QuickBooks and Stripe Integration: Everything You Need to Know About

Stripe can be used as an online payment platform. By integrating Stripe with QuickBooks, you can make your bookkeeping and accounting activities even more effective. However, not everyone knows about QuickBooks and Stripe integration.

Hence, in this guide, we will enlighten you about how to integrate stripe with QuickBooks Online and Desktop. Furthermore, we will talk about certain topics such as the advantages of Stripe and QuickBooks integration, export Stripe data to QuickBooks, and connect platforms with custom accounts.

What is Stripe and QuickBooks?

For those who are not aware of QuickBooks or Stripe accounts, we will like to draw your attention to these two.

About Stripe: Stripe is a payment management tool. This all-in-one payment solution is designed for business. Whether your business provides on-demand service, subscription-based service, or traditional product sales, you can use a Stripe account to proceed.

The tools provided by Stripe help you with several duties associated with your business. It includes processing orders, issuing refunds, and managing several subscriptions.

About QuickBooks: QuickBooks designed by Intuit is accounting software. It helps you to manage sales, payroll, inventory, and other requirements for small businesses. The features provided by QuickBooks include merchant services, marketing tools, training solutions, and products and supplies.

How to Get Started with QuickBooks Online and Stripe Integration?

There is a precise procedure for QuickBooks and Stripe integration. If you understand this properly, you can seamlessly connect Stripe with your QuickBooks account.

Create a Stripe Account

To set up the Stripe account, you can pursue the easy steps stated below:

To get started with QuickBooks Online and stripe integration, the first thing you need to do is to create a new account for Stripe. By doing so, you can access your Stripe account from the QuickBooks account.

• Visit the “Stripe” website.
• Click on “Create your account”.

• Login to the dashboard and enable the toggle located on the top left. Make sure you turn it from “Test” to “Live”.
• Click on the “Activate account” button when prompted on your screen.
• Enter the business details that your Stripe account requires.
• Once you add the details correctly, click the “Activate Account” button.
• When your Stripe account is successfully live, click on the “Your Account” option.
• Click the “Account Settings” option.
• Select the “API Keys” tab from the top.
• Now, copy the “Live Secret Key” located below.

Then, you can use this key to activate your program so that you can send or receive money. Once done, you need to locate currency and ensure that you set it to the current of the country you are in. This step is important as it will make sure that the rate of charges is applied to you.

Prepare a Stripe Connected Invoice

After you create the Stripe account as a supplier, you need to make a Stripe-connected invoice as well. Also, make sure that you have the same invoice in QuickBooks. By doing so, you can create and add the invoice link between your QuickBooks Online and Stripe payment accounts.

Deposit to Stripe Account

When you get paid for the invoice you have sent, you will receive the payment directly in QuickBooks. If this happens, it indicates that your payment is being remitted into the Stripe account (you created already) as a supplier. This also justifies that your Stripe and QuickBooks accounts are now linked.

Send Money to the Bank: If you are willing to send money from your Stripe account to the bank, the first thing you need to make sure that this process is being done in your QuickBooks account. Because at this moment, both the accounts have been integrated into one another. While doing this, you need to make sure that the date transaction and the amount you transfer to the bank correspond with the Stripe account.

Apart from this, QuickBooks Online allows its users to use third-party apps for QuickBooks and Stripe integration. If you are unsure what third-party app you should rely on, we will help you out.

• Click on the “Apps” located on the left menu.
• Then, click the “Find the right app” drop-down menu located on the top right.
• Now, click on the “Paying bills”.
• Then, go to “Make payments”.

You can also click each title to know the key benefits of the tool regarding reviews and program performances.

Does Stripe Integrate with QuickBooks Desktop?

QuickBooks Desktop users can also use Stripe to make payments. To proceed with QuickBooks and Stripe integration, you can take advantage of third-party apps or software applications. You can find the best app from the App Center and verify if you can integrate Stripe with your QuickBooks Desktop.

To get started, you can initiate with the following steps:

• Launch “QuickBooks Desktop”.
• Click on the “help button located on the top.
• Click on the “App Center: Find More Business Solutions”.
• When you are in the “app for QuickBooks Desktop Marketplace” window, find “Stripe” in that field.
• Choose the app from the available list.

Once you connect the right app with your account, you can integrate it smoothly. Thereafter, you can make your bookkeeping and accounting activities even more effective.

Advantage of Integrating Stripe with QuickBooks

Stripe is an all-in-one payment solution. If you integrate Stripe with your QuickBooks Online or Desktop account, you can automate the transfer.

In case you are using Stripe by Commerce Sync, you should look at its key benefits that are specified below:

It Saves Time and Money

By using Stripe and QuickBooks integration, you can save a lot of time in a year. This becomes possible due to such tools as they automate your bookkeeping so that the users can focus on doing the best for running their business.

