Skip to main content

Batch Actions in Quickbooks

Lesson 32 from: Small Business Finance Basics: QuickBooks & Beyond

Ken Boyd

buy this class


Sale Ends Soon!

starting under


Unlock this classplus 2000+ more >

Lesson Info

32. Batch Actions in Quickbooks

Lesson Info

Batch Actions in Quickbooks

Let's assume that five invoices down here from the same client and they send you one check to pay five and voices. You can use this batch capability where you can check five of the Parkside invoices. And Markham always paid all at once with a single check. Okay, receive payment. Print. Send packing slip copy. You've got some choices there in terms of payment being received. Now I'm going to go into a different way and pay one a little bit down. Yes, on a check is gonna come in the mail, and you're going to see who it's from. And you have to match that. Check up to this invoice. Isn't there easier way than how would you do that? What's There's really not an easier way. Unfortunately, whether it's a payment check, you get in the mail or electronic payment, you're still gonna have to take Parkside sending me fight. Let's say let's say Parkside sent me $1000. I'm gonna have to go into my invoices. You can't just look up Parkside and then have it. I refer you to this invoice. Yeah. Let me h...

old that thought for just a minute. There's a couple ways to do it one way, and I think the frankly, the easier way you could go into this screen and see what Parkside owes you. And if it's a check for $1000 there's to open invoices for 500 you click on him and you getting paid. The other way to do it is you just said, Let's go to the customer window And this says Parkside has an invoice in the always 500 bucks. If you wanted to go it that way, you could do it that way. That might be quicker. Wouldn't it go to the client? Whether they're looking a string of invoices, it's probably better. So let me just restate that before I lose that thought. There's two ways to pay an invoice, which is what we're gonna do in a minute. In fact, here's what I'll do. I'm gonna pay one of them from this screen and then I'm gonna pay the other one from the customer screen. Okay, so I'm gonna hitch. I'm gonna check on the invoice that got paid and I'm gonna hit, receive payment. Let's see what happens. A screen comes up that says receive payment is all right with me. I clicked a box. I said, receive payment. I'm gonna go back. I checked the box. I'm in transaction sales. Click Receive payment. Action with me. Every with me. Good. So what if you don't check the box and you just click received payment? Are you checking the box? What is that? Because if you don't check the box, it just goes to the first invoice on the list. Okay. Okay. If I click the 2nd 1 and I hit received, which is for Riverside. It goes to Riverside's invoice. If I don't click the box, it just goes to the first invoice on the screen. Okay, nothing's checked. Well, what if you go down? Okay. Let's see. What? That? Yeah. Now you're testing me? Sure. Okay. Don't have the check the box. So what's the box for? Checking Multiple. It's for the bash. Feature Check. Multiple. All right. There's gonna be a test. What if I to feel my own test? I'm not gonna print the results on the Facebook page. Everybody's thinking me. I'm gonna put at the bottom. Everyone should know that I failed my own like the top box, both of those have come up? No. Let's do it. This what? This box down, That one. You know what? That would check all the invoices and you would pay all of them. Now, the problem is, you could do that. That's actually brings up a good point. Let's say that I got checks in from both clients. You could check the top box, which would act which would click both invoices and Pam. I wouldn't suggest that I would suggest paying them separately. So you would click that. What if you click to receive payment now? After that. All right. I'll just see what happens. It goes the 1st 1 on the list. Yeah, here's what I'm getting at, and this brings up a good point. It is very easy, particularly particularly in a business where you have lots of small transactions. It's very easily to mess up the check that came in and which invoice it paid. Now, one thing to do when you create an invoice is to ask your client to write the invoice number on the check. They send you order right it in the memo field. If they put pay it through PayPal, I'm paying invoice number Because this gets this gets out of whack very easily, particularly if you sell a lot of a product to multiple clients and it's all the same. Cost sales amount. So you've got 16 invoices out for the same $500 amount. It gets really complex. It's easy to mess up, check in, and part of it is for an invoice, and another part of it is for a deposit. So you get a check for 1000 from Parkside and 500 is to go toe invoice. What? 1002 And the other part is deposit or something in the future. Um, what I would do that's complicated. There's a couple ways to do it. What I would do is create for the amount that's a deposit, say five hundreds for a current there, pan. Let's say it's Parkside. They're paying this invoice with 505 100 deposit for another job I would create just for your in. I would create an estimate for the the job that you got a deposit for again. I'm I'm not real big on using estimates, because people confuse them with invoices, but I would create an estimate for the deposit, and then you can apply the deposit to the estimate and the other part of the cash that came in to the invoice. It's a little complex that way, because the other way would be to make a journal entry. But that's the better way. You got an invoice and you got it on an estimate and they add up to $1000. Okay, receiving a payment. Parkside Financial. The date that they're paying today. Payment method, I'm gonna say Check reference number. You'll note that down here, they tell you what the invoice number is that they have outstanding. Now it's possible is the example that Jackie O just said that the check that you get does not match up with the dollar amount of the invoice because they're sitting into deposit or they could be paying multiple invoices. That's possible. So reference number invoice 1001 to Excuse me. Now, The reason I had checking is I'm gonna put this in the checking account as a deposit amount to apply. Jackie. Here's where we here's another way you could handle the deposit. If it was $1000 deposit, you could pay 500 on the invoice and give them a credit of $500. I brother, have you do an estimate? Because having that credit on the clients account gets a little tricky to I think the best way is to do an estimate and not and put it into un deposited funds. We talked about yesterday. Um, unearned revenue customer deposit. Put it in under revenue customer deposits. Okay, so received payment for pan Invoice 1000 to apply the $500 check to the $500 voice minutes saving close. You'll note that the invoices now, uh coded as paid. Yes, they had another questions with cookbook and relationship toe cash famous. I don't deal with cash too much at all, but I do have friends with businesses that handle like a lot of cash. And when you're doing your books and your actually projecting our thinking, how often you should do deposits thinking also in line of protecting yourself because cash could disappear quickly. Like, do you have any advice or tips for people who do in a lot of cash? Yeah, let me write on the board. Good question. Which reminds me I did some work for a nonprofit. One time that had a It was for a sculpture park in ST Louis, and they had an annual art show, and their procedures weren't in good order. What they were supposed to do was to have a Dropbox. So one of the things on controlling cash is to have the ability to have a night drop so you can deposit cash 24 hours a day and dropbox secure dropbox. The sculpture parks. Dropbox was a slot about that big, and I had $15,000 So I slept at home with $15, in my bedroom. That's less than ideal. Okay, you gotta have a drop box. All right, let's talk about Let's take this a little bit further. Uh huh. Do they have a Is this a retail shop? Okay. And they have an employee. Okay, so here's a procedure you give them and you see this again. I spend my whole life working in Panera. You give him a cash drawer with a certain amount of cash and denominations in it. Right. Let's say it's a total of $500 beginning of the day when you open. You do sales during the day. You then take your changes in cash. Your sales, which is gonna be deposits, abbreviated any returns, which would probably be one of the only reasons they pay. Somebody cashes a return, and you're going to agree that information to the point of sale system in the cash register that they have an automated cash register. Everybody, just about everybody does. Let's say that, um, $1000 came in and they had a $50 return. Okay, so that means that's an increase of $950. Then at the end of the day or when that employee lease you're going, you the owner with the employees there are going to do a cash count, and they need to come up with 500 plus 9 50 which is 14 50 in cash. Another thing I would do is to minimize the amount of cash physical cash you have there. So if you think you need $700 cash for the day, just keep $700. If you run low, you can always send somebody to the bank, have a drop box to put money in. If it's a small business I would only have the owner do. The Dropbox only have the moment. The owner physically take the cash. Now I know lots of small businesses Where the owner takes the cash out, fills out a deposit slip staff person goes to the bank, brings back the deposit slip stamped that it got deposited. I'm OK with that. If you know, you know, reliable employees. Do you think, um, I prefer that the owner do it, you know, on the way home. But the money the Dropbox with you got a deposit slip all the money. It's a lock bag. You throw it in the drop box. Yes. So having your accountant sleep in his bedroom with 15 grand in cash, that's not That would not be a good procedure, but it happened. So what? We just saw waas. We recorded invoices paid and it was paid by check. Okay, so that is creating an invoice and, um, paying an invoice by check expenses. Let's pay an expense by check. Let's create a new expense. You can see when you, when I pull up expense transactions. I've got a check that I wrote to reliable technology. That's a vendor told me. What category? The expense Waas and the total was $100. I had another expense down here for Mobil Gas Station. That was cash for $20. Okay, I made a mistake here, and I tried to set up a credit card transaction and I didn't do it right. That's why this is here. And I don't want to take the time to remove it. Thank you very much. So let's create a new transaction. And let's create a transaction that I pay by check. Because where I'm going is toward handling cash here. In a minute, you'll notice. Check number two. Let me do it again because I'm not sure everybody got that. So I'm in transactions. Expense Every See it down the left. I'm going to create a new transaction. I have a choice. I can create it by expense. I could just say expense or I could write a check. I'm gonna write a check. I click on it. It tells me it's check number two. Conveniently. It tells me my cash balance of the top. What vendor? My paying. Let's say I'm paying reliable loudspeaker different. One sunset photo supply. It's coming out of the checking account. Now, the reason I keep saying checking account is you get under the cash heading Annex in in Excel. We're not teaching. This isn't Oh, my gosh, this is not excel under here. I've only got one account for cash. It's checking. You may have multiple accounts for cash in nonprofit world. Often a requirement of a restricted funds is it has to be in its own account. You get a multiple checking accounts. You'll notice when I put in sunset that the mailing address filled the date of the expense is already there. Okay, yes. Can I have a question? Do you recommend multiple accounts? Because I have a friend who's an interior designer, and each time she gets a new client, she opens up a new bank account where they put their deposit, and I think that's a little tedious. But she thinks that that's the best accounting practice for her. So what do you recommend? I would I strongly advise against that. I would have one account because that every time you had a client that's a new bank account, you gotta reconcile. And then there's also the risk that you deposit client A's account and claim he's account. I think if you're if you're careful with your accounting, you only need one bank account. I really do. I really did. Okay. Account. What? What happens if I click on that? Well, what comes up here is the expense account that this expense this check that I'm writing should relate to now. Sunset Photography supply. Let's go down to expenses and see for a photography company what QuickBooks has I could call it job materials. Right there, for example, Photography processing, