Balance checking account for the first time


M

Mark Minnie

I have been using Peachtree Complete 2004 for about a year now. I have
just been using it to record major expenses and income of a small
business. I haven't recorded each and every transaction I have NEVER
balanced the accounts against my business checking account. What would
be the best way to get Peachtree and my checking account in balance so
I can start to balance each month against my bank account?
 
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L

Laura

Mark said:
I have been using Peachtree Complete 2004 for about a year now. I have
just been using it to record major expenses and income of a small
business. I haven't recorded each and every transaction I have NEVER
balanced the accounts against my business checking account. What would
be the best way to get Peachtree and my checking account in balance so
I can start to balance each month against my bank account?
The only way that you will be able to get the 2 in balance would be to
go back and record the missing transactions so that Peachtree is
complete picture of the activity in that account. Then you can run the
account rec process for each month. Start with the earliest month you
have the details for. Change your program to point to that accounting
period and enter the missing transactions. You may need to use a dummy
customer to post any sales that you don't have the details for. Do one
month at a time. With tax time approaching, January 2005 is probably a
good starting point unless you need to go back further than that.
 
M

Mark Minnie

I am a complete neophyte when it comes to accounting and GL
transactions, but couldn't I just post the difference in the balance to
some holding/overflow/balance account? I don't have all the details of
the deposits and withdrawls from the account (ie. what customer...what
was business and what was personal, etc.)
 
L

Laura

Mark said:
I am a complete neophyte when it comes to accounting and GL
transactions, but couldn't I just post the difference in the balance to
some holding/overflow/balance account? I don't have all the details of
the deposits and withdrawls from the account (ie. what customer...what
was business and what was personal, etc.)
Without the details you won't be able to clear the transactions as they
get posted to the bank account. You could create a dummy customer and a
dummy vendor to post unknown deposits and checks. But I would use as
much info from the bank statement and bank register as possible.

How are you completing your tax returns without this detail?
 
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C

Chad A Gross [SBS-MVP]

If it were me, with the end of the year approaching I would probably be
looking at simply starting a new Peachtree company from scratch on Jan 1
'06. If you have customers & vendors in your current company, import them
into the new company. Then enter beginning balances for each, as well as
beginning balances for your bank accounts. After you've filed your taxes
for 05, your accountant/tax professional should be able to provide you with
the rest of your beginning balances (equity, retained earnings, fixed
assets, accumulated depreciation, etc.) for you to enter into Peachtree.
 

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