I’m a lawyer who maintains a Client Trust Account (IOLTA). Can we track the details of this account in my books?
We can’t track the detail of your Client Trust / IOLTA accounts in your books. Since we do the bookkeeping directly from your bank statements, we only have access to the information on those statements, which won’t contain any client details. And even if you provided this detail to us each month, to keep track of these balances would be redundant, as well as present technical complications, as QuickBooks was not built to track this information. What we will do is when you transfer money from the Trust account to your regular checking account, we will categorize that as Income on your financial statements.