QuickBooks 2013 The Guide

QuickBooks 2013 The Guide

Authors: Leslie Capachietti

Published: October 2012

eISBN: 9780071809351 007180935X | ISBN: 9780071809344

Cover

About the Author

Title Page

Copyright Page

Dedication

Contents at a Glance

Contents

Acknowledgments

Introduction

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 Scheme

Creating Ranges of Numbers

Name Accounts

Create Accounts

Select From Examples

Optional Fields for Accounts

Use Subaccounts

Viewing Subaccounts

Creating Subaccounts

Multiple Levels of Subaccounts

Showing Lowest Subaccounts Only

Edit Accounts

Delete Accounts

Make Accounts Inactive (Hiding Accounts)

Merge Accounts

Chapter 3: Your Customers

Build Your Customer 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

Adding Data to Custom Fields

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

Creating 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

Linking 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

Memorized Transaction List

Chapter 7: Entering Your Starting 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

Understand Passwords

Creating Complex Passwords

The QuickBooks Admin

Adding or Changing the Administrator Password

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 Header Information

Entering Line Items

Applying Price Levels

Entering Discounts

Entering Subtotals

Checking the Footer Section

Saving the Invoice

Print Packing Slips

Printing the Default Packing Slip

Batch Invoicing

Using Memorized Invoices

Edit Invoices

Void and Delete Invoices

Issue Credits and Refunds

Creating a Credit Memo Against an Invoice

Creating a Credit Memo Without a Previous Invoice

Applying Credit Memos

Use Estimates

Creating an Estimate

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

Chapter 10: Applying Customer Payments to Invoices

Your Options for Receiving Customer Payments

Recording the Payment

Calculating the Payment

Applying Payments to Invoices

Handling Underpayments

Applying Credits to Invoices

Applying Discounts for Timely Payments

Applying Discounts for Untimely Payments

Posting Discounts

Printing a Receipt for an Invoice Payment

Handle Cash Sales

Entering Cash Sale Data

Customizing the Cash Receipts Template

Handling Batches of Cash Sales

Track Your Cash Drawer in QuickBooks

Handling the Over and Short Problem

Depositing Payments into Your Bank Account

Make Bank Deposits from the Undeposited Funds Account

Choosing the Payments to Deposit

Working in the Make Deposits Window

Printing Deposit Slips

Track Accounts Receivable

Getting the Most from the Customer Center

The Collections Center

Other Reports You Can Run from the Customer Center

Run A/R Aging Reports

A/R Aging Summary Reports

A/R Aging Detail Reports

Customizing Aging Reports

Memorizing Aging Reports

Printing Reports

Run Customer and Job Reports

Assessing Finance Charges

Send 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

Creating a Purchase Order

Using the Manufacturer’s Part Number in Purchase Orders

Manage Inventory Item Purchases

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

Sending the Payments

Check Writing Without Entering a Bill

Manual Checks

Printing Checks in a Batch

Track and Pay Sales Tax

QuickBooks’ Manage Sales Tax Feature

Running Sales Tax Reports

Paying the Sales Tax

Adjusting Sales Tax Amounts

Chapter 12: Managing Your 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 Bounced Check

Creating an Item NSF Check

Creating an Item for Your NSF Charge to Your Customer

Creating an Invoice to Recover the Amounts Owed

Recording Your Bank’s NSF Charge to You

Void Disbursements

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

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

Correcting Opening Balance Differences

Undoing the Last Reconciliation

Giving Up the Search for a Reason

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

Set Up Printing

Configuring Form Printing

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

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

Run Inventory Reports

Inventory Valuation Summary Report

Inventory Valuation Detail Report

Inventory Stock Status Reports

Physical Inventory Worksheet

Pending Builds

Inventory QuickReports

Chapter 16: Using Online Banking

Understand Online Banking

Set Up Online Banking

Finding Your Bank Online

Enabling Online Access for Direct Connect

Enabling Online Access for Web Connect

Use the Online Banking Center

Downloading Transactions

Viewing the Downloaded Transactions

Match Transactions

Adding Transactions to the Bank Register

Adding a Downloaded Payment to the Register

Deleting Unmatched Transactions

Use QuickBooks to Pay Your Bills Online

Using the QuickBooks Bill Pay Service

Transfer Money Between Accounts Online

Using the Transfer Funds Function

Using the Bank Register to Transfer Funds

Receive Customer Payments Online

Chapter 17: Entering Special Transactions Using General Journal Entries

The QuickBooks Journal Entry 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

Get Ready for Taxes

Checking Tax Line Information

Calculating Other Important Tax Information

Using TurboTax

Close Your Books

Understand Closing in QuickBooks

Closing the Year

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 the Stopwatch

Using Weekly Timesheets

Copying Previous Timesheets

Reporting Timesheet Information

Running Timesheet Reports

Editing Entries in a Report

Editing the Original Timesheets

Printing the 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

Direct Deposit

Signing Up for Payroll Services

Set 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

Understanding Employment Types

Enter Historical Data

Entering Historical Data

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

Using the Scheduled vs. Unscheduled Liabilities Window

Remit Liabilities

Send Federal Tax Payments

941/943 Payments

940 Payments

Remit State and Local Liabilities

Remitting State and Local Income Taxes

Remitting Other State Liabilities

Remit Other Payroll Liabilities

Workers Comp

Prepare Your 941/943 Form

Create a 941/943 Form

Checking for Errors

Saving and Reopening an Unfinished Form

Print Form 941/943

Preparing Annual Returns

Preparing State and Local Annual Returns

Preparing the 940 Form

Preparing the 944 Form

Prepare W-2 Forms

Tax Form Worksheets in Excel

Set Report Options

Part Five: Sharing, Securing, and Customizing Your Data

Chapter 22: Using the Accountant’s Copy

Understanding the Accountant’s Copy

Create an Accountant’s Copy

Saving the Accountant’s Copy on Removable Media

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

Use a Portable Company File

Creating a Portable Company File

Verify and Rebuild a Company File

Condense Your Data

Understanding the Condense Data Process

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: Understanding Your Business with QuickBooks Reports

Chapter 25: Useful QuickBooks Reports and Analysis Tools

Use 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

Client Data Review

External Accountant

Creating an External Accountant

Converting an Existing User to an External Accountant

Chapter 26: Modifying and Creating Reports

Customization Starts with a Built-in Report

Customize Report Display Settings

Selecting the Report Basis

Selecting Columns

Advanced Options

Filter Report Data

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

Create the Budget and Its Criteria

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 Performances

Budget vs. Actual Graph

Export Budgets

Exporting Budgets to Delimited Text Files

Exporting a Budget Report to Excel

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

Managing Existing Open Transactions

Currency Data in Customer and Vendor Centers

Chart of Accounts for Multicurrency Transactions

Create Transactions in Other Currencies

Create Reports on Multiple Currency Transactions

Index