Balance in Undeposited Funds but no deposits to prepare

Hi Kristy35,

Since the balances are from previous financial years (2017 and 2019), it's important to verify journal adjustments or deposits that might not have been cleared. You mentioned being unable to adjust these historical entries, so we'll explore alternatives.

To resolve the balance without impacting the current Prepare Bank Deposit screen, you can create a general journal entry to offset the balance in the Undeposited Funds account. Use an appropriate clearing account or income/expense account for this adjustment, based on your accountant's advice.

Given that the issue spans multiple financial years, it's advisable to consult your accountant. They can guide you on the best way to handle the adjustment without affecting compliance or financial records.

Regards,

Sai

Hi Sai,

Thanks for the response.  I have already tried creating a Journal entry debiting the $105.70 out of Undeposited funds, but that creates a deposit in the Prepare bank deposit screen (see attached).  If I deposit this from here into another account (ie Suspense Account or similar) it creates a credit into the Undeposited funds account effectively cancelling out the Journal entry and I am back where I started.