How to properly set up Quicken Backup
How to make Quicken create a backup for you automatically every time you close
For the sake of this discussion it is assumed that
your Quicken data file is located in the Default (and recommended) place:
Review the backup
settings available in Quicken (under Edit / Preferences / Backup).
In there you will
find two types of backup: Automatic and Manual Backup.
should be enabled and always goes to a \Backup folder that's part of the folder
which contains your current Quicken data file, e.g. \Documents\Quicken\Backup.
Set it to create a backup after running Quicken  times and to keep  (or more,
your choice) backup copies.
To create a Manual
Backup copy of your Quicken data file on an external device (USB-hard drive or
USB memory stick recommended), put a checkmark at "Manual Backup
Reminder" to enable the function and set "Remind me after running
Quicken [xx] times" to .
Click OK to save the
From now on, when
you close Quicken using the red X button, you will get a popup window.
When you get this
window for the first time, on some versions click the radio button for
"Backup on my computer".
Change the Backup File name's drive letter and path to point to your external
device so that it looks something like this: E:\Quicken
or use the Change button and work your way through the dialog.
Do not change the
filename portion! Just overtype the drive letter and choose a backup folder
name. If the folder does not exist, it will be created.
Also choose the
option to "Add date to backup file name".
Every day when you
run Backup or close Quicken, an additional backup file is created. Without the
Add Date option you only have 1 backup copy which is overwritten every day ...
and that may prove bad in a problem recovery situation.
Allow this backup to
run to save the changes made on the screen.
Of course, once in a
while you will have to go in and delete some of the oldest backup files, at
your discretion, to avoid filling up your USB device.
One can never have
enough backups of a Quicken data file. BTDTGTS!
I have not yet upgraded to 2013.