Treat Paypal just like another bank or charge account; when you enter a transaction in
PayPal, enter the transaction in QB.
To transfer money from Bank account to PayPal:
o Banking Transfer funds
In QB to record when a customer pays through Paypal:
o Customers, Rec Payments, Change the Pmt Method to PayPal, Save
o Banking, Make Deposits, Check the deposit going to PayPal, click ok, Deposit into
- change to PayPal, save.
To transfer funds from PayPal to your Checking Account and record the PayPal fee:
o Banking, Make Deposits Deposit to: Checking Account,
o Received from blank, From Account: PayPal, Amount = Pmt recd , next line on
the deposit , From Account: Bank Charge (expense account) = - (minus) the fee
for PayPal
o Total deposit = PayPal deposits PayPal fee
To purchase equipment or supplies from PayPay:
o Banking, Write Checks change the Bank Account to PayPal
o Or if you entered the invoice from Vendors, Enter Bills
o To pay the invoice Vendor, Pay Bills, click the invoice to pay, at the bottom of
the screen Payment, change the date, Method, click on Assign check number,
change the Account to PayPal.
o Click on Pay Selected Bills, this will record the payment from PayPal.
