diff --git a/homeassistant/components/sql/__init__.py b/homeassistant/components/sql/__init__.py
index 33ed64be2bf..cb026565cdd 100644
--- a/homeassistant/components/sql/__init__.py
+++ b/homeassistant/components/sql/__init__.py
@@ -3,6 +3,7 @@
 from __future__ import annotations
 
 import logging
+from typing import Any
 
 import sqlparse
 import voluptuous as vol
@@ -32,7 +33,13 @@ from homeassistant.helpers.trigger_template_entity import (
 )
 from homeassistant.helpers.typing import ConfigType
 
-from .const import CONF_COLUMN_NAME, CONF_QUERY, DOMAIN, PLATFORMS
+from .const import (
+    CONF_ADVANCED_OPTIONS,
+    CONF_COLUMN_NAME,
+    CONF_QUERY,
+    DOMAIN,
+    PLATFORMS,
+)
 from .util import redact_credentials
 
 _LOGGER = logging.getLogger(__name__)
@@ -75,18 +82,6 @@ CONFIG_SCHEMA = vol.Schema(
 )
 
 
-def remove_configured_db_url_if_not_needed(
-    hass: HomeAssistant, entry: ConfigEntry
-) -> None:
-    """Remove db url from config if it matches recorder database."""
-    hass.config_entries.async_update_entry(
-        entry,
-        options={
-            key: value for key, value in entry.options.items() if key != CONF_DB_URL
-        },
-    )
-
-
 async def async_setup(hass: HomeAssistant, config: ConfigType) -> bool:
     """Set up SQL from yaml config."""
     if (conf := config.get(DOMAIN)) is None:
@@ -107,8 +102,6 @@ async def async_setup_entry(hass: HomeAssistant, entry: ConfigEntry) -> bool:
         redact_credentials(entry.options.get(CONF_DB_URL)),
         redact_credentials(get_instance(hass).db_url),
     )
-    if entry.options.get(CONF_DB_URL) == get_instance(hass).db_url:
-        remove_configured_db_url_if_not_needed(hass, entry)
 
     await hass.config_entries.async_forward_entry_setups(entry, PLATFORMS)
 
@@ -119,3 +112,45 @@ async def async_unload_entry(hass: HomeAssistant, entry: ConfigEntry) -> bool:
     """Unload SQL config entry."""
 
     return await hass.config_entries.async_unload_platforms(entry, PLATFORMS)
+
+
+async def async_migrate_entry(hass: HomeAssistant, entry: ConfigEntry) -> bool:
+    """Migrate old entry."""
+    _LOGGER.debug("Migrating from version %s.%s", entry.version, entry.minor_version)
+
+    if entry.version > 1:
+        # This means the user has downgraded from a future version
+        return False
+
+    if entry.version == 1:
+        old_options = {**entry.options}
+        new_data = {}
+        new_options: dict[str, Any] = {}
+
+        if (db_url := old_options.get(CONF_DB_URL)) != get_instance(hass).db_url:
+            new_data[CONF_DB_URL] = db_url
+
+        new_options[CONF_COLUMN_NAME] = old_options.get(CONF_COLUMN_NAME)
+        new_options[CONF_QUERY] = old_options.get(CONF_QUERY)
+        new_options[CONF_ADVANCED_OPTIONS] = {}
+
+        for key in (
+            CONF_VALUE_TEMPLATE,
+            CONF_UNIT_OF_MEASUREMENT,
+            CONF_DEVICE_CLASS,
+            CONF_STATE_CLASS,
+        ):
+            if (value := old_options.get(key)) is not None:
+                new_options[CONF_ADVANCED_OPTIONS][key] = value
+
+        hass.config_entries.async_update_entry(
+            entry, data=new_data, options=new_options, version=2
+        )
+
+    _LOGGER.debug(
+        "Migration to version %s.%s successful",
+        entry.version,
+        entry.minor_version,
+    )
+
+    return True
diff --git a/homeassistant/components/sql/config_flow.py b/homeassistant/components/sql/config_flow.py
index 434cccf021f..a07b0d21da0 100644
--- a/homeassistant/components/sql/config_flow.py
+++ b/homeassistant/components/sql/config_flow.py
@@ -161,7 +161,7 @@ def validate_query(db_url: str, query: str, column: str) -> bool:
 class SQLConfigFlow(ConfigFlow, domain=DOMAIN):
     """Handle a config flow for SQL integration."""
 
-    VERSION = 1
+    VERSION = 2
 
     data: dict[str, Any]
 
diff --git a/tests/components/sql/test_config_flow.py b/tests/components/sql/test_config_flow.py
index 6007abd13d0..863e87b5eae 100644
--- a/tests/components/sql/test_config_flow.py
+++ b/tests/components/sql/test_config_flow.py
@@ -321,6 +321,7 @@ async def test_options_flow(hass: HomeAssistant) -> None:
                 CONF_STATE_CLASS: SensorStateClass.TOTAL,
             },
         },
+        version=2,
     )
     entry.add_to_hass(hass)
 
@@ -371,6 +372,7 @@ async def test_options_flow_name_previously_removed(hass: HomeAssistant) -> None
                 CONF_UNIT_OF_MEASUREMENT: "MiB",
             },
         },
+        version=2,
         title="Get Value Title",
     )
     entry.add_to_hass(hass)
@@ -417,6 +419,7 @@ async def test_options_flow_fails_db_url(hass: HomeAssistant) -> None:
                 CONF_UNIT_OF_MEASUREMENT: "MiB",
             },
         },
+        version=2,
     )
     entry.add_to_hass(hass)
 
@@ -455,6 +458,7 @@ async def test_options_flow_fails_invalid_query(hass: HomeAssistant) -> None:
                 CONF_UNIT_OF_MEASUREMENT: "MiB",
             },
         },
+        version=2,
     )
     entry.add_to_hass(hass)
 
@@ -556,6 +560,7 @@ async def test_options_flow_fails_invalid_column_name(hass: HomeAssistant) -> No
                 CONF_UNIT_OF_MEASUREMENT: "MiB",
             },
         },
+        version=2,
     )
     entry.add_to_hass(hass)
 
@@ -607,6 +612,7 @@ async def test_options_flow_db_url_empty(hass: HomeAssistant) -> None:
                 CONF_UNIT_OF_MEASUREMENT: "MiB",
             },
         },
+        version=2,
     )
     entry.add_to_hass(hass)
 
@@ -722,6 +728,7 @@ async def test_device_state_class(hass: HomeAssistant) -> None:
                 CONF_UNIT_OF_MEASUREMENT: "MiB",
             },
         },
+        version=2,
     )
     entry.add_to_hass(hass)