Option to handle voiding checks

Norm Barbee

I make a monthly hard copy financial statement to my BOARD and as a record for the annual financial review. If I use the current VOID procedure, it would invalidate standard monthly banking reconciliations and the QUICKEN accounts would no longer match the Records.

So that monthly reconciliation reports don't get mis-aligned after voiding an "old" uncleared check, I'd like to see an option to mark it as VOIDED, but leave the amount transaction in place while adding a transaction on a selected/entered date (most likely the current date), marked "Recoup voided <check#????>, make it a deposit of the original check amount. Mark both as CLEARED.

This will recoup the check amount to make the current balance correct while not invalidating all of the reconciliations between the affected dates.

Make it an option as the current VOID procedure may be preferable for some people (can't imagine why).

Jon

Why are you reconciling a transaction that hasn't cleared? I don't understand how voiding an old unreconciled check transaction would be an issue.

jacobs

First: are you using Quicken Mac or Quicken windows? Your profile here says Windows. And there is no actual void command in Quicken Mac, so I wasn't sure if you were using Quicken Windows.

If you are using Quicken Mac, the recommended way to void a check is to leave the Payee name untouched, enter "VOID" in the Meno field, along with the original amount of the check and possibley a note about why the check was voided, and change the amount to zero. This transaction can be included in the next reconciliation.

All the reconciliations between the date the check was written and when it is voided are not, and should not be, changed; the check was outstanding at the time of those reconciliations, so it would not be present in the Quicken reconciliation history for those reconciliations.

NotACPA

@Norm Barbee maybe you need to explain your process for reconciling your account and reporting to your Board.

BTW, I'm the Treasurer for 2 non-profits, and haven't had the problems your suggesting when I VOID checks in QWin, which marks the check void and changes the amount to $0.

Chris_QPW

It sounds like you think a voided transaction should be treated like a purchase/return because of the report you gave to the board.

Are these finances done on a cash basis or accrued basis?

For cash basis until a given transaction has cleared its amount shouldn’t be included in a report that is for income and expenses (Quicken doesn’t include transactions that have yet to clear in a reconcile). And as such voiding a transaction that doesn’t clear can be set to zero without any effect on the statement total.

I’m no expert on accrued basis but I could see how a check might be considered an income or expense in one statement and then have to be reversed in another, but that isn’t what voiding a check is all about. It is handled by having offsetting transactions in I think invoices and account receivables.

Now just in case I got the whole request wrong I will state that I do believe Quicken Windows’ void feature is wrong in the way it works. Currently it puts VOID in front of the payee’s name and zeros the amount, this OK but it should also put the original amount in the memo so that that information isn’t lost. Currently if you use Quicken Windows’ void feature the original amount is lost.