How to Track PayPal Using Quicken 2015 - dummies

How to Track PayPal Using Quicken 2015

By Stephen L. Nelson

If you use PayPal, you can and should use Quicken to track the money flowing into and out of your PayPal account. Fortunately, tracking a PayPal account with Quicken is pretty dang easy. To track PayPal using Quicken, you just want to remember these three points:

  • A PayPal account is really just another bank account, albeit a special sort of bank account. Accordingly, you want to set up a Quicken PayPal account in the same way that you set up any other Quicken bank account.

  • If you use your credit card to pay money into the PayPal account, you’re actually transferring money from your credit card account to your PayPal account. To record this transfer, you record a credit card charge in your credit card register. Rather than use a Quicken category, however, you specify the PayPal account.

  • You should reconcile your PayPal account just like you do any other bank account or credit card account. During this reconciliation, be sure to record any PayPal charges.

And one final snidbit for people who really want to push the envelope: PayPal allows you to download your transaction history into a QIF file, which you can then import into Quicken by choosing the File→File Import→QIF File command. You may want to refer to both Quicken’s and PayPal’s online Help for more information.