Some Changes in QuickBooks Online COA
QuickBooks Online (QBO) is always evolving. I liked QBO when I first used it about 5 years ago. It was created with the average user in mind. The terminology used is of everyday language. Such as, instead of saying debits and credits, the platform would say Money In and Money Out. This was a way for anyone to use it.
I recently noticed one of the changes in the Chart of Accounts (COA). The terminology has been changed. If you have recently subscribed to QBO, you would notice instead of saying "Undeposited Funds" it now says "Payments to deposit". Also, because at setup of the new QBO account I answered the questions at the beginning the system set up my Chart of Accounts with the most common accounts I would use. I started a new account for a non-profit, answered the questions at the beginning of setup and the system automatically created the accounts I would most commonly use for this industry. Contributed Income>Corporate & foundation grants; Donations directed by individuals; Government grants & contracts; Grants from other nonprofits; in-kind donations. Making it pretty simple for a lay-person to use!
Also, the system adds detailed expense accounts using subaccounts. For example, Payroll expenses and its subaccounts: Employee retirement plan, FICA tax, and so on. Look at Vehicle expenses and how detailed the subaccounts are! This is especially great for nonprofits as they usually have audits and for making tax preparation simple.
There are more changes in QBO and more coming! If you are looking to get training or additional training in QBO, we will have classes coming up soon. Our comprehensive training will begin in the Fall!