Ph: +1 (619) 377-0977 (9 A.M to 5 P.M EST)

SaasAnt Support Portal

Submit a ticket My Tickets Blog
Login  Sign up

Deep Dive:Clearing Account Vs Checking(Settlement) Account


Payment Processors(PayPal, Stripe, or Square) maintains your funds(balances) and acts as a bank. It is recommended to use the clearing accounts in QuickBooks Online to record the sales & expense transactions instead of using a Checking(Settlement) Bank Account.

Clearing Account (Sales Settings)

We recommend configuring a clearing bank account in Sync Settings for "Bank Account to deposit your sales/income" to process your sales from PayPal, Stripe, or Square. This clearing bank account acts more like a bank account, but it records the processor fees, subscription fees, refunds, and expenses

Create a separate clearing bank account like PayPal Bank Account, Stripe Bank Account or Square Bank Account in QuickBooks Online or assign it in PayTraQer (If it does not exist in QuickBooks Online, PayTraQer creates automatically)

PayTraQer will create SalesReceipts, Payments, Fees, and Expenses with the given clearing account.

Checking/Settlement Bank Account (Payout Settings)

The checking/Settlement bank account holds the final consolidated payout received from Payment Processors. You need to configure the Checking/Settlement Bank Account in Payout Settings for "Transfer the sales to this account"

PayTraQer will create a transfer transaction to move the balance amount from the given clearing account to the checking/Settlement bank account.

QuickBooks Online Reconciliation:

How To Reconcile PayPal Transactions In QuickBooks Online?

How To Reconcile Stripe Transactions In QuickBooks Online?

How To Reconcile Square Transactions In QuickBooks Online?

Did you find it helpful? Yes No

Send feedback
Sorry we couldn't be helpful. Help us improve this article with your feedback.