We took some scrap metal to a metal recycling place and received cash back for the metal. How do I show that in my books? Just under a Journal entry?

Hello kamiller67-yahoo,

Making sure you enter all income correctly is an important step to make sure your books are in order. Journal entries in QuickBooks Online are a great way to move money between two or more accounts. I can provide some insight.

A journal entry would definitely be a good way to enter this money as this transaction isn't like any other revenue you do on a day-to-day basis. You may want to create a new account for this money in order to keep this revenue separate from your regular sales. You can do so by clicking on Accounting in the left menu, then Chart of Accounts. Select New in the top left and then choose the Account type and Detail type. If you are wondering which type of account to use, I recommend speaking to your accountant. Their accounting knowledge and understanding of best business practices will be able to guide you in creating this account. If you want to invite your accountant to your books, you can do so by clicking My Accountant, then enter their contact info. If you're looking for an accountant near you, click the Find a pro to help button.

I hope this helps you with entering this transaction into QuickBooks Online. If you have any questions, feel free to reach out here.

Hi Kamiller67 Rather than a journal entry, you may want to record it as a deposit to your bank account - click on the big green New button, and select Deposit from under the Other column.

Rather than your usual Sales account, you may also wish to consider posting this under Other Income as an item "below the line" on your profit and loss statement since it's not revenue typical of your operation and doesn't constitute a significant portion of your revenue.