How to cleanup Opening balance equity in QuickBooks Online

You're doing a massive cleanup of QuickBooks Online and you come across an account called Opening Balance Equity on the Balance Sheet. What is Opening Balance Equity and how do you clean it up? Let's take a look.
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[omshalom]

Hi Veronica, Thank you for the great teaching. Can you help me with this question: Do I need to move/transfer balance from Opening Balance Equity account to another account before deleting/closing out the account? If yes, how and move to where? Thank you so much.

[rickeyhughes]

Thank you for sharing this video about "Cleaning Up QBO Opening Balance Equity." I believe it would be helpful to me if I was using Quickbooks. Again, I thank you, so much, for sharing this video.

[chucktrotter]

5.22.21 Thanks for making this video on Opening Balance Equity. Gives insight of what QB is doing. Thanks

[Jenny-rbit]

Can I delete an opening balance journal entry created to bring a checking account into balance? (Through the bank reconciliation process) I have found I have a lot more to clean up. I brought the account to correct ending balance in July, but the previous months are all off. They were reconciled, but not correctly and not to the bank statements. It’s QBO and this is a major clean up for a client.

[lucyrodriguez]

Thank you so much, your videos have helped me tremendously ❤

[brendapeterson]

Hello Veronica, thank you for a great video. I have 2 clients that just started using QBO, when I set up their beginning balances for their checking accounts I put their beginning balances under Opening Balance Equity, were should I have put those beginning balances for their business checking accounts?

[amandajames]

This was helpful, but after the deleting the JE that QB recorded for making an account inactive, what's next? I still need to clean up the accounts and need to make them inactive as they are very old and for a different business that morphed into my current business QBO. Will I need to manually delete each transaction?! That will take days! I need a clean slate -0-.

[AyatTadjalli]

Hello and thank you for this video. When connecting credit cards to QBO, it generates an entry and put the CC balance to opening balance equity. Where you should classify the opening balance coming from credit cards?

[lucerorivas]

@5 Minute Bookkeeping Hello, thank you for this video. I need some help though. My Opening Balance Equity shows up as a negative balance from a check. It should actually be a positive beginning bank account balance. I can't figure out how to correct this. Would you be able to help me with this?

[Jojo-rzvz]

Great video thank you. I have opening balance in credit card what does it mean? I just check that on my bank register and it says there it is a opening balance equity on my credit card. Can i delete this? Pls. Advise thank you

[ashleydaniels]

Great video but it now puts me back at the original problem. So now how do I clear and delete the account correctly?

[jeanjohnson]

Your video was helpful but I have a different dilemma related to Opening Balance Equity. I purchased a business that was already in existence. What I purchased was quite a bit of "blue sky" because the seller then taught me how to do many things. The part of the blue sky was $27000 which I paid from my personal savings. When I start QuickBooks, how do I show that amount as owners equity? When I create the Owner's Equity account, if I put in the 27000 as a beginning balance, it does exactly what you showed - puts an entry in opening balance equity, but how do I clear that or avoid that so the 27000 shows as my owner equity? The rest of my owner equity for the inventory is correct. Thanks in advance

[cindycooley]

I am in the process of setting up QB Online (simple start) for my LLC partnership. I have an opening balance equity entered but think I should have that split between the two equal partners. Can I go back and fix this?

[MikeMroch]

I had JE added an opening balance for checking accounts as the company has been around for years but only put the last couple into QBO - How do I remove this from Opening Balance Equity account but still have the year started off with correct balance?

[JillSchroeter]

if we deposited our own $ into our account when opening the business, what is this called?

[moisescorrea]

Hello, quick question. Is it possible to remove credit cards added to QuickBooks that relate to your personal use and not the business?

[pumpedminds]

what to do with the other accounts which were entered with use of opening balance initially?. Can you make video on the issue about what to do when QBO didn't download some transactions?( mIainly for reconciliation purpose)

[chytealthedeal]

New Client has moved from Xero to QBO, previous year taxes done and books cleaned already. I connected bank and now I have Opening Balance Equity. Do I delete OBE?
Do I Journal Entry to Retained Earnings?

All I am supposed to be doing is Entering Opening Balances from Balance Sheet and start reconciling each month but I cannot figure what to do with this OBE😢.

[usnaccountant]

Where is the link to the colossal clean up guide for purchase?

[nancymalski]

Thank you for video! I didnt see where you move the money when a new bank account was added in previous years- still showing on current Balance sheet? I see how they are created but I still not see where you put the opening bank account?