The QuickBooks Desktop multicurrency feature enables you to assign a specific currency type to multiple profiles and accounts, such as:

  • Customers
  • Vendors
  • Price levels
  • Bank accounts
  • Credit card accounts
  • Accounts Receivable
  • Accounts Payable

REMINDERS

  • When you turn on the Multi-currency feature in your file, you cannot change your company file back to its previous state.
  • QuickBooks Desktop add-ons such as Fixed Asset Manager and Statement Writer only use U.S. currency and will not be affected by activating this feature (applies to US only).

 

Step 1: Turn on multicurrency

  1. From the QuickBooks Edit menu, select Preferences.
  2. On the left pane, click Multiple Currencies.
  3. Go to the Company Preferences tab and click the Yes, I use more than one currency radio button.
  4. From the drop-down, select your home currency.
 

Step 2: Add foreign customers and vendors

  • You can assign one currency per customer or vendor profile so you may need to create new profiles for existing customers and vendors if you need to assign a new currency to them.
  • All existing customers and vendors will be assigned your home currency when you turn on the feature. The currency can't be changed for names that already have transactions recorded against them. Continue to use these home currency customers or vendors as you close open balances.
  • Use your foreign customers or vendors for any new sales or purchases you create but you'll continue to use the home currency names until you complete any current open transactions.
  • Use the Customer and Vendor Centers to create foreign customers or vendors. If a name is already listed using your home currency, assign a slightly different name to the foreign customer or vendor that you created.
    1. From the Customers (or Vendors) menu, select Customer Center (or Vendor Center).
    2. In the Customer Center (or Vendor Center), click the New Customer:job (or New Vendor) drop-down and choose New Customer (or New Vendor).
    3. Assign a Customer (or Vendor) Name and Currency.
    4. Click OK.
 

Step 3: Add foreign accounts

  • You can assign one currency for each account so you'll create new accounts to use for your foreign transactions.
  • All existing accounts will be assigned your home currency when you turn on the feature. The currency can't be changed for accounts that already have transactions recorded against them.
  • Continue to use the home currency accounts to complete any open balances. Use the foreign accounts you create for transactions after all open balances are closed.
  • Currencies can be assigned to the following account types: Bank, Credit Card, Accounts Receivable and Accounts Payable.
    Note: The currency of A/R and A/P accounts must match the currency of the customer or vendor used in the transaction. QuickBooks automatically creates a separate account for each currency as you create transactions in those currencies.
  • Use the Chart of Accounts to create foreign bank and credit card accounts as needed.
    1. From the Lists menu, select Chart of Accounts.
    2. In the Chart of Accounts, right click anywhere and select New.
    3. Choose the appropriate account Type and assign a name.
    4. Click Save & Close.
 

Step 4: Update your exchange rates

To download exchange rates:

QuickBooks downloads rates for active currencies only and you can download rates only if your home currency is the US dollar.

  1. From the Lists menu, select Currency List.
  2. Click the Activities button and select Download Latest Exchange Rates.

To manually enter exchange rates:

  1. From the Lists menu, select Currency List.
  2. Double click a currency.
  3. In the Edit Currency window, update the currency exchange rate for specific date(s).
 

Step 5: Create foreign transactions

Only use the foreign names or accounts you added for new foreign transactions. If you have an open invoice for an existing customer that has been assigned your home currency, do not use the foreign version of the customer you created to receive payment against that invoice. Instead, continue to use the home currency version of the customer until the transaction is complete.

  • You don't assign a currency to sales and purchase transactions because they are assigned the currency of the customer or vendor you enter on the form.
  • Exchange rates are part of each transaction and determine the home currency value of the transaction.
  • Amounts on sales and purchase transactions are in the customer's or vendor's currency and the home currency equivalent is listed for the transaction total.
  • Reports will always reflect the home currency regardless of the currency used in transactions.

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