January 30, 2023

How to Fix a Bill Payment Recorded as an Expense in QuickBooks Online

Written By

Rachel Barnett

A really common misstep people make when using QuickBooks Online is to accidentally record bills as both a bill and an expense.

In this tutorial, you’ll learn how to fix this so your books are correct.

Quick Instructions:

Open the Expense
Click the Add link to the right to convert the Expense to a Bill Payment
Click the Save and Close button

Keep reading for a complete walkthrough with screenshots:

Fixing Bills Entered as Expenses

Here’s an example where I have a Hubdoc bill that was also entered as an expense:

In this example, I noticed Office Expenses was too high in my Profit and Loss. I clicked on Office Expenses to view the Transaction Report above.

To fix this I can click on the expense in the Transaction Report.

In the upper right corner of the Expense click the Add link.

This will replace the expense with a Bill Payment. From here, click the Save and Close button.

Another way you might find a bill entered as an expense is to click Expenses -> Vendors in the left side menu.

Click on or search for a vendor and in the expenses list you’ll see the bill & expense.

Here’s my Hubdoc example:

Like above, click on the expense. Click Add to convert it to a Bill Payment, then click Save and Close.

Here you can see an example where that’s been done and I now have a Bill and Bill Payment.

You now know how to fix a bill entered as both a bill and expense in QuickBooks Online.

☕ If you found this helpful you can say “thanks” by buying me a coffee… https://www.buymeacoffee.com/gentlefrog

Below are videos if you prefer to watch a walkthrough.

If you have any questions about fixing errors like this in QuickBooks Online click the green button below to schedule a free consultation.

Need some one on one QuickBooks assistance?

Share Now

This content is for information purposes only and should not be considered legal, accounting, or tax advice, or a substitute for obtaining such advice specific to your business. Additional information and exceptions may apply. Applicable laws may vary by state or locality. No assurance is given that the information is comprehensive in its coverage or that it is suitable in dealing with a customer’s particular situation. Gentle Frog, LLC does not have any responsibility for updating or revising any information presented herein. Accordingly, the information provided should not be relied upon as a substitute for independent research. Gentle Frog, LLC does not warrant that the material contained herein will continue to be accurate, nor that it is completely free of errors when published. Readers and viewers should verify statements before relying on them.