February 2021

Do you use PayPal to accept payments in your business?  If so, you probably already know what a headache it can be trying to connect it to Quickbooks (never mind trying to manage the transactions) 

Don’t worry – it’s not just you!  

There are actually at least THREE different ways to connect and manage your PayPal account in Quickbooks (confusing, right?).

So if you’re struggling with PayPal, or trying to figure out which is best for your business, here’s a quick overview of the three styles (and a good link below) to help you get started:

PAYPAL BANK FEEDS

This option gives far less detail and automation; for example, it only provides summaries for sales transactions (not details), but it does categorize expenses and transfers.  However, it’s a good option if you need more detailed control over a low volume of transactions.

SYNC WITH PAYPAL APP

This option is a middle-ground blend of detailed automation vs manual input.  Sales transactions are detailed, but vendor payments and transfers still need to be manually categorized.

CONNECT TO PAYPAL APP

This offers the highest level of automation and transaction detail. However, that’s not always the best option – and it will only allow you to choose one income account, and multi-currency isn’t supported.

Do you use PayPal to accept payments in your business?  If so, you probably already know what a headache it can be trying to connect it to Quickbooks (never mind trying to manage the transactions) 

Don’t worry – it’s not just you!  

There are actually at least THREE different ways to connect and manage your PayPal account in Quickbooks (confusing, right?).

So if you’re struggling with PayPal, or trying to figure out which is best for your business, here’s a quick overview of the three styles (and a good link below) to help you get started:

PAYPAL BANK FEEDS

This option gives far less detail and automation; for example, it only provides summaries for sales transactions (not details), but it does categorize expenses and transfers.  However, it’s a good option if you need more detailed control over a low volume of transactions.

SYNC WITH PAYPAL APP

This option is a middle-ground blend of detailed automation vs manual input.  Sales transactions are detailed, but vendor payments and transfers still need to be manually categorized.

CONNECT TO PAYPAL APP

This offers the highest level of automation and transaction detail. However, that’s not always the best option – and it will only allow you to choose one income account, and multi-currency isn’t supported.

If you read our FB posts the last couple of weeks, you will know that we have talked about being prepared for your taxes. AND how some businesses’ taxes will need to be done by 03/15 instead of 04/15 depending on their structure.  

Here are the questions we shared: 

WHAT IS YOUR BUSINESS STRUCTURE? 

LLC? S-Corp?  Something else?  This will affect when you file your taxes, and what kind of tax documents you’ll need to file.

DO YOU HAVE ALL OF YOUR TAX DOCUMENTS FOR 2020 IN ONE PLACE? 

You will need to gather everything from your bank statements to your receipts to your previous year’s return.  It’s a lot to round up – and some of the older receipts and bank statements can take days (or weeks) to track down.

IS YOUR BUSINESS BOOKKEEPING CURRENT?

Without this, you won’t know what numbers to write in the little boxes on your tax form.  And getting current could take a long time to accomplish. Are you only 6 weeks behind?  That’s manageable.  6 MONTHS? Well … let’s just say you’ve got some work to do. 

In case your answers for all of these started with “I don’t know” and now you’re hyperventilating into a brown paper bag – no worries!  We help our clients with these every year, all year round – and we’d love to help you, too. Just schedule a free consultation by calling 352-432-8104 today!