QuickBooks 2014 The Guide

QuickBooks 2014 The Guide

Authors: Leslie Capachietti

Published: November 2013

eISBN: 9780071824712 0071824715 | ISBN: 9780071823395

Cover

About the Author

About the Technical Reviewer

Title Page

Copyright Page

Contents at a Glance

Contents

Acknowledgments

Introduction

Use This Book to Get the Most from QuickBooks

“Extras” Provided in This Book to Help You

You and Your Accountant

Part One: Getting Started Using QuickBooks

Chapter 1: Using QuickBooks for the First Time

What to Do Ahead of Time

Decide on the Start Date

More About the Information You’ll Need

Cash Balances

Customer Balances

Vendor Balances

Asset Balances

Liability Balances

Payroll Information

Inventory Information

Install and Launch the Software

Create Your Company File

Using Express Start

Using Advanced Setup

The QuickBooks Setup Wizard

Navigate in QuickBooks

Home Page

QuickBooks Centers

Customize the Icon Bar

Changing the Order of Icons

Changing the Icon Bar Display

Removing an Icon

Adding an Icon

The Favorites Menu

Closing QuickBooks

Chapter 2: Using Accounts in QuickBooks

The Accounts that QuickBooks Uses

Assets

Liabilities

Equity

Income

Expenses

Use Account Numbers

Enabling Account Numbers

Creating a Numbering System

Creating Ranges of Numbers

Name Accounts

Create Accounts

Select From Examples

Optional Fields for Accounts

Use Subaccounts

Viewing Subaccounts

Showing Lowest Subaccounts Only

Edit Accounts

Delete Accounts

Make Accounts Inactive (Hiding Accounts)

Merge Accounts

Chapter 3: Your Customers

Build Your Customers List

Address Info

Payment Settings

Sales Tax Settings

Additional Info

Job Info Tab

Adding Multiple Customer Records

The Customer Center

Customizing the Customers & Jobs List

Working in the Customer Information Pane

Editing an Individual Customer Record

Use Jobs

Creating Jobs

Editing Jobs

Delete Customers & Jobs

Making Customers & Jobs Inactive (Hiding)

Merging Customers or Jobs

Use Custom Fields

Adding a Custom Field

Secure Customer Credit Card Information

More About QuickBooks Customer Credit Card Protection

About Complex Passwords

User Permissions for Viewing Credit Card Information

Viewing the Security Log

Chapter 4: Your Vendors

Create Your Vendors List

Address Info

Currency

Payment Settings

Tax Settings

Account Settings

Additional Info

Adding and Editing Multiple Vendor Records

The Vendor Center

Customizing the Vendor Center

Edit Vendor Information

Delete a Vendor

Make a Vendor Inactive

Merge Vendors

Use Custom Fields in Vendor Records

Adding a Custom Field for Vendors

Adding Data to Custom Fields

Create 1099 Vendors

Configuring 1099 Options

Marking Vendors as 1099 Recipients

Chapter 5: Creating Items for What You Sell

Understand How Items Are Used

Understand Item Types

Build Your Item List

How to Create a Service Item

Create Custom Fields for Items

Creating the Other Items in Your Item List

Changing Item Prices

Collect Sales Tax Using Sales Tax Items

Sales Tax Items

Sales Tax Codes

Sales Tax Payment Basis

Sales Tax Payment Dates

Create and Use Tax Groups

Assigning Sales Tax Codes and Items to Customers

Chapter 6: Creating Other Lists You May Need

Fixed Asset Item List

Price Level List

Creating a Price Level

Assigning Price Levels to Customers

Currency List

Class List

Create a Class

Creating a Subclass

Other Names List

Customer & Vendor Profile Lists

Sales Rep List

Customer Type List

Vendor Type List

Job Type List

Terms List

Customer Message List

Payment Method List

Ship Via List

Vehicle List

Templates List

Memorized Transaction List

Chapter 7: Entering Your Beginning Balances

What Is an Opening Trial Balance?

