deposit was recorded as expense instead of income. Hoe do I correct?

Thank you for reaching out regarding the need to correct a deposit mistakenly recorded as an expense instead of income in QuickBooks Online (QBO), Cherry. I understand how crucial it is to keep your financial records accurate. I'm here to help you correct this and ensure your accounts are accurate.

To start, you'll need to delete the incorrect expense entry and manually record it as income.

To delete the incorrect expense, follow these steps:

1. Go to the Expenses menu and select Expenses.
2. Locate the expense that was incorrectly recorded.
3. In the Action column, click the View/Edit dropdown.
   
   
4. Tap Delete in the More section. Confirm by clicking Delete.
   
   

To record the transaction as income, here's how:

1. Navigate + New button and select Bank Deposit.
   
   
2. Fill in the necessary information, including the date, amount, and account.
3. Once done, click Save and close.
   
   

If the transaction was downloaded from your bank and appears as an expense, you may need to exclude it. After that, manually import the transaction as income using a CSV file. Once the transaction is imported, go to the For Review tab and match it to the corresponding deposit. This process will ensure the transaction is accurately recorded and linked to the correct deposit.

Additionally, make it a habit to regularly reconcile your accounts to ensure they match your bank and credit card statements. This practice helps maintain the integrity of your financial records and prevents discrepancies.

Moreover, it is crucial to correctly handle misclassified transactions, bank downloads, and other tasks in QuickBooks Online. I recommend taking advantage of our QuickBooks Live Expert Assisted. This personalized support can save you time, reduce potential errors, and provide you with peace of mind. Our certified experts will guide you through the process, ensuring financial records are accurate and up-to-date.

I hope this information helps you correct the misclassified deposit in your QuickBooks Online account. If you encounter any difficulties following these steps or have additional questions, please don't hesitate to reach out. We're here to help you keep your financial records precise and up-to-date.

@cherrysnider 

Find the deposit and change the category from the incorrect expense account to the correct income account.  If the deposit included a payment posted to Undeposited Funds, go to the underlying invoice and change the income account associated with the product/service.  

@RheaMaeH - You're confusing your customer.  The question wasn't how to change an expense transaction to a deposit transaction.  The question was how to change a deposit transaction from an expense account to an income account.