Eventually, you will get to a point where you've run out of petty cash or you don't have enough to pay for an item. Before replenishing petty cash, make sure you have entered all of the receipts for petty cash purchases that have been made thus far. Similar to a bank account, you can record a transfer in QuickBooks so that you can transfer money from a checking account to the petty cash account. Of course, to get the actual cash, you will need to make a withdrawal from your business checking account to replenish the actual funds.
To record a transfer from the business checking account to petty cash, follow these steps:
- Navigate to the petty cash register, as you did in the previous section.
- Click on the drop-down arrow next to Add transfer and select Transfer, as shown in the following screenshot:
- Fill in the fields shown in the following screenshot to record the transfer:
Brief explanations of the fields you need to fill in to complete the...