Ten Steps to Creating an Accurate Opening Trial Balance

1. Gather All the Information You Need

2. Enter Beginning Balances for Simple Balance Sheet Accounts

3. Enter Bank Account Balances

4. Enter Outstanding Checks and Deposits

5. Enter Unpaid Accounts Receivable and Accounts Payable Transactions

6. Enter Nonposting Transactions

7. Enter Mid-year Income and Expenses (if Applicable)

8. Adjust Sales Tax Payable

9. Establish Inventory Balances

10. Zero-Out the Opening Balance Equity Account

Run Your QuickBooks Trial Balance Report as of Your Start Date

Chapter 8: Setting Up Users and Permissions

Why User Logins Are Important

A Word About Passwords

Creating Complex Passwords

The QuickBooks Admin

Adding or Changing the Administrator Password

Creating a Challenge Question for the Admin Account

Resetting the Admin Password When You Forget It

Add Users

Deleting a User

Editing User Information

Setting User Permissions

Special Permissions Needed for Customer Credit Card Data

Configuring Special Areas of QuickBooks

Configuring Rights for Existing Transactions

Users Can Change Their Own Passwords

QuickBooks Login Dialog

Part Two: Daily Operations Using QuickBooks

Chapter 9: Invoicing Your Customers

Create Invoices

Entering Basic Information in the Invoice Header

Entering Line Items

Applying Price Levels

Using Discounts

Using Subtotals

Checking the Footer Section

Saving an Invoice

Edit an Invoice

Mark an Invoice as Pending

Void and Delete Invoices

Print Packing Slips

Printing the Default Packing Slip

Batch Invoicing

Use Memorized Invoices

Creating Memorized Invoice Groups

Adding Memorized Invoices to Groups

Issue Credits and Refunds

Creating a Credit Memo Against an Invoice

Creating a Credit Memo Without a Previous Invoice

Applying Credit Memos

Creating Multiple Estimates for a Job

Copying Estimates

Memorizing Estimates

Create Progress Billing Invoices

Choosing the Estimated Job

Entering Progress Invoice Line Items

Changing Line Items

Invoice Customers for Reimbursable Expenses

Configuring Reimbursement Settings

Creating a Transaction for Reimbursable Expenses

Adding Expenses to the Sales Transaction

Adding Taxes to Reimbursable Expenses

Chapter 10: Managing Your Accounts Receivable

Your Options for Receiving Customer Payments

Recording the Payment

Calculating the Payment

Applying Payments to Invoices

Depositing Payments into Your Bank Account

Handling Underpayments

Applying Credits to Invoices

Applying Discounts for On-Time Payments

Applying Discounts for Untimely Payments

Posting Discounts to a Sales Discount Account

Printing a Receipt for an Invoice Payment

Handling Cash Sales

Entering Cash Sale Data

Handling Batches of Cash Sales

Tracking Your Cash Drawer in QuickBooks

Handling the Over and Short Problem

Recording Bank Deposits from the Undeposited Funds Account

Choosing the Payments to Deposit

Working in the Make Deposits Window

Printing Deposit Slips

Keeping Track of Accounts Receivable

Getting the Most from the Customer Center

The Income Tracker

The Collections Center

Reports You Can Run from the Customer Center

Running A/R Aging Reports

A/R Aging Summary Reports

A/R Aging Detail Reports

Customizing Aging Reports

Memorizing Aging Reports

Printing Reports

Running Customer and Job Reports

Assessing Finance Charges

Sending Statements

Entering Statement Charges

Creating Statements

Previewing the Statements

Printing the Statements

Customizing Statements

Chapter 11: Tracking and Paying Your Bills

Record Vendor Bills

Filling in the Details

Splitting Expenses Among Multiple Accounts

Use Purchase Orders

