Transfer money between bank and cash accounts

An inter account transfer is the movement of money from one bank or cash account of a business entity to another. No funds enter or leave the business. A transfer is not possible unless the business has at least two bank or cash accounts. Examples of transfers include:

  • Withdrawing cash from a bank account for a petty cash fund
  • Paying off a business credit card from a company bank account (remembering that, technically, money left the business when the credit card was used to pay an expense)
  • Moving money from a general purpose bank account to a payroll account

Inter account transfers can be instantaneous, as when moving money online between accounts in the same bank. Or they may remain pending for several days, as when mailing a cheque to pay a credit card statement.

Enable the Inter Account Transfers tab

Click Customize below the left navigation pane, check the box to enable Inter Account Transfers, and click Update at the bottom of the page:

Enter the transfer

In the Inter Account Transfers tab, click New Inter Account Transfer:

Complete the entry (some fields appear as you progress):

  • Date will be prefilled with today’s date. This can be edited.
  • Reference is optional and may be used for internal or external reference numbers. If the box within the field is checked, Manager will number the transaction automatically. The program will search for the highest number among all existing inter account transfers and add 1.
  • Description allows you to record purpose of the transfer.
  • Paid from records the origin account.
  • Amount records the value of the transaction in the currency of the origin account.
  • Status appears if the origin account is a bank account. It can be Pending or Cleared, in which case a date can be entered.
  • Received in records the destination account. As with the origin account, if the destination account is a bank account, another Status field will appear.
  • A second Amount field for the destination account appears only if the origin account is different from the base currency or if the two accounts are denominated in different currencies. Otherwise, the amount received will automatically match the amount transferred. If the account receiving the transfer is denominated in a different currency, the figure must be input manually.
  • Status options are the same for the destination account as the origin account.

Click Create to finalize the transfer:

Inter account transfers do not appear in the Receipts or Payments tabs. They do, however, appear in drill-down listings of individual account transactions accessed from the Summary or the Bank and Cash Accounts tab.

Remember, an inter account transfer only records a transfer. It does not actually move any money. You must take action to withdraw and deposit, make the online transfer, or send the cheque.

Get Involved
Subscribe to Updates

Subscribe to our newsletter and get exclusive product updates you won't find anywhere else straight to your inbox.

© 2023 — Based in Sydney, Australia but providing goodness globally