How To Enter Fixed Assets in QuickBooks Online

How to enter fixed assets in QBO. First, we discuss how to correctly create a new Fixed Asset in your QBO Chart of Accounts in order to separate and show the original cost of the asset as well as the deprecation. Then, we will discuss a potential error I sometimes see with people attempting this method. Last, we go over how to apply the actual purchase payment(s) of the new fixed asset. This method is a great way to separate and track individual assets and their associated depreciation vs putting fixed assets and depreciation in one bulk account.

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Timestamps:
0:00 Intro
2:06 Creating Fixed Asset account in Chart of Accounts
5:00 Possible error explanation
6:50 Applying purchase payment to new Fixed Asset

[essentiallyintentional]

Please note that since this video was created. QuickBooks Online has changed their method of entering Fixed Assets into their software for some QBO users. I'm sure there will be some takeaways that will be handy for your from this video regardless. But, if your screen looks different at the enter new Chart of Accounts screen that is why. We will make a new video soon to address this change.

[LisaSunde]

Thanks really well described and clear. Now can you make a video on the depreciation ? There's plenty out there your clarity works for my work flow and brain !

[BihnDan]

Thanks so much for this amazing clear explanation! I finally understand how to add a fixed asset.

[tereasacarter]

This is very helpful. Quick question, what if I don't know which account the asset was paid out of and therefore can't create an expense? Can I just make a journal entry?

[turkeydinner]

Hi Gunnar - I'm using QBO Simple Start. When I create a new account for Fixed Assets, I do not get the check box "Track depreciation of this asset". Is this a ploy to get me to upgrade in order to do something as basic as tracking depreciation of fixed assets?

[kevinepp]

My online QuickBooks does not have Fixed Assets as account type -- how do I add or amend account types. -- thanks very much

[staceywilks]

As of 10/2022, QBO no longer has the option to track depreciation when you enter a new asset account. My question is when you create a new asset account and QBO automatically maps it to Opening Bal Equity - how do you zero out Opening Bal Equity?

[angiechristman]

How do I delete one of the duplicate credit card transctions in QBO, since the original balance was entered when we first set up CC Receiivables?

[israelalvarado]

But how can you add the cost to the already fixed asset when it’s not on the bank fees. ?

[glenw.]

Something else that I don't think you mentioned is that doing this your method does not cause QBO to offset the entry with an entry to Opening Balance Equity that you'll have to clean up at a later date.

[statesman]

I was with you until you said that if you have multiple payments, you can still do this and keep putting them into the original cost bucket. . . If that is what you are doing, you will never have the actual value of the asset showing until all the payments are made--maybe years. . . Am I missing something or is this method only good for assets paid for up front?

[rociovrodriguez]

How do you know when something depreciates?

[laurenmillyard]

Hi

When my business first started i was gifted £8000 by a relative to buy a vehicle, i put £2000 towards it myself. How do i record this, as the money received isnt a loan and it went straight to the seller of the vehicle

[ishiokucollins]

Nice work.
Please why are we having negative amount in some of these accounts.
-10, 000$ etc?