Create a Purchase Order

Purchase Inventory Items

Receiving Inventory Items Without a Bill

Recording Bills for Items Already Received

Receiving Items and Bills Simultaneously

Recording Vendor Credits

Enter Recurring Bills

Creating a Memorized Bill

Using a Memorized Bill

Creating Memorized Bill Groups

Adding Memorized Bills to Groups

Reimbursable Expenses

Options for Managing Reimbursable Expenses

Configuring Reimbursement Tracking

Recording Reimbursable Expenses

Pay Your Bills

Viewing Your Unpaid Bills

Selecting the Bills to Pay

Paying Bills in Full

Making Partial Payments

Using Discounts and Credits

Applying Credits

Printing and Sending Bill Payments

Check Writing Without Entering a Bill

Manual Checks

Printing Checks in a Batch

Track and Pay Sales Tax

Managing Sales Tax

Running Sales Tax Reports

Pay the Sales Tax

Adjusting Sales Tax Amounts

Chapter 12: Working with Bank and Credit Card Accounts

Deposit Money That Isn’t from Customers

Using the Account Register for Deposits

Using the Make Deposits Window

Assigning a Payee to a Noncustomer Deposit

Assigning Accounts to Noncustomer Deposits

Transfer Funds Between Accounts

Using the Transfer Funds Transaction Window

Handle a Returned Check

Recording a Returned Customer Invoice Payment

Recording a Returned Cash Receipt Payment

Recording Your Bank’s NSF Charge to You

Void a Check

Track Cash Disbursements

Keeping a Petty Cash Box

Tracking Other Cash Withdrawals

Manage Credit Card Transactions

Create a Credit Card Account

Treat the Credit Card as a Bill

Chapter 13: Balancing Your Bank Accounts

Reconcile in QuickBooks

The Begin Reconciliation Window

Entering Interest Income and Service Charges

Working in the Reconcile Window

Clearing Transactions

Adding Transactions During Reconciliation

Adding Undeposited Funds During Reconciliation

Voiding or Deleting Transactions During Reconciliation

Editing Transactions During Reconciliation

Resolving Missing Check Numbers

Finishing the Reconciliation

Printing the Reconciliation Report

Viewing the Last Reconciliation Report

If You Don’t Balance

Finding and Correcting Problems

Making an Adjusting Entry

Troubleshooting Differences in the Beginning Balance

Correcting Opening Balance Differences

Undoing the Last Reconciliation

Chapter 14: Printing, E-mailing, and Managing Documents in QuickBooks

QuickBooks Printer Setup

Choosing Form Printing Settings

Using QuickBooks to Print Checks

Printer Settings vs. Printer Options

Print Checks

Printing Each Check As You Create It

Printing Checks in Batches

Reprinting Checks After a Problem

Ways to Print Transaction Forms

Printing Transactions As You Create Them

Previewing Form Printouts

Printing Transaction Forms in Batches

E-mail Forms and Reports

Setting Up E-mail

Sending E-mail

Document Management: Using the Attach File Feature

Part Three: Other Tasks You May Need to Complete in QuickBooks

Chapter 15: Using QuickBooks to Manage Your Inventory

What Is an Inventory Item?

Set Up QuickBooks for Inventory Tracking

Accounts Required for Inventory Are Automatically Created

Create Inventory Items

Use Subitems

Creating the Parent Item for a Subitem

Creating Subitems

Count Inventory

Printing the Physical Inventory Worksheet

Planning the Physical Count

Making Inventory Adjustments

Understanding the Effects of an Adjustment

About the Inventory Adjustment Account

Making Other Adjustments to Inventory

Running Inventory Reports

Chapter 16: Using Bank Feeds

Set Up Bank Feeds

Finding Your Bank Online

Enabling Bank Feeds Using Direct Connect

Enabling Bank Feeds Using Web Connect (Manual Import)