Apart from this, you can sync historic Stripe transactions, reconcile the payments in QuickBooks, supported transactions in multiple currencies, and undo and redo synced transactions, if required.

How to Export Stripe Account Data to QuickBooks?

If you ever need to export the Stripe account data to your QuickBooks account, you can do so. For this, you will have to prepare an export file of your Stripe account data. Make sure that the file is suitable to import to your QuickBooks Desktop.

Note: You cannot import the file with IIF format into QuickBooks Online. Hence, it is important to check the available third-party integrations that at least support one-click import.

The reports in CSV format are available for export in your Dashboard including payment details, payouts, feed, and refund are also available in the QuickBooks Desktop (compatible IIF file). This can be downloaded with your dashboard’s legacy export settings.

Stripe-Create QuickBooks Accounts

The IIF file you export creates nine accounts in your QuickBooks in case these accounts do not exist already. These Stripe-created accounts are introduced by Stripe so that it becomes easy to find and recognize.

If you are wondering what all those nine accounts are, these are as follows:

• Stripe Account: Bank (Type) -> For all refunds, charges, and payouts.
• Stripe Checking Account: Bank (Type) -> To represent the actual bank account to which your Stripe sends payouts.
• Stripe Payment Processing Fees: Expense (Type) -> To process fees for all charges
• Stripe Returns: Income (Type) -> All refunds
• Stripe Sales: Income (Type) -> All charges deduct processing fees
• Stripe Third-Party Account: Tax-related Expense (Type) -> Every transfer to the third-party.
• Stripe Other Fees: Expense (Type) -> Adjustments
• Stripe Processing Fees Adj: Expense (Type) -> Adjustments
• Stripe Other Income: Income (Type) -> Adjustments

Important Note: Backup your QuickBooks data always before you import new information.

Date Format and Time zones

The IIF file automatically formats the date as MM/DD/YYYY. This date format is also followed by QuickBooks as your operating system. In case this date format is different from the exported file then you can change the date format of your operating system temporarily.

• Set your date format as MM/DD/YYYY in the operating system.
• Once done, import your QuickBooks IIF file.
• Now, change the date again as it was before in your operating system.

The timezone setting of your account is also used for the IIF export’s date range.

Merge QuickBooks Accounts

If you prefer to merge any of created accounts with your existing QuickBooks account, you can do so. The Stripe Checking Account you create represents the bank where you receive payouts sent from Stripe with the actual banking account in your QuickBooks.

To merge the Stripe created account with your existing QuickBooks account, you can pursue the steps mentioned below:

• Click on the “Lists” option.
• Go to the “Chart of Accounts” option. This will show all the accounts.

Note: You need to make sure that both the accounts are being merged on the same level. For example, both either can be sub-accounts or both are primary-level accounts.

• Choose the account that you are not using anymore such as Stripe Checking Account.
• Now, click on the “Account”.
• Go to the “Edit Account” located at the bottom of the “Chart of Accounts” screen.
• Rename the account to match with the name of the other account (the account you are keeping).
• Hit the “Save” button.

As you follow these steps, you will be prompted to merge the account with your existing QuickBooks account. Then, click the Yes button in order to proceed. In the renamed account, your records will also be merged into a retained account. Remember that every time you import, your accounts need to be merged again.

Connect Platform with Your Custom Accounts

With Custom accounts, platform owners can view their Dashboard of Stripe account that is connected. You can export the IIF file from the dashboard of the connected account as a normal Stripe account.

Connect platforms that create charges on behalf of your connected accounts (that is supposed to create 1099s form for Custom amount) should proclaim the tax-line mapping of your Stripe Third-Party Account.

The expense account is provided an initial tax-line mapping of form 1099-MISC (Nonemployee compensation).

• Click on the “Preferences” option.
• Go to the “Tax:1099”.
• Select the “Company Preferences” within your QuickBooks account.
• Now, click the link in “If you want to map your account to boxes on Form 1099-MISC, click here”.
• In the “QuickBooks 1099 Wizard”, click on the “Stripe Third-Party Account” located under the “Account used for 1099”.
• Now select the “Box 7: Nonemployee compensation” under the “Apply payments to this 1099 box” for your “Stripe Third-Party Account”.

Closing Up

By connecting QuickBooks and Stripe, you can easily automate bookkeeping. With QuickBooks and Stripe integration, you can create invoices and sync Stripe payments into your QuickBooks invoices automatically. So, create the custom integration workflows between accounting, payments, and other apps.

If you are planning for Shopify and Expensify QuickBooks integration, read this detailed guide prepared by experts.

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