Occasionally it is bound to happen that one of your vendors never got the check you sent in the mail. So what to do?

1. Check your bank statement (on-line hopefully) and insure it was not cashed, then put a stop payment on it.

2. Find the check in the check register and double click on it to bring it up. In the memo field enter something about the check being lost. On paper note the check number, check date, and amount.

3. Click the make deposits icon. Enter the vendor, select the miscellaneous expense account, enter the amount, and in the memo field enter the information about the check being lost, the original check date, number and amount.

4. Bring up write checks. Fill in the check to the vendor, on the expense tab, select the miscellaneous expense account and fill in the amount. In the memo block enter the same information you entered when you made the deposit.

When you get the bank statement and go to reconcile, the deposit will NOT be on the bank statement since you never really made a deposit – mark it cleared.

What happens is that the deposit enteres a negative (credit) number in the miscellaneous expense account. Then when you write the check that makes a positive (debit) number in the miscellaneous expense account. Since the amounts are the same they zero each other out.