Mapping Marketplace Facilitator and Payment Processors Revenue to the Undeposited Funds Account

Mapping Marketplace Facilitator and Payment Processors to the undeposited funds account is an essential accounting practice that serves several important purposes. Undeposited funds is a temporary (other asset) holding account within accounting software, where funds are recorded before they are deposited into the company's operating bank account (funds in transit). The undeposited funds account should be reconciled monthly to the Income Statement. As of 12/29/2024 QBO removed this account from the reconciliation window. Use reports for reconciliation. I urge you to submit feedback to the software engineers, Gear Icon > Feedback

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