QuickBooks Contra Accounts


Setup Accumulated Depreciation in Quickbooks online
  • Go to Settings ⚙ and select Chart of Accounts.
  • Select New.
  • From the Account Type ▼ drop-down menu, choose same category as the asset (fixed asset?).
  • From the Detail Type ▼ drop-down menu, choose "Accumulated depreciation"
  • Check "Is sub-account"
  • Select Save and Close.
How to Present Contra Accounts on Financial Statements

"Make sure that you report contra accounts on the same financial statement as the related accounts. If you’re the one managing your company’s books of accounts, be sure to report the contra account on your financial statement on the line item directly beneath the main account. For example, when a line item on your balance sheet presents the balance of accounts receivable, report the value of allowance of uncollectible accounts below the accounts receivable line. Be sure to enter the contra account on the opposite column of the account they’re offsetting. If contra assets appear in the credit column, record contra liabilities on side."


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  • 10 months ago by vince