QuickBooks offers a comprehensive accounting platform to handle and record all your business transactions. One such important task is to record Investment income in QuickBooks. Investment income is the income that a company gets from its different investments such as in property, equity shares, etc. This income affects the finance of the company as well as its tax liabilities, so we need to account for them properly. Through this article, we will explain you the steps to record investment income in QuickBooks.
“If you want an expert’s assistance to record investment in QuickBooks or you are facing any other issues related to QuickBooks then contacts QuickBooks Technical Support at 1-(855)-542-9309”
You may see also: How to Resolve the QuickBooks Error 15222
Table of Contents
What is QuickBooks Investment Management?
If you are wondering what is Investment income and management and also need to record it then here is an explanation for you. Businesses and individuals can allot their annual income for different things such as Capital Investments, Expenses, Savings, and Other Investments. The income left after Expenses and capital investments can be put to savings or can be invested in different types of assets. Investment can be made in various types of assets such as Property, Equity share, Bonds, debentures, Mutual Funds, Debt Funds, etc. They have different levels of risks and returns associated. The income generated from these investments is called Investment income. These investments can be made in an individual capacity or in the name of the company. Investment incomes attract different taxes, so they need to be properly accounted.
You should also record the investment before proceeding to record an investment payment in QuickBooks. We have explained the process to do both.
How to Enter Investment Income in QuickBooks?
You are required to register the investment as a purchase of assets such as stocks or shares in the Financial Asset account. The steps to record investment in QuickBooks are as follows:
- You have to use the ‘Expense’ function.
- In the ‘Expense’ page, go to the ‘Account details’ and then choose ‘Financial Asset’ account.
- Then, input the details of investment and then press the ‘Save and Close’ button.
Once you have created an investment transaction then you can record the income from that investment. There are certain steps that are required to do that, we have provided them in detail for you.
Step -1: Register a Vendor in QuickBooks for your Investment
- Go to the ‘Expenses’ section and chose the ‘Vendors’ option.
- Click on the ‘New Vendors’ option.
- You have to enter the details by putting the name and other details as required.
- Click on the ‘OK’ button to complete this step.
Step -2: Creating the Equity Account
You would need to create the Equity account from Charts of Accounts and then record your investment in there.
- Go to the ‘Charts of Accounts’ option and then press ‘New’.
- You will need to select ‘Equity’ from the ‘Account Type’ drop-down menu.
- Check the required details and then name this account
- Press the ‘Save and close’ button.
Step -3: Record the Investment Payment in QuickBooks
You have to use the ‘Bank Deposit’ function to enter the income from investments. Steps are as follows:
- Reach the ‘Bank Deposit’ page.
- Choose the bank account from the ‘Accounts’ drop-down menu.
- Enter the details of the investment income.
- Press the ‘Save and Close’ button to finalize the process.
You can also track the income from each stock by creating a dividend income Chart of Accounts (COA) and recording the dividend income in these accounts.
You may read also : How to Activate Direct Deposit in QuickBooks
By following these steps, you would be able to record investor money in QuickBooks. You need to add all your individual investment incomes one-by-one. In this article, we discussed the steps to record investment income in QuickBooks. If you feel the need for an expert’s assistance to record change in value of investment in QuickBooks then contact QuickBooks Helpdesk at 1-(855)-542-9309.
Erica Watson is writing about accounting and bookkeeping for over 7+ years, making even the difficult technical topics easy to understand. She is skilled at creating content about popular accounting and tax softwares such as QuickBooks, Sage, Xero, Quicken, etc. Erica’s knowledge of such softwares allows her to create articles and guides that are both informative and easy to follow. Her writing builds trust with readers, thanks to her ability to explain things clearly while showing a real understanding of the industry.