Suppose you want a newer or different version of QuickBooks and the situation demands that you shrink your company file or your company file needs to be compressed, then the best option you got is QuickBooks Condense Data Utility. This article will give you an idea about what is and how to use it.
QuickBooks As A Whole
QuickBooks is a software that enables the user to do bookkeeping, taxation, inventory, payroll, etc. It is a product by Intuit. Across its variation, many facilities are available including data condensing. This facility is delivered by a tool that can be downloaded from the official Intuit website. The updated Condense feature provides an option to remove the audit trail which reduces your file size but leaves all the detailed transactions. It is not reversible.
How to Condense Data?
Now you can put your data in QuickBooks archive and condense data in the following way:
- Head to File, select Utilities, and then select Condense Data.
- Select the first option as the box appears. Note that the system will advise you of the approximate reduction in your file.
- A message “Working on your file now” will appear after you select Next. When it’s finished, a window shows you how much smaller your file is overall and the backup file location from before the file optimization.
What Happens When You Condense Data in QuickBooks?
After you condense data in QuickBooks, you will get some generic results like closed transactions turned into summary journal entries and removing unused list elements. The utility can create a journal entry for each month in the selected period. The summary journal entries affect your accounts in exactly the same way as the detailed transactions. This is claimed by Intuit.
How Do I Clean up Messy in QuickBooks?
If you want to condense data i.e., company file, then run the clean-up company data. This will also help you to run the data file more quickly and repair various list damages in POS. Plus, remove older history and non-history documents which allow larger data files to run efficiently. This will clean up the mess. Run the clean-up tool in this way:
- Out of the File menu, select Utilities, then choose Clean Up Company Data.
- Put a checkmark on the Compress data box and select OK after the warning message.
- (Optional) In the Non-history documents window, select the list you want to remove from your file then select Next.
- (Optional) In the Historical documents and other data window, select the data you want to remove and the date, then choose Next.
- In the Proceed with Cleanup window, select Cleanup and wait until the cleanup ran completely.
How Do I Clean-up Old Transactions in QuickBooks?
Before you condense your data, situations might require you to clean up old transactions in QuickBooks. How does that is cited here:
- Head to Accounting and then select Chart of accounts.
- Look for the bank in question, then select View register.
- Filter the transactions (Reconcile Status, Transaction Type, Payee, and Date).
- Click the recorded transaction and then select Delete.
- Hit Yes to confirm the process and ensure they are taken out successfully.
How to Do a Bookkeeping Clean-up?
The process will look like this:
- If your QBO account is open, select Live Bookkeeping.
- Then, select Schedule appointment.
- Fill in the required info and select an appointment time.
- Once done, you’ll get a confirmation email and SMS message that your appointment is booked.
What Do I Do With Old Uunreconciled Transactions in QuickBooks?
As part of the process, do this for unreconciled transactions in QuickBooks:
- Click the Banking
- Select the correct bank account.
- Go to the For Review tab and mark the items you want to delete.
- Click the Batch actions button.
- Choose Exclude Selected.
- Once done, navigate to the Excluded
- Mark the transactions. Then, click the Batch actions button.
- Click Delete.
Note: Not every accounting application comes with a user manual. Updates are necessary for software to enhance productivity and Doodlefolks is the best place to follow these updates.
What is The Most Efficient Way to Enter Historical data in QuickBooks?
There are two ways by which you can enter historical data in QuickBooks; chronologically and in batches. Enter transactions (charges, solicitations, credits, installments) in similar requests they were made or received. Using this method, a record of all sent invoices is created.
For in batches:
- Following the received payments, enter all charges and credits that customers are already aware of.
- To clear each customer’s invoice record of previous activity, print a single invoice.
- Start sending actual invoices after entering any remaining charges and credits that you have not informed customers of. There is no record of your sent invoices using this method.
Limitations of the QuickBooks Data Condense Tool
- Records of payments for undeposited funds.
- Incorrectly linked bills, payments, and credits on bills.
- Invoice-associated estimates.
- If the employee’s W-2 is not reviewed, payroll transactions will not be removed.
- Any credit memos, refund checks, payment invoices, or credit memos that are not properly linked.
- Payroll transactions are retained even if the condense date falls within the previous year.
QuickBooks Enterprise 2020 Condense Data
You can smooth out any data file with the assistance of the QuickBooks Enterprise 2022 Condense Data Tool. This tool is very useful for fixing problems like File Condensing errors. Because it enables customers to delete a Review Trail, it is an essential component of the QuickBooks application. Errors like these may occur: Unable to run QuickBooks. Clean Up Company Data Utility and QuickBooks Condense Freezes.
We have understood by far that QuickBooks Data Condense Tool can be a wonderful software. It definitely has many limitations, if users can bypass that then condensing the company file is very easy as shown in the steps above. We hope that you liked this article!
This article claims the best feature of QuickBooks Data Condense Utility and its possible outcomes. Users will gather info on what to do and what not to do.