The majority of people are familiar with QuickBooks as accounting and bookkeeping software for small and medium-sized enterprises that enables you to record invoices.
However, QuickBooks Online users can now access an integrated checking account through Intuit thanks to a partnership with the bank Green Dot; this account is known as QuickBooks Cash and Envelop.
Many ask, what is QuickBooks cash? The comprehensive business solutions offered by QuickBooks are enhanced by the QuickBooks Cash business bank account with debit card2.
We will go over all you need to know about QuickBooks cash in this article, including:
- What is QuickBooks Cash and Envelopes?
- The Benefits for Users
- How to configure QuickBooks Cash
What is QuickBooks Cash?
QuickBooks Cash business bank account aids small businesses with complete control over their finances, immediate access to their cash, and earning interest on their capital. It functions as a business checking account and offers a reasonable interest rate with no monthly fees.
With the aid of machine learning, QuickBooks Cash, according to Intuit, promises to eliminate antiquated hurdles to money transfer and assist small businesses in understanding and forecasting finances.
However, in order to use QuickBooks Cash, you'll need to sign up for QuickBooks Online if you don't already have one.
QuickBooks provides the following payment plans, based on your business needs:
- $7.50 per month for the first three months, then $15 per month called self-employed,
- Simple Start: $12.50 for the first three months, followed by a monthly payment of $25,
- Essentials plan: $25 for the first three months, followed by $50 each month,
- Plus plan: $40 per month for the first three months, then $80 per month,
- Advanced: $90 per month for the first three months, then $180 per month
It's also helpful to know that QuickBooks is available in both an online and a desktop edition, with advantages and disadvantages for both.
You must make a one-time purchase and download the least costly desktop version to your PC. It costs $299.99 per year ($199.99 for the first year) and includes three years of service.
Benefits of using QuickBooks Cash
The following are the main advantages of the new QuickBooks Cash feature.
1. Interest Rates at a High Yield: An opportunity to earn interest is provided by a QuickBooks checking account, a feature that is uncommon in checking accounts from traditional or online banks.
This high-interest rate is comparable to those offered by American Express and Bluevine, two prominent online providers of business checking.
Numerous unrestricted business checking accounts do not pay any interest. Customers of QuickBooks Cash will be given a high-yield interest rate of 1%1, which is 25 times greater than the overall average rate of.04%3. That is also significantly higher than the current national averages for checking interest rates (0.03%) and savings (0.06%).
2. Integration with QuickBooks: One benefit of integrating all of your company's financial operations with QuickBooks is that you get a comprehensive overview of your finances on a single dashboard.
For instance, if you were paid via QuickBooks payments, the money may show up in QuickBooks Cash right away.
This includes interfaces with payroll and payment features as well as entry-free bookkeeping with automated spending and payment synchronization to keep your accounts up to date.
3. Envelopes: Users can transfer funds into distinct buckets for expenses like payroll, quarterly estimated taxes, or sizable purchases using the "envelopes" functionality. As a result, small firms may simply allocate funds to the various areas they will need to pay for, such as employee bonuses, quarterly taxes, and supplies and materials.
Interest is still accrued on money kept in envelopes. Additionally, you must first remove the money from the envelope in order to prevent inadvertent debit card purchases on envelopes.
In comparison to a QuickBooks petty cash book, this is very different. Some people are still unsure of what type of account a petty cash book in QuickBooks is. A company account that helps you record and track petty cash amounts is called a "petty cash book account." You can use petty cash, a handy source of money, to cover little expenses. Additionally, entering receipts is quick and easy once a petty cash account is set up.
4. Pricing: There are no account minimum requirements or minimum beginning deposits, and you will not pay any monthly service fees.
However, because most customers will actually be utilizing three different services—a QuickBooks checking account, QuickBooks Payments, and QuickBooks Online—fees for using a QuickBooks cash account are a little tricky.
As a result, in order to use QuickBooks Cash, you must have a subscription to QuickBooks Payments and QuickBooks Online.
5. QuickBooks ATM: You'll get a QuickBooks debit card in three to five working days after setting up a QuickBooks Cash account. It links to the QuickBooks Cash business bank account and reconciles with QuickBooks without any issues.
