QuickBooks Online description and memo

Each detail line in the QuickBooks Online (QBO) transaction (e.g. Cheque or Bank Deposit) has a description box. The information in the description box tags to the ledger account (or item), and each line can have a different description. For example, when entering a cheque payment to staff:

Account

Payroll Expense

CPF Employer

Accrued CPF

Descriptions

Basic Salary for the month

17% Employer CPF

37% Accrued CPF

The memo box at the bottom of the transaction page serves a similar function as the description box; it provides more information about the transaction (e.g. the memo for the cheque payment to the staff could be ‘Salary for Jan 2021’).

QBO description and memo

So, what’s the difference between the description and the memo box?

The memo tags to the transaction header account (e.g. Bank, Accounts Receivable or Accounts Payable account), and the description is for the transaction detail account.

Let take a look at the cheque payment to the staff again. The journal behind the cheque is:
DR. Payroll Expense
DR. CPF Employer
CR. Accrued CPF
CR. Cash at Bank

You will notice that the memo information does not show in the detail line account (e.g. Payroll Expense or CPF Employer) but only at the Cash at Bank ledger (the transaction header account) when printing a General Ledger report.

QuickBooks Online General Ledger report

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