It gives you the freedom to access their accounting data anytime and anywhere. Also, you can share the most up-to-date data with your team and gain better productivity and accuracy.
The list of the benefits of converting QuickBooks Desktop into QuickBooks Online is long. However, it is important that you accomplish this task carefully. If you are aware of the conversion process, this post explains the step-by-step process, which is easy to implement. Let’s explore!
Is It Right For You To Migrate QuickBooksDesktop to Online?
Before you move to QuickBooks Online from the Desktop version, you need to double-check if this conversion is right for the specific needs of your business accounting. Considering a few important pointers can make the decision making simple for you.
QuickBooks Desktop offer robust accounting features you can utilize to streamline your accounting processes. QuickBooks Online on the other hand, offers greater, flexibility and ability to collaborate with your team. If it is fine for you to work from the office location, you can continue work on the locally installed QuickBooks software.
Next, the migration also depends upon the complexity of your company file. The company file stores all your firm’s financial information. If the company file size is too large, it is expected to have extensive histories, large inventories, and a heal of your accounting data. In such a scenario, migrating might not be a good option. However, if you still want to move QuickBooks Desktop to the Online version, you need to perform additional setup into QuickBooks Online.
If you are using QuickBooks Desktop Pro, Premier, or Accountant, you are an ideal candidate for the QuickBooks Online migration. However, if you are using QuickBooks Enterprise, it doesn’t
support the migration process in Canada.
What Are The Limitations of QuickBooks Desktop To QuickBooks Online Conversion?
If you are planning to convert QuickBooks Desktop to Online, keep in mind that you won’t be able to convert all the data. You can transfer most of your accounting data. However, there are some pieces of information that won’t convert automatically to the company file. You will have to manually re-enter these data into QBO.
Also, the information that is moved automatically may be handled differently in QuickBooks Online. For instance, your balance sheet report may look different in QuickBooks Online. Therefore, you need to review the migrated data and may need to make some adjustments followed by the conversion process.
Data Which Is Not Imported Into QuickBooks Online
As we discussed in the previous section, not all your data was moved to QuickBooks Online during the migration. Below is the list of such data for your reference:
Reports for Bank and credit card account reconciliation with QuickBooks Desktop.
Credit card charges are recurring in nature.
Also, your past audit trail won’t migrate to QuickBooks Online.
If you are tracking inventory from QuickBooks for Mac, it won’t migrate automatically.
The reports in QuickBooks Desktop is different in Online version.
How To Migrate QuickBooks Desktop To Online? Simple Steps
QuickBooks Desktop to Online conversion takes a few simple steps that are:
1: Preparing For Migration
First things first, you need to make sure that your company file is ready for the migration. To ensure this:
Ensure That You Have The Latest QB Version
Check and confirm that you are using the latest release of QuickBooks update. If you are using QuickBooks 2019 or a prior version of the software, you won’t be able to move ahead with the conversion process.
Check How Old Is Your Company
After creating a QuickBooks Online account, you can move your data within 60 days. If you are not sure how old your company is, you can sign into your QuickBooks Online account and get all the info related to the account.
Verify That Your Company File Is Not Too Big To Exporting
Your QuickBooks Desktop company file must not have more than 150,000 total targets if you want to convert it into QuickBooks Online. You can check if by pressing CTRL+1 keys on your keyboard. If the number is more that the stated, you may opt importing the lists and balances, or start fresh.
Print a Sales Tax Liability Report Copy
Print a copy of the sales tax liability report, as it won’t export with the company file. You may need to adjust the entries after moving the data. When entering the date range for print, select “All.”
If You Are Using Payroll With QuickBooks Desktop
Deactivate the employees who are no longer working with you if no payments are initiated to them in the current year. Also, avoid transferring data to QuickBooks Online within 2-3 days of running payroll. It can cause discrepancies in your financial information.
2: Exporting Company File
Now that you are all set to convert QuickBooks Desktop to Online, you can follow the below-explained steps:
2.1: Steps For QuickBooks Desktop Pro or Premier
If you want to convert QuickBooks Desktop Pro or Premier data into Online, follow the below-explained procedure:
First of all, you need to sign into your company as an admin.
Next, go to Company and select Export Your Company File to QuickBooks Online option.
Thereon, select Get Started to move ahead.
Now, sign in to your QuickBooks Online company with admin credentials.
Here, you need to choose the online company and the company you want to replace it with.
After replacing the company file, select Continue.
If you are using the inventory management feature in QuickBooks Desktop:
Select Yes and select the “as-of date” for the date range. The start date of your inventory should be the first day after your last tax filing period.
If you want to set up new inventory items later in the QuickBooks Online application, select No.
After making your selection, click the Agree tab and then select Replace.
Select Yes to confirm, and finally, click Replace to conclude the procedure.
2.2: Steps For QuickBooks Desktop Enterprise
If you want to convert your QuickBooks Enterprise data, the below-explained steps can help:
Log into your QuickBooks Desktop company file you want to move to QBO.
Thereafter, press the CTRL + 1 keys together, and it will open the Product Information window.
Consequently, press Ctrl + B + Q and click OK.
When the Export window appears, select the Get Started option.
Now, sign into your QuickBooks Online company as an admin.
Moving ahead, select Choose an online company.
Next, select the company you want to replace with your company file and hit the Continue tab.
If you track inventory in your QuickBooks Desktop Enterprise:
Select Yes and specify the date range for as of date. Use the start date of the inventory on the first day after your last tax filing period.
Alternatively, if you want to set up inventory items from scratch, select the No option.
After making your selections, enter Agree and then hit Replace.
Click Yes to confirm your action, and then select Replace to end the task.
3: Reviewing Migrated Data
Once you successfully migrate QuickBooks Desktop to Online, it is crucial to review the migrated data. Your accounting data might be handled differently in QuickBooks Online; therefore, you must review it and make the required adjustments. To ensure a smooth transition, you can compare the reports in Desktop and Online versions of the QuickBooks software.
If your QuickBooks Desktop balance sheet is replaced with a different report in QBO, you need to check and review it. You might notice a few discrepancies during the review. Change them to make QuickBooks Desktop to Online conversion successful.
Benefits Of Converting QuickBooks Desktop to Online
When you convert QuickBooks Desktop to Online, it lets you reap the multi-faceted benefits of QuickBooks Online.
Robust Security
Increased security is one of the most acknowledged benefits of QuickBooks Online conversion. When the data is stored in the secured servers, it is away from the people with the nefarious intentions.
Flexible Access
You can access your financial data anywhere, and that too on your preferred device. Thus, you can always keep an eye on your financial data and handle your accounting with enhanced efficiency.
Automatic Backups
There is no need to worry about periodic backups, as QuickBooks Online takes automatic backups. Thus, if something happens to your desktop, your data integrity will remain intact.
Easy Collaborations
The most up-to-date company file is shared with your accountants so that they can work simultaneously on the same company file. Besides, it implements the changes on a real-time basis, so there is no scope error or confusion.
In A Nutshell!
If you want to move your business accounting data to the cloud and enjoy enhanced flexibility in the operations, migrate QuickBooks Desktop to Online. This post elaborates on the steps to export your QuickBooks Desktop data into the Online version of the program. If you need any help with the procedure, you may directly speak to a live support representative from the QuickBooks Help Desk and get the desired assistance.