With this card, you can make transactions everywhere Visa debit cards are accepted and withdraw cash up to four times each month from any of the 55,000 Allpoint ATMs located throughout the nation.
After your fourth withdrawal, each withdrawal costs $3. Plus, while you are waiting for the physical card to arrive, you'll have immediate access to a virtual debit card from your QuickBooks Checking account.
6. Accelerated deposits: Any revenue received through QuickBooks Payments is automatically and completely deposited into QuickBooks Cash. When processing payments using QuickBooks Payments, small businesses no longer have to wait for incoming cash to settle, thanks to immediate deposit3.
The service is free with a QuickBooks cash account, and you'll get same-day access to money from sales that were paid for via QuickBooks Payments. In reality, even on nights, weekends, and holidays, the majority of funds are accessible within 30 minutes.
People may operate their businesses in a timely manner by using QuickBooks Cash's immediate deposit capability in conjunction with QuickBooks Payroll, which can set up and run the payroll on the same day.
How to open a QuickBooks Cash Account?
During the setup of QuickBooks Payments, there is an opportunity to sign up for the QuickBooks checking account. The QuickBooks checking account can only be opened by the primary user or company admin on the account.
According to the Acceptable Use Policy of parent firm Intuit, several types of organizations may not be eligible for QuickBooks Payments. The majority of companies that are traditionally labeled as high-risk are excluded.
Furthermore, the following prerequisites must be satisfied before opening a QuickBooks cash account:
- The minimum age requirement is 18.
- A US-registered firm is also a must.
- Furthermore, you need to have a current QuickBooks Online membership.
- Additionally, you need to have some form of identities, like your driver's license or social security number
For further clarification, you can follow the following steps to open a QuickBooks Cash Account:
- Select Cash Flow from the menu.
- Select Transfer in the QuickBooks Cash section.
- Choosing Transfer in. We merely need to establish the link; you won't be transferring money just yet.
- Obey the directions displayed on the screen.
- In the Account Type section, type the name of the bank and choose a category. Proceed, to choose next.
- The Account number and Routing number fields must contain your information. Further, click next.
- Select sounds nice when you're ready to connect.
- Within the next three days, QuickBooks will make two minor deposits to the account. Check QuickBooks Online to confirm the transactions as soon as you receive the confirmation email.
- You can either login into QBO or then go to Cash Flow, or you can click the link in the email.
- To connect your bank, either click Add or choose Verify bank.
- Type in the two deposit amounts that QuickBooks supplied you. The sequence is irrelevant.
- Choose "Confirm"
Last but not least, in our opinion as experts, QuickBooks Cash is best suited for individuals who already use QuickBooks Online, prefer to manage the majority of their finances online, and valuable insights, such as cash flow predictions, from their digital tools.
LiveFlow
With the help of LiveFlow, businesses can include real-time data from their banks, payment systems, and accounting services into their bespoke reports, automating processes, consolidating accounts, and encouraging greater internal communication.
Accounting transactions are no longer entered manually as they once were. Create your budget and attach actual data in only a few clicks.
Avoid week-long consolidation processes. There is no need to return to it after it has been set up. You may see your underlying transactions without navigating to your accounting program. Work on Google Sheets for everything.
Accountants close their clients' books 10x faster thanks to LiveFlow, which also assists Finance Teams in automating month-end reporting procedures. Additionally, LiveFlow enables extremely quick Financial Reporting procedures that can be completed in just three day
LiveFlow "provides a critical service, allowing enterprises the visibility and real-time information they need to efficiently manage their business" by automating and streamlining the reporting process.
LiveFlow only gets better as it adds thousands more Templates. Decide the report you wish to automate:
- Profit and Loss
- White sheets
- Cash Flow, among a variety of others.
To take things a step further, LiveFlow attained SOC 2 compliance in accordance with @AICPA criteria for SOC for Service Organizations to make working with us more comfortable and relaxing for you.
Your QuickBooks login information and all of your financial information are never seen by LiveFlow. Your information is only used to fill out this document; it never leaves Google's safe haven.
So why are you holding out? Join other organizations and book a free live session with us.
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