Below
follows the few things that you should do after converting your QuickBooks
Desktop file to QuickBooks Online to ensure a smooth conversion.
We recommend you maintaining your
transactions on both sets of books until you confirm that QuickBooks Online
is right for your business until then keep your data file in QuickBooks
Desktop. Check The QuickBooks Guide to Converting QuickBooks Desktop to QuickBooks
Online for additional information and insights about converting your
data file
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Verify and compare
your financial reports in QuickBooks
To
make sure data was transferred successfully, Comparing the Profit and Loss and
Balance Sheet standard reports in QuickBooks Online and Desktop will help you
to make sure if your data was transferred successfully.
Check
the AR and Undeposited Funds account balances individually when comparing the
reports. Learn what doesn’t come over from QuickBooks Desktop to Online.
When running
your reports, make sure:
·
The
date is set to "All Dates" in both products.
·
Your
accounting method is set to accrual.
Expected report discrepancies:
·
Cash basis – The reports generated using this accounting
method may not necessarily match. This is because QuickBooks Desktop and Online
don't consider transactions as epaid the same way.
·
Inventory recalculation - Your reports may not match up if you
imported your inventory information due to FIFO recalculations that may have
taken place. There will be a task on your homepage that has a form which will
need to be filed with the IRS stating the Inventory Accounting changes that
took place.
·
Multi-currency - Transactions with 3 different types of
currencies involved do not convert to QuickBooks Online at this time.
Review your accounts'
detail types
Is account detail type the same as
sub-accounts?
After
conversion, QuickBooks Online keeps your sub-account hierarchy. However, there
is an additional level of account typing used by QuickBooks online called
"Detail Type." Detail types allow you to be more specific with your
account organization. For example, expense accounts can have a number of detail
types, such as Advertising, Supplies and Materials, Legal Fees, and so on.
The
conversion process assigns detail types to accounts where the detail is obvious
(e.g. Undeposited Funds). A generic detail type, such as Other Miscellaneous
Income is assigned by the conversion process, For accounts where it isn’t clear
what the detail type should be (a majority of accounts are like this) . You can
correct this later.
Run
the Account Listing Report to review and edit your accounts’ detail types.
1.
Select Reports from the left menu.
2.
Search
for and open the "Account List" report.
3.
Review
your accounts.
4.
To
edit an account's detail type, select the account name.
5.
From
the Detail
Type drop-down, choose the correct
detail type.
6.
Select Save and Close.
Complete your Payroll
setup
If you imported
Payroll data from QuickBooks Desktop for Windows
Transactions
and payroll accounts are converted to balance your books, but details behind
the transactions (like payroll item breakdowns and employee year-to-date
numbers) don't convert.
Liability
refunds, opening balance transactions, adjustment transactions and that affect
accounts convert to journal entries.
To complete your payroll setup:
1.
Select Workers from the left menu.
2.
In
the "Paid in [Year]" column, be sure each employee who received a pay
check this year is switched to Yes. Note: Employees
who haven't been paid in the current year will automatically be listed as No.
3.
To
enter and/or verify your year-to-date payroll totals and employee info,
select complete
payroll setup.
4.
To
complete the setup, follow the onscreen instructions.
5.
Use
"Run Payroll" once you're ready to pay your employees.
Additional steps
·
In
case E-services to pay/file your taxes electronically were earlier used by you,
you'll need to re-enrol for this service in QuickBooks Online. Just log in,
then, go to Gear
icon and select Payroll Settings.
·
If
you were using or want to use Direct Deposit for your employees, you'll need to
add your employer and employee's individual bank account info. This can be done
from the "Payroll Settings" page, or from the "Employee
Setup" screen.
·
Finally,
you'll need to enter/reconcile any historical tax payments you made so far this
year. Select Employees from the left menu, then Payroll Tax. From here, select Enter prior tax history and begin to add all of the
past tax payments that you made for various agencies so far this year. They
should balance out against your liabilities (excluding any current unpaid tax
liabilities) so far this year.
Regarding pay history and certain pay types:
·
When supported, your payroll history (the setup screen) will come
over. You'll only need to verify the totals. If your payroll history does not
convert, we'll guide you on how to enter these year-to-date totals to get
going again.
·
If you reported "Group Term Life Insurance" or "S-Corp
Owners Health Insurance", our system will recalculate net pay per the
calculations for QuickBooks Online Payroll. Keep this in mind when comparing
your QuickBooks Online Payroll Summary reports to your QuickBooks Desktop
Summary reports.
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If you were using
Intuit Online Payroll with QuickBooks Desktop for Mac
If
you want to start using QuickBooks Online Payroll, set it up in your company
file:
1.
Select Workers from the left menu.
2.
In
the "Paid in [Year]" column, be sure each employee who received a pay
check this year is switched to Yes. Note: Employees
who have not been paid in the current year will automatically be listed
as No.
3.
To
enter and/or verify your year-to-date payroll totals and employee info,
select complete
payroll setup.
4.
Follow
the onscreen instructions to complete your setup.
5.
Use
"Run Payroll" when you're ready to pay your employees.
If
you want to continue using your standalone Payroll, cancel your QuickBooks
Online Payroll first.
1.
Log
in to qbo.intuit.com.
2.
Select
the Gear
icon at the top, and then
choose Account
and Settings (or Company Settings).
3.
Select Billing and Subscription.
4.
In
the "Payroll" section, select Cancel. Important: You will
require contacting us, if
you have the option to cancel QuickBooks Online but not payroll. The update
might need to be done on our end to make sure your existing discounts won't be
affected.
5.
To
begin syncing transactions with QuickBooks Online, change your export
preferences in Intuit Online Payroll. Map your custom pay types
If
your pay types from QuickBooks Desktop were not mapped with a standard
QuickBooks Online pay type, then you may be asked to match your payroll items.
To
map your QuickBooks Desktop pay types with that of QuickBooks Online:
1.
Select
the (choose
one) drop-down in the
"QuickBooks Online" column.
2.
Choose
the pay type that closely matches how the item was set up in your Desktop file.
o
To
make sure the pay types match, it's a good practice to check your QuickBooks
Desktop file and see how your items are set up. Example: Match 'S Corp' to 'S Corp Insurance' pay
type.
3.
After
completing the mapping, select Save and close.
4.
Perform
the same process for each item that needs to be mapped, and then select Continue.
Important: If you have selected Skip for Now, You won’t be allowed to go back and
map your pay types.
Don’t see options to choose from? Some pay types imported are not
supported in QuickBooks Online Payroll. If this is the case, select Skip for now in the bottom right of the
screen.
Note: After
selecting "Skip for now," you'll have to manually create pay types
for your employees to complete the payroll setup.
Link your existing Payments
account
If
you have an existing active Payments account, you will not be required to sign
up for a new one for QuickBooks Online. You can unlink your existing
account from your Desktop Company, and then link it to QuickBooks Online Company.
Get to know FIFO (if
you imported inventory)
Once
imported to QuickBooks Online, the calculation method for your inventory will
be FIFO (first-in-first-out), using the "as of" date that you chose
during import.
What does this mean for my business? A file form 3115 with the IRS
will need to be filed by you to notify them that you made this change in
accounting, using the "as of/effective" date that you chose while
importing. Learn
about this form and inventory in QuickBooks.
However, in case of any query or concern related to QuickBooks integration with other software, feel free to reach us by dialing QuickBooks Help Number USA (1-800-731-1629). Our accounting experts are made available globally for 24/7 to confer instant assistance.
