Multicurrency

Multi-currency in QuickBooks Online

QuickBooks Online supports multi-currency functionality, allowing you to track transactions in foreign currencies. This feature is designed for businesses that deal with international customers and vendors. Once enabled, it affects how you record sales, payments, and manage your Chart of Accounts.

Enabling multi-currency

You can turn on multi-currency in your QuickBooks Online company settings. Please note that this feature cannot be turned off once it is enabled.

To turn on multi-currency:

1. Select the Settings gear icon.
2. Select Account and settings (or Company Settings).
3. Go to the Advanced tab.
4. Select the Currency section.
5. Check the box to Track currencies (or Multicurrency).
6. Select Save, then confirm by selecting OK.

Once enabled, you can manage your currencies via the Currency Centre (accessed via the Settings gear). You can add specific currencies (such as CAD, EUR, or GBP) and set exchange rates.

Recording foreign sales and payments

When working with foreign currencies, you do not need to create manual journal entries to record sales or customer payments. Instead, use the standard transaction forms, ensuring the customer is assigned the correct currency.

Sales receipts and invoices

When you create a sales receipt or invoice, QuickBooks Online uses the “Home Currency” assigned to that specific customer profile.

• Sales Receipt: Use this when you receive payment at the time of sale. If the transaction hits your bank as a single entry, you can post the Sales Receipt directly to the appropriate bank account register.
• Invoice: Use this if the sale is a receivable to be paid in the future.

Depositing foreign payments

If you use a holding account (often referred to as “Undeposited Funds” or UF) for your foreign currency transactions:

1. Record the payment using the Receive Payment or Sales Receipt function, posting it to the holding account.
2. When you are ready to move the money to the bank, select + New and then Bank Deposit.
3. Select the payments in transit and deposit them for the correct date.

Note: In multi-currency environments, the display of payee names in the bank register may vary depending on the currency of the account. You can double-click a deposit entry to view the full screen and verify the specific details.

Moving from QuickBooks Desktop to QuickBooks Online

If you are currently using QuickBooks Desktop and have multi-currency enabled, there are specific limitations and requirements for importing your data.

Import limitations

Historically, converting a Desktop file with multi-currency enabled directly to QuickBooks Online was not supported. While QuickBooks Online now supports multi-currency, direct import of Desktop multi-currency data can still be complex or restricted depending on your region and Desktop version.

US-based clients

If you are in the United States and need to import a Desktop file with multi-currency enabled, you may need to contact support directly. In some cases, we can perform the import; however, be aware that during this process, all historical currency values may be converted to USD.

Third-party migration tools

If the standard import process fails due to multi-currency settings, third-party migration services may be available to port your data over. These tools can help transfer your company file data to QuickBooks Online.

Important considerations

• Desktop: Once multi-currency is turned on in QuickBooks Desktop, it cannot be turned off.
• Mac: QuickBooks for Mac does not support multi-currency.
• Verification: Before attempting a migration, ensure your QuickBooks Online account has the multi-currency feature turned on in the settings. If you encounter errors, check the official Intuit documentation or contact support for the most current import capabilities.