QuickBooks Tip for NWA Businesses: How to Use Bank Rules Without Wrecking Your Books
If you're a small service-based business owner in Northwest Arkansas—whether you're in Fayetteville, Bentonville, Rogers, or Springdale—managing your books shouldn’t be a full-time job. One of the best time-saving features in QuickBooks Online is bank rules, but if used incorrectly, they can cause more harm than good.
What Are Bank Rules in QuickBooks?
Bank rules automatically categorize your transactions as they come in from your connected bank or credit card accounts. For example, if you pay a local vendor each month for cleaning supplies or use the same gas station for work vehicles, QuickBooks can automatically code that expense for you.
How to Create a Bank Rule
Go to Banking > Rules in QuickBooks Online.
Click New Rule.
Name your rule (e.g., “Fuel - Casey’s” or “Monthly Office Rent”).
Choose if it’s money in or money out.
Set conditions like “Description contains Cox” or “Amount is $175.”
Choose the correct category (e.g., Utilities, Office Supplies, etc.).
Save the rule.
Best Practices for NWA Service Businesses
Use rules for recurring local expenses like utility bills, vendor payments, or software subscriptions.
Double-check your bank rules monthly for accuracy.
Never rely on rules for client payments or variable income—this can distort your profit & loss.
⚠️ Bank Rule Warning
Bank rules are powerful—but dangerous if misused. One wrong rule can miscategorize months of transactions. For example, if you set a rule for “Square” income as “Sales” but also accept refunds, your books could be way off.
FAQ
Can I use bank rules for deposits from clients?
It’s not recommended. Deposits vary and should be reviewed manually to ensure accurate income reporting.
Do bank rules replace reconciliation?
No. Reconciliation is still essential for ensuring your records match your actual bank activity.
What if I mess up a bank rule?
You can edit or delete rules, but previous miscategorized entries will need to be fixed manually.
What kinds of expenses should I automate?
Recurring charges like AR Utility, Cox, Office Depot, or Lawncare vendors are great choices.
📍 Based in NWA and want to make QuickBooks work for your local business?
Book a free call with Dr. Bryan Raya, QuickBooks ProAdvisor:
👉 https://calendly.com/dbr_bookkeeping/book-a-free-call-with-dbr
Let’s start Doing Business Right.
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