Account
I know there are a lot of people uncomfortable with online banking or connecting their bank account with anything. For at least the last decade, I’ve connected bank accounts to my accounting system. Lifetime-to-date, I’ve never lost a penny by connecting my bank account, but I have saved myself hundreds of dollars.
Online banking is probably more secure than writing a check. When you write a check, you are putting a piece of paper out there with all the information needed to withdraw money from your bank account. With online banking, that information is encrypted and monitored.
I save money by avoiding overdrafts. In churches and ministries, usually the cash is a little tight. More and more vendors are giving a discount for paying electronically. Plus you’re saving a stamp. On occasion the deposits have been delayed right when a larger electronic payment is coming out. Because I can see this right away in QuickBooks, I can make a transfer from savings to cover the payment and avoid the overdraft.
It is possible to track donors and donations in QuickBooks Online. You need to make sure you enable Sales and Invoicing. If you choose this option while setting up QuickBooks, it’ll give you a little head start.
Importing Data from Previous Accounting System
During the setup process, you will be asked how you were previously keeping your books. I’ve used Wave (https://www.waveapps.com/) personally for over a decade. It’s a fantastic free accounting software. I’ll have to look in the next video if there is any chance of importing my vendors and donors into QuickBooks Online…possibly by exporting to Excel, reformatting, and then importing.
If you have the Desktop version of QuickBooks Online, it should be even easier because that was one of the options during the setup process. When you watch the video, hopefully all this becomes more clear.
- Tech Soup: https://www.techsoup.org/
- QuickBooks Online: https://quickbooks.intuit.com/
- Signing up with TechSoup: https://jctaccounting.com/2022/12/23/signing-up-for-cheap-software-through-techsoup/