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QuickBooks provides its users with a wide range of features to handle their accounts like payroll creation, handling the inventory. QuickBooks loan manager is one such tool. It is used to manage the unpaid loans of your company. Many of QuickBooks users are not aware of the loan manager in QuickBooks and how to use it on your system. In this article, we have tried to explain to you everything about the QuickBooks loan manager and how can you use it to manage your loans. We have mentioned the stepwise process to use the loan manager QuickBooks in a simple way making it easier for you to use it.
QuickBooks loan manager helps you to calculate loans and interest payments that you are required to make while repaying the loan. Well, this tool is highly used by so many business owners as it is very efficient in results; one can simply use the tool without worrying about the results. Moreover, With this tool, you can keep a record of your installments and compound payments. However, the latest version might lack this loan manager feature in the QuickBooks feature. Well, the tool is incredible and useful.
The amortization rate is calculated by the QuickBooks loan manager based on the rate of interest that the user provides to the system. It saves the time and effort that you would waste in calculating it every month. Other than the user-provided rate, the loan manager QuickBooks can calculate the amortization schedule on other information as mentioned below.
Let’s read all the simple steps for setting up accounts for QuickBooks loan manager.
The first in the list is the liability account that you need to set to record the loan. Follow the steps mentioned.
The other thing is to set up the name of the vendor from whom you have taken the loan. To set up the vendor, follow the steps mentioned.
The next thing is to add the expense account through which you will make payments for your fees and the charges. Follow the steps below.
The last account is the escrow account which is said to be the asset account that QuickBooks can use to manage the escrow amount and to pay the taxes. Set up an escrow account by following the steps mentioned.
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There is something that you need to know before you add a loan and manage it. You must know that the installments will be deducted at a particular interval of time which includes the principal amount and the interest amount. With the help of the QuickBooks loan manager; you can keep track of all the amount that will be deducted during the entire tenure of the instalments. Follow the steps to add a loan in the loan manager.
Managing loans are important but can be a tedious task to do. QuickBooks loan manager can help you with the same in no time. Considering all these things in mind, we have tried our best to help you with the QuickBooks online loan manager in this article. We hope all the mentioned sections of this article will make it easier for you to understand the QuickBooks loan manager. If you would still need any help to understand and set up the loan manager, we will be there to help you. Contact our support team to get the best guidance possible.
To keep track of Loans in the software QuickBooks, follow the steps below.