How can transactions be split between different accounts in QuickBooks?

The split transaction feature in QuickBooks is specifically designed to allow users to allocate a single transaction amount across multiple accounts. This feature is useful for various scenarios, such as when a single expense needs to be divided between different expense categories or when a deposit needs to be divided between multiple income accounts.

When using the split transaction feature, you can easily specify how much of the total amount belongs to each account, ensuring that the transaction is accurately reflected in the accounting records. This not only helps in maintaining precise financial statements but also simplifies tracking and reporting for different aspects of the business.

In contrast, creating sub-accounts focuses on organizational structure rather than splitting a single transaction; entering multiple entries would require separate transactions for each account instead of using one transaction to cover multiple accounts; and adjusting the budget settings does not pertain to the allocation of funds in actual transactions. Thus, the split transaction feature is the most efficient and appropriate way to divide transactions between different accounts in QuickBooks.