So, you’ve finally invested in QuickBooks Online. Congratulations! Taking the leap of faith andinvesting in accounting software can result in improvements in profitability and efficiency. Whatshould you do next?

The first step after you’ve created a QBOaccount is to set up a manual bank feed. This process isessential to fully leverage QBO’s power and can save you money along the way. In this blog,we’ll cover why it’s important to set up a manual bank feed, the steps involved, and how oftenyou need toreconnect accounts.

Why Should You Setup a Manual Bank Feed?

Small businesses aren’t always that small. This means you can have hundreds of transactions in asingle month. Entering all of these transactions by hand istime-intensiveand opens the door toerrors, which is why many business owners turn to account connections in QBO.

Setting up a manual bank feed in QBO saves your business time and potentially money. Youdon’t need to spend extra money paying an outsourced bookkeeper to manually entertransactions. Instead, your bookkeeper can review and categorize transactions alreadydownloaded from your bank’s records.

Furthermore, most bookkeeping procedures don’t happen until month end when accounts arereconciled. Without a manual bank feed in QBO, you would have no clue where your cash levelsstand. Your running bank balance doesn’t include deposits in transit or outstanding checks.Neglecting to account for this information can lead to overdrafting. QBO manual bank feeds giveyou access to real-timedata to make more informed business decisions.

Steps to Setup a Manual Bank Feed in QBO

Each bank and credit card account that generates a statement should be connectedtoyourbanking function. Follow these steps for each account:

1. First,navigate to thebanking section on the left-hand toolbar.
2. Next, select “link account” from the right-hand toolbar.
3. Now, you will need to findyouraccount provider from the list and signin.
4. Then, on-screen instructions on how to connect your accounts will appear. Follow thesedirections and determine how much data you want to import.
5. Click “connect” and “close.”

Repeat this process for each bank or credit card account you are connecting to QuickBooks. Onlysetup business accounts to maintain proper segregation of business and personal accounts.

How Often Do You Need to Reconnect Accounts?

Connecting bank feeds in QBO isn’t a one-and-done task. In fact, you need to reconnectaccounts every 90 days for security purposes. Reconnecting accounts is much simpler than establishing the initial connection. All you need to do is login to your bank account throughQuickBooks’ portal and refresh your feed.

Still Need Help?

Unfortunately, accounting software doesn’t always operatethe way we intend. If you’re stuck onthe setup process or need help getting your books in order, reach out to our team atChandler-GilbertBookkeeping today. We can help you optimize your QBO account and stay on top ofmonthly accounting procedures.