Holding Account Balance

Overview:

Our app helps you manage the flow of Shopify Payments into QuickBooks by using a temporary clearing account, commonly called the Shopify Holding account. This account captures all payments from orders processed through Shopify Payments. When Shopify sends a payout, the funds are cleared and synced to the bank account selected in the app’s settings. This article explains why the balance in the holding account may rise or fall over time.

Detailed Information:

When an order is paid through Shopify Payments, the transaction is first recorded in the Shopify Holding account. Once Shopify issues a payout, the app creates a journal entry to move the funds to the mapped bank account. This entry reduces the Shopify Holding balance and records associated fees, helping keep the account properly reconciled.

Why the Holding Account Balance Increases

Several factors may cause the account balance to grow:

Payouts not synced: If Shopify payouts do not sync to QuickBooks, the holding account continues to accumulate transactions. Check the Payouts section in the QuickBooks Bridge app to confirm what has synced.

Sync errors: QuickBooks errors during synchronization may prevent payouts from being posted. Share error details with our support team for assistance.

Accidental deletions: Payout entries may have been deleted in QuickBooks, causing the balance to increase.

Manual entries: Additional manual transactions recorded in this account can inflate the balance.

Why the Holding Account Balance Decreases or Goes Negative

A negative balance usually appears when payout amounts exceed the individual payment transactions recorded. This happens if payouts sync correctly but some related order payments fail to sync. Errors, missing payments, or deleted payment entries can all cause a reduced or negative balance. Review the Pending Order Update Sync section in the app or contact support for help.