Work with Transactions in the Bank Feeds Center

Viewing the Downloaded Transactions

Adding Transactions to the Account Register in QuickBooks

Adding a Downloaded Payment to the Register

Adding a Downloaded Deposit to the Register

Ignoring (Deleting) Unmatched Transactions

Using QuickBooks to Pay Your Bills Online

Using the QuickBooks Bill Pay Service

Transfer Money Between Accounts Online

Using the Transfer Funds Function

Chapter 17: Entering Special Transactions Using General Journal Entries

The QuickBooks Journal Entries Window

Create Journal Entries for Depreciation

Creating Accounts for Tracking Depreciation

Use Journal Entries to Post to Outside Payroll Services

Transferring Money to the Payroll Account

Recording the Payroll

Recording Liabilities

Creating Your Own Payroll Entry Template

Reconciling the Payroll Account

Chapter 18: Year-End Procedures

The Year-End To Do List

Reconciling All Bank, Cash, and Credit Card Accounts

Inventory Stock Status

Fixed Assets

Payroll

Run Year-End Financial Reports

Profit & Loss Reports

Year-End Balance Sheet

Issue 1099 Forms

Checking the 1099 Setup

Using the 1099 Wizard

Printing 1099s

Make Year-End Journal Entries

Getting Ready for Taxes

Checking Tax Line Information

Calculating Other Important Tax Information

Using TurboTax

Close Your Books

Closing the Year by Setting a Closing Date

Create a Year-End Backup

Part Four: Tracking Time and Paying Your Employees

Chapter 19: Tracking Employee Hours with QuickBooks

Setting Up Time Tracking

Adding Timekeepers

Adding the Tasks

Working with Timesheets

Setting the Format for Displaying Time

Tracking a Single Activity

Using Weekly Timesheets

Copying Previous Timesheets

Reporting Timesheet Information

Running Timesheet Reports

Editing Entries in a Report

Editing the Original Timesheets

Printing Weekly Timesheets

Invoicing Customers for Time

Tracking Mileage

Entering Mileage Rates

Creating a Mileage Item

Entering Mileage

Creating Mileage Reports

Chapter 20: Paying Your Employees with QuickBooks Payroll

QuickBooks Payroll Services

Enabling a QuickBooks Payroll Service

Processing Your Payroll Manually in QuickBooks

Setting Up Your Payroll

Adding Payroll Accounts to the Chart of Accounts

Adding Vendors

Adding Payroll Items

Set Up Employees

Creating an Employee Template

Creating Employees

Handling Year-To-Date Payroll Data

Entering Year-To-Date Totals

Manually Entering Payroll History in Batches

Use the QuickBooks Payroll Setup Wizard

Company Setup Section

Setting Up Employees in the Wizard

Setting Up Payroll Taxes in the Wizard

Entering Payroll History in the Wizard

Running Data Review

Finishing Up

Payroll Schedules

Creating a Payroll Schedule

Assigning Payroll Schedules to Employees

Run Payroll

Changing Paycheck Data

Reviewing the Payroll Run

The Employee Center

Employees Tab

Transactions Tab

Payroll Tab

Customizing the Employee Center

Chapter 21: Tracking and Remitting Payroll Liabilities

Confirm Payroll Payment Schedules

Report and Remit Payroll Liabilities

Federal Tax Liabilities

941/943 Payments

940 Payments

State and Local Income Taxes

Other State Liabilities

Other Non-Tax Payroll Liabilities

Workers Comp

Prepare W-2 Forms

Tax Form Worksheets in Excel

Part Five: Sharing, Securing, and Customizing Your Data

Chapter 22: Using the Accountant’s Copy

Understanding the Accountant’s Copy

Creating an Accountant’s Copy

Saving the Accountant’s Copy

Sending an Accountant’s Copy to the QuickBooks Server

Choosing the Dividing Date

Merge the Accountant’s Changes into Your File

Cancel the Accountant’s Copy

Chapter 23: Keeping Your QuickBooks Data Secure and Healthy

Delete Company Files

How QuickBooks Loads Company Files

Deleting the File

Eliminating Deleted Files from the Company File List in QuickBooks

Back Up and Restore Files

Backing Up

Scheduling Backups

Restoring a Backup

The Portable Company File

Creating a Portable Company File

Verify and Rebuild a Company File

Condense Your Data

Understanding the Condense Data Process

Choosing a Date

Run the Condense Data Utility

Removing All Transactions

Update QuickBooks

Configuring QuickBooks Update Service

Chapter 24: Customizing QuickBooks for Your Business

Customize Settings and Options

Accounting Preferences

Bills Preferences

Calendar Preferences

Checking Preferences

Desktop View Preferences

Finance Charge Preferences

General Preferences

Integrated Applications Preferences

Items & Inventory Preferences

Jobs & Estimates Preferences

Multiple Currencies Preferences

Payments Preferences

Payroll & Employees Preferences

Reminders Preferences

Reports & Graphs Preferences

Sales & Customers Preferences

Sales Tax Preferences

Search Preferences

Send Forms Preferences

Service Connection Preferences

Spelling Preferences

Tax:1099 Preferences

Time & Expenses Preferences

Customize Transaction Templates

Basic Customization of Templates

Additional Customization of Templates

Part Six: Using QuickBooks Reports, Budgets, and Planning Tools

Chapter 25: Useful QuickBooks Reports and Analysis Tools

Start with the Report Center

Drill Down for Details

Standard Financial Reports

Profit & Loss Report

Balance Sheet

Trial Balance

Cash Flow Reports

Other Useful Reports

Sales Reports

Vendor Reports

Inventory and Purchasing Reports

Employees & Payroll Reports

Banking Reports

Reporting by Class

Accountant & Taxes Reports

Company Snapshot

External Accountant

Creating an External Accountant

Converting an Existing User to an External Accountant

Client Data Review

Chapter 26: Modifying and Creating Reports

Customization Starts with a Standard Report

The Display Tab

Selecting the Report Basis

Selecting Columns

Advanced Options

The Filters Tab

Customize Report Headers and Footers

Customize Report Fonts and Numbers

Memorize Customized Reports

Using a Memorized Report

Using Memorized Report Groups

Adding Standard Reports to Memorized Reports Groups

Sharing Reports You’ve Customized

Chapter 27: Using the QuickBooks Budget and Planning Tools

How QuickBooks Handles Budgets

Types of Budgets

Budget Data Is Saved Automatically

Creating Multiple Budgets

Deleting a Budget

Understanding the Budget Window

Tasks to Perform Before You Start Your Budget

Profit & Loss Budgets

Enter Budget Amounts

Using Budget Entry Shortcuts

Creating a Budget from Last Year’s Data

Customer:Job Budgets

Class Budgets

Budget Reports

Budget Overview

Budget vs. Actual

Profit & Loss Budget Performance

Budget vs. Actual Graph

Work with Budget Data Outside of QuickBooks

Exporting a Budget Report to Excel

Exporting Budgets to Delimited Text Files

Importing Budgets Back into QuickBooks

Project Cash Flow

Part Seven: Appendixes

Appendix A: Installing QuickBooks on a Network

License Requirements for a Multi-user Installation

Multi-user Installation Options

Installing QuickBooks on a Peer-to-Peer Network

Installing QuickBooks on a Client-Server Network

Appendix B: Multiple Currencies

Set Up and Configure Multiple Currencies

Creating a Special Backup

Enabling Multiple Currencies

Selecting Currencies

Tracking Exchange Rates

Manage Customers and Vendors with Foreign Currencies

Creating Customers and Vendors with Currency Assignments

Changing Currency for Existing Customers and Vendors

Creating New Customers and Vendors for Multiple Currencies

Managing Existing Open Transactions

Viewing Currency Data in Customer and Vendor Centers

Create Transactions in Other Currencies

Create Reports on Multiple Currency Transactions

Index