Top 20 Most Common QuickBooks Errors and Their Troubleshooting
QuickBooks helps small business firms to manage their accounts, effectively manage their inventory, payroll, sales, provide payment to their employees and make all the payments.
Lot of time is spent in helping small business owners to get their finances cleaned up and in order. QuickBooks can be especially helpful–but only if you are willing to make use of all of its capabilities and you know how to set it up correctly.
However, QuickBooks is a slightly complex application. This complexity means that QuickBooks is prone to having errors. After lots of research work, we have gathered some of the most common QuickBooks mistakes which are faced by the users daily.
1. A number of Accounts and Sub-Accounts
One major benefit of QuickBooks financial reporting software is its ability to create accounts and further break them into sub-accounts.
You need to think of the logical ordering of account details but trying to combine things into as few categories as much as possible so as to avoid making the system more complicated.
2. When you enter a Bill or Write a Check for Loan Payments
Majority of the business owners practices the Enter a Bill or the Write a Check windows in order to make loan payments every month. The best strategy is to go to Banking—Loan Manager—Set Up a New Loan.
After implementing all the steps to set up the loan, the next move is to click the Set up Payment option. Once this is in place, QuickBooks reporting will automatically take input of the payment each month and also keep track of the principle and interest.
3. Hopping the Receive Payments Step
When you receives money, many QuickBooks users direct directly to the Make Deposits screen.
It is recommended that it must be first recorded in the Receive Payments window so that the invoice shall be shown as paid.
4. Not Taking the Backup of the Data
It’s best to method for the unexpected. In such cases, that can be a computer crash that wipes out the QuickBooks reporting files.
Business QuickBooks files must be backed up at the end of every day they are used.
5. When you don’t expand the QuickBooks Capabilities
There are few add-ons, apps and consolidation software that functions to expand the capabilities of QuickBooks reporting.
This can help with more complicated requirements such as making consolidated financial reports.
For businesses with extra requirements, it is advisable to look into other software that will help you get the best out of QuickBooks.
6. When speed of QuickBooks is slow in multi-user mode
This one is most tricky due to a reason that there can be a number of issues. In case you have ruled out hardware, you might face issues in your data file.
The fastest method to resolve this is to use the Clean up Company Data tool that can be found in File | Utilities. If it doesn’t help you in boosting your speed, you need to turn off the Audit Trail feature.
7. QuickBooks client machine fails to locate the data file on the server
The first thing you need to do here is to ensure that the Server Manager is installed on the server machine and that it’s running.
In case it doesn’t work, map the drive to the server from the client and then try to establish connection in such a way. In most of the cases, if you can see the server from the client, the issue is that the Server Manager is not running properly.
8. You can’t Search the licensing information
In case you’ve lost your documentation and can’t search for your license/product numbers, you can always need to locate them by pressing either [F2] or [Ctrl] when QuickBooks gets opened. But you cannot find your validation code. In case you need to reinstall, you’ll require to re-register.
9. A New printer is not working
This one is simple but still puzzles users all the time:
● Close QuickBooks.
● Find the file qbprint.qbp.
● Change the name from qbprint.qbp to qbprint.qbp.old.
● Start QuickBooks and printing should work.
10. The admin password has been lost
The admin password must be handled carefully. Although, it happens when you loses the admin password. It can also happen that you are a new administrator facing a tricky situation where the old admin has not informed anything about the old password.
You need not worry in such a situation, you can easily recover that password by using the QuickBooks Automated Password Reset Tool. It works most of the time.
11. Your Bank Account cannot be reconciled
This is not all about manually entering every transaction into QuickBooks. However, it’s about monitoring the transactions to ensure they’re in the right place for the right amounts.
1. Open the reconciliation module.
2. Go through each transaction (monthly).
3. Ensure each transaction hit the right account
4. That it cleared the bank.
5. Ensure nothing was missed or double-booked.
12. In case you are not reconciling your Credit Cards
Ensure that you are using the reconciliation module for loans, credit cards and other balance sheet accounts as well. This will strengthen your financial statements and provides you with a better overall healthy business for your accounting.
13. Applying Deposits to Invoices Incorrectly
When you open your accounts receivable report again, and you view customer balances with negatives that should not be there, you should know that you are probably applying deposits incorrectly to invoices.
Each time you get paid by a customer, you must be able to receive that payment against an open invoice.
14. Applying Payments to Bills Incorrectly
When you know that you have paid a vendor, but the accounts payable aging report reports that you still owe that vendor, then you are obviously applying payments inaccurately to your bills.
15. Misusing the Undeposited Funds Account
In case you have received payments from customers, but your cash account has not been increased on your financial reports, then you are most probably using un-deposited funds incorrectly.
When you receive a customer payment, then you need to open up the deposit module, batch checks together that you are taking to the bank, and record them as one single deposit in the software.
16. The Report Settings are not correct
Ensure that your report settings are set as per your expectations. Do you need cash or accrual reports?
Cash Reports are those that allows you the cash in/out flow of transactions within your company. Accrual Reports are those reports that show you the overall performance of your company.
17. In case your Preferences are not established correctly
There are a number of things in which you might want to adjust your preferences:
1. Email templates
2. Finance charges for late customer payments
3. Reporting options
4. Default bank accounts for receiving checks, paying bills etc.
18. In case you forget to lock a Closed Period
In such situation, when you close out a month or any period, ensure to lock it so that no one can go back and mess with the numbers.
19. In case the User Roles, Permissions and Passwords are not created
If multiple people are working in QuickBooks within your company, and you want to give every individual user logins, roles, permissions and passwords. It will give you more control and transparency about what happens within your books.
20. You are deleting Transactions
All the QuickBooks transactions are linked together if you will delete one transaction, you are changing other transactions that were associated with it.
These are the most common errors faced by QuickBooks users while using QuickBooks.