If you are currently using two similar accounts in Quickbooks, you may want to merge them into a single account. This is beneficial for several reasons: it keeps your transactions neatly together; reduces the risk of discrepancies; and improves overall efficiency. So, how exactly do you merge accounts in Quickbooks?
Before we begin, it’s important to note that merging is not reversible. If you merge two accounts and want to “undo” the process later, you are out of luck. The only solution is to manually edit the merged account and create a new account. For this reason, it’s recommended that you proceed carefully when merging accounts.
To merge two of your accounts, log into the Quickbooks accounting software and select the Gear icon > Chart of Accounts > in the Action column, select Edit for the account you wish to keep (not the account you wish to delete) > Copy the Name of the account and make a note of whether or not the Sub-account option is marked. If it’s marked as a Sub-account, you’ll also need to make a note of the parent account to which it is tied. When you are finished, click Cancel to return back to the Chart of Accounts screen.
Next, go back to the account that you want to delete and click the Edit link in the Action column. From here, paste in the Name, double-checking to ensure the Detail Type matches the account you are merging with it. If either of these accounts are sub-accounts, you’ll also need to make sure they are associated with the same parent. If only one of these accounts is a sub-account, you can make it a parent account by selecting the Sub-account option (see above). When you are finished, click Save, followed by Yes when it asks you to confirm that you wish to merge the two accounts together.
It’s also worth mentioning that there are certain accounts in which the Type is permanent and cannot be changed, nor can they be merged into an existing account. One example is an Uncategorized Asset account. If a user with Online Banking tries to change his or her Type to another type of a different account, they’ll receive an error message preventing them from doing so. This is because the account type is reserved for the Online Banking system.
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