Reconcile Credit Card With Sub Accounts in QuickBooks Online

To reconcile a credit card with sub accounts in QuickBooks Online, reconcile the parent account, not each sub card. 1 statement covers the parent and every sub card, and all sub account activity rolls up into the parent, so the parent is the only account that ties to that statement. Intuit says the same: you only need to reconcile the parent.

Why does a sub card never tie on its own?

A card statement covers the parent card and every sub card under it. A sub card account in QuickBooks Online holds only its own slice of that activity. The statement total will not match a slice.

QuickBooks once told me a credit card was off by a five figure amount. Nothing was wrong. I was comparing 1 sub card to a statement that covered all of them.

That is why a sub card account on its own will never tie. The gap is the rest of the cards.

How do I set up credit card subaccounts and the bank feed in QuickBooks Online?

Intuit describes the common setup in its bank or credit card subaccount setup article. You create 1 parent account and put each card under it as a sub account. You can add 1 more sub account for payments.

The bank feed depends on how the bank sends the data:

If the bank sends	Connect	Do not connect
All transactions to 1 account	The parent only	The sub accounts
Transactions per card	The sub accounts	The parent

You cannot connect both a parent and its sub accounts. Pick 1 side.

Watch the moment you connect the bank. The same opening balance may download to every sub account, and some banks show the whole account balance on each sub account. When you reconcile, delete all but 1 of those opening balances.

Bank feed matching is a separate job. For the rules I use there, see QuickBooks Online bank feed rules.

What does it look like when the parent equals the sum of the sub cards?

This is an example with made up figures, not real client data.

Account	Balance at statement date
Sub card A	1,200.00
Sub card B	850.50
Sub card C	2,049.50
Parent account (A + B + C)	4,100.00
Statement ending balance	4,100.00

The parent ties to the statement: 4,100.00 against 4,100.00. If you reconcile Sub card A alone against that same statement, you are 2,900.00 away (4,100.00 minus 1,200.00). Nothing is wrong. Sub card A is just 1 piece of the total.

If transactions were posted to the parent account itself, add them to the sum. They are part of the parent.

How to reconcile a credit card with sub accounts in QuickBooks Online

Confirm the statement covers the parent and its sub cards. Open the statement and check that its balance includes every sub card. This method is for 1 statement that covers them all. If the bank issues a separate statement for each card, stop and confirm how the accounts are set up before you reconcile.
Open reconcile on the parent account. Choose the parent account. The parent picks up all the sub cards at once.
Check the beginning balance. It must equal the prior statement's ending balance. If it does not, do not push on. Use the troubleshooting table below to find out why before you go on.
Enter the statement ending balance and ending date. Use the figures on the statement, which cover the parent and every sub card.
Untick items that belong to the next cycle. QuickBooks Online pre ticks bank feed items on the reconcile screen. Untick anything that belongs to the next statement cycle.
Tie the cleared counts and totals to the statement. Compare the cleared payments count and total, and the cleared deposits count and total, to the statement. A 0.00 difference alone is not proof. A missing item and a wrong item can cancel each other out.
Finish and save the report. Finish only when the difference is 0.00 and step 6 ties. Save the reconciliation report so the period has a record.

In my month end close, every bank and card account ties to its statement, to the cent. Trust also passes the 3 way check. See 3 way reconciliation for that.

Reconciling a law firm's books? The trust account setup is in QuickBooks Online for law firms.

Why is my QuickBooks reconcile beginning balance wrong?

The beginning balance should equal the prior statement's ending balance. When it does not, start with the cause that matches what you see.

Symptom	Likely cause	What to do
Beginning balance does not match the prior statement	A sub account was reconciled on its own at some point, or items were changed after the last reconciliation	Compare to the prior statement ending balance. Review what was marked cleared in earlier reconciliations. Reconcile the parent from now on.
Beginning balance is off after a new bank connection	Duplicate opening balances downloaded to the sub accounts	Delete all but 1 opening balance, as Intuit advises. Then recheck the beginning balance.
A sub card was reconciled on its own in the past	That reconciliation could never tie to a statement that covers every card	Stop reconciling the sub card. Reconcile the parent. Check the parent's beginning balance against the prior statement.
Transactions were posted to the parent directly	They are part of the parent, so they sit on the parent reconcile screen	Include them in your count and total tie out. Do not move them just to match a sub card.
Items from the next cycle are already ticked	QuickBooks Online pre ticks bank feed items	Untick anything that belongs to the next cycle, then tie the counts and totals.

Fix matches before you reconcile. Intuit notes that you can undo a match from the Posted tab, and that this should be done before the monthly reconciliation. Its matching guide covers it.

FAQ

Do I reconcile each sub account separately in QuickBooks Online?

No. Reconcile the parent account. All sub account transactions roll up into the parent, and 1 statement covers the parent and every sub card. Intuit says you only need to reconcile the parent.

Why is my beginning balance wrong when I reconcile a sub card?

A sub card holds only part of the activity the statement covers, so it will not tie on its own. It can show a large false beginning balance gap. Reconcile the parent instead, and check that its beginning balance equals the prior statement's ending balance.

Can I connect both the parent and the sub accounts to the bank feed?

No. Intuit says you cannot connect both. If the bank sends all transactions to 1 account, connect the parent only. If the bank sends them per card, connect the sub accounts and not the parent.

What if I already reconciled a sub account?

Stop reconciling that sub account. Reconcile the parent from now on, and compare the parent's beginning balance to the prior statement's ending balance. If they differ, review what was marked cleared in the earlier sub account reconciliations.

Why do I see the same opening balance on every sub account?

When you connect the bank, the same opening balance may download to every sub account. Some banks also show the whole account balance on each sub account. Delete all but 1 of the opening balances when you reconcile.

How to Reconcile a Credit Card With Sub Accounts in QuickBooks Online