Want to set up an asset account in QuickBooks Online? Before you go for it, you must be aware of some key facts related to the Asset account in QuickBooks Online as the essential guidelines and rules. So this article is to provide you with the information needed to setup an asset account in QuickBooks Online, here we have arranged all the information in order. Go through the full article and set up an asset account in QuickBooks Online. Still, if you have any problems, contact our QuickBooks ProAdvisor to consult you. Toll-Free+1-844-405-0904
In this topic, we will guide you on “How to Set Up an Asset Account in QuickBooks Online”. No Need to worry about we will provide you with a complete resolution for this.
Wizxpert always supports you to assist you with its useful articles. So, we are advised to stay connected with us and read the best new articles every day that are helpful to fix the queries instantly in an effective and efficient way. We have lots of articles matching your query.
Did you know? You can Set Up an Asset Account in QuickBooks Online if you want to find and track the current value and depreciation of your assets or the assets or things that you own for your company. It includes the following, which we listed below:
- Land
- Vehicles
- Buildings
- Machinery and equipment
When you buy the assets for your business or company, the value of the assets will decrease.
Once the assets depreciate, the current value can be lost. Time by time, the assets gradually lose their value. When the value of any assets decreases, it is known as “Depreciation”.
Point to Remember: If it is required to calculate your asset’s depreciation, we highly advise you to work with your accountant, who has the best methods to help you. In several cases, only the accountant will help you. You can also check out the “Chart of Accounts” just to get a high understanding of what each account is for and what it does.
Steps to Set up an Asset Account in QuickBooks Online
You will know here the easy steps you have taken to set up an Asset Account in QuickBooks Online. All the steps are tested and verified by our experts just to save your time and effort. Steps are:
You will be the first to be needed. Open “QuickBooks” and then go to the “Settings ⚙”, and choose the “Chart of Accounts”.
Then choose “New”.
Now you have to go for “Fixed Assets” or “Other Assets”. You will get it from the Account Type ▼ dropdown menu.
Then choose the option that closely describes the asset. You will get this option from the Detail Type ▼ dropdown menu.
Name the account, then choose the “Track depreciation of this asset” checkbox.
In the “Original cost” field, you have to manually enter the current value of your asset and the “as of” date. It’s optional that you can either leave this blank if you record the loan.
Once the process is complete successfully and you’re done, choose “Save and Close”.
Final Note
Here is the end of this article. We hope that the information you will get through this article, based on “Setup an Asset Account in QuickBooks Online,” was very helpful to you. But in case you face any kind of problem that arises during the setup of an asset account in QuickBooks Online while implementing the solutions, then you can contact our professionals, who are 24/7 available at QuickBooks Support.
We will make sure that you can get instant help and effective solutions for any kind of problems you will face while working on QuickBooks Online. Get in touch with us at any time and from any location that is convenient for you.
FAQ’s of Set Up an Asset Account in QuickBooks Online
How to change an asset account in QuickBooks?
To classify your income, QuickBooks will provide many types of asset accounts in QuickBooks Online. It offers you to change one type of asset account into another type of asset account. To change your account, go to the chart of accounts list and open the account by double-clicking on it. Then, check the box to make it inactive. Now, follow the given steps to change your asset account:
- Go to the lists menu and then select the chart of accounts.
- Select the account from the list by clicking on the account name.
- Click the button of the account and then select edit account.
- Click on the type and select the account type from the given list.
- Now, to save the changes to your account, click on Save & Close.
What is the fixed assets in QuickBooks Online?
A fixed asset means a physical or tangible asset that can’t be converted into cash. It is used to produce an income in business procedure as a part of the permanent resources of a company. The costs of these assets are recorded on a balance sheet rather than as an expense on an income statement. Fixed assets are recorded as property, plant, and equipment. Some examples of fixed assets are real estate, office equipment, computers, software, and machinery etc.
What are the benefits of recording fixed assets in QuickBooks Online?
You can monitor and track depreciation & mileage, equipment’s location & serial numbers, and more via recording fixed assets in QuickBooks Online. A fixed asset is a very important part of your finances and managing expenses to track them.
What are the different types of fixed assets that can be manually added in QuickBooks?
- Buildings
- Land
- Furniture
- Office equipment
- Tools and machinery, etc.