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Suggested Accounts for the Heartland Retail to Quickbooks Online integration
Suggested Accounts for the Heartland Retail to Quickbooks Online integration
Derek Stotz avatar
Written by Derek Stotz
Updated over a week ago

The integration from Heartland Retail to Quickbooks Online (QBO) calls for you to import your QBO Chart of Accounts (COA) into Heartland Retail. You then map financial events in Heartland Retail to your QBO COA. This mapping tells Heartland Retail which accounts to debit or credit when it syncs each event to QBO.

Below we have created a list of suggested accounts that should exist in your QBO account prior to importing your accounts into Heartland Retail.

Note: Included in the list below are recommendations for what Account Name, Account Type, and what Detail Type to use in QBO if you have to create these accounts in your QBO Chart of Accounts.

(1) Assets

  1. Credit Card Receivable. When you use the tender payment type 'Credit Cards' the debit will go to this account. (Account Type: Other Current Asset not Account Receivable Account; Detail Type: Other Current Asset)

  2. Cash in Drawer.  When you use the tender payment type 'Cash' or 'Check' the debit will go to this account. (Account Type: Bank; Detail Type: Cash On Hand)

  3. Asset accounts for each custom payment type you have set up. For example, Paypal. When you use the custom tender payment type the debit will go to this account. Each payment type can be mapped to its own COA account. This makes the reconciliation process much easier! (Account Type: Other Current Asset Account; Detail Type: Other Current Asset)

  4. Inventory Asset. This account will carry the cost of your inventory in QBO. (Account Type: Other Current Asset; Detail Type: Inventory)

  5. Inventory in Transit. This account will carry the cost of your inventory that is in transit in QBO (Account Type: Other Current Asset; Detail Type: Inventory)

(2) Liabilities

  1. Sales Tax Payable. This is where we recommend that you map your sales tax collected amount from Heartland Retail to QBO. If you have multiple Sales Tax rules in Heartland Retail, you can elect to map each one to its' own account om QBO, if you'd like. (Account Type: Other Current Liabilities; Detail Type: Sales Tax Payable)

  2. Accrued Receipts Payable: This acts as a clearing account for the cost of product that is received in Heartland Retail. When product is received using Heartland Retail's Purchasing > Receipts feature, a journal entry will flow into QBO for each completed Purchasing Receipt. That je will credit this account for the cost of the product. You will reconcile the product receipts to the vendor bill/invoice/charge and then move the product costs from this account to the true payable account. (Account Type: Other Current Liabilities; Detail Type: Other Current Liabilities (not an Accounts Payable account))

  3. Accrued Returns Payable: This acts as a clearing account for the cost of product that is returned to a vendor in Heartland Retail. When product is returned using Heartland Retail's Purchasing > Returns feature, a journal entry will flow into QBO for each completed Purchasing Return. That JE will debit this account for the cost of the product returned. You will reconcile the product returns s to the vendor credit memo and then move the product costs from this account to the true payable account as a credit. (Account Type: Other Current Liabilities; Detail Type: Other Current Liabilities (not an Accounts Payable account))

  4. Customer Deposit.  When you take payment deposits from customers for sales orders or layaways, this account will be credited. Even if you don't accept deposits you will need to map this in the integration in Heartland Retail, under each payment type in Heartland Retail. If you go into each payment type, you will see it asks for a  'Deposit Account', for all payment types this is the account you want to 'set'/ or map to there. (Account Type: Other Current Liabilities; Detail Type: Other Current Liabilities) 

  5. Consigment Payable If you sell Consignment inventory, you may decide to have an item Financial Class on each Consigment item. You can then map these items, using item classes in the financial mapping, to this account so that when you receive in Consignment Inventory, Inventory is debited and this account is credited. (Account Type: Other Current Liabilities; Detail Type: Other Current Liabilities) 

(3) Income

  1. Nets Sales. In Heartland Retail, Gross Sales less Markdowns less Customer Returns = Net Sales. (Account Type: Income, Detail Type: Other Primary Income)

  2. Gross Sales. This is where the gross price (or MSRP) of an item sold will be credited when a sales transaction takes place.  (Account Type: Income, Detail Type: Other Primary Income. Subaccount: Set up as a subaccount of 'Net Sales')

  3. Markdowns. This is where the markdown on items sold on a sales transaction will be debited to when a sales takes place. (Account Type: Income, Detail Type: Other Primary Income. Subaccount: Set up as a subaccount of 'Net Sales')

  4. Returns. This is where the customer return on items returned on the sales transaction will be debited to when a sales return takes place. (Account Type: Income, Detail Type: Other Primary Income. Subaccount: Set up as a subaccount of 'Net Sales')

  5. Cost of Goods Sold. (Account Type: Cost of Goods Sold, Detail Type: Other Costs of Services- COS). This will be used to group together your other COGS accounts (#6-8 below) . Note: This account will actually not be 'mapped' to in the Heartland Retail integration. 

  6. COGS Inventory. This is where the cost of items sold will be debited to.  (Account Type: Cost of Goods Sold, Detail Type: Supplies and Material - COGS. Subaccount: Set up as a subaccount of 'Cost of Goods Sold (#4 above) ')

  7. COGS Freight (Account Type: Cost of Goods Sold, Detail Type: Shipping Freight & Delivery - COGS. Subaccount: Set up as a subaccount of 'Cost of Goods Sold (#4 above) ') Note: This account will actually not be 'mapped' to in the Heartland Retail integration but you will want this account when reconciling product receipts to vendor invoices. 

  8. COGS Discounts (Account Type: Cost of Goods Sold, Detail Type: Other Costs of Services- COGS. Subaccount: Set up as a subaccount of 'Cost of Goods Sold (#4 above) ') Note: This account will actually not be 'mapped' to in the Heartland Retail integration but you will want this account when reconciling product receipts to vendor invoices.

  9. Shipping Income. This is where you will map the Shipping Amount received from a customer when you put a shipping cost on a sales order.  (Account Type: Other Income, Detail Type: Other Misc Income)

  10. Reason Code Mapping. Navigate to Settings > Reason Codes. Each reason under the following three areas can be mapped to a different QBO account (1) Inventory Adjustments (2) Gift Card Adjustments and (3) Cash Paid in/out. The mapping tells the integration what to to debit or credit when that reason code is used on a financial event. For example, if you use 'Physical Count' as a inventory adjustment reason, you would most likely want an account called 'COGS - Shrinkage' to map to. If you do an inventory adjustment for a donation, you would most likely want an account called 'Charitable Donations'.  If you create a reason called 'Store Supplies' under Cash Paid In/Out reasons, you want an account to debit the expense for store supplies you purchase to the account you map this reason to.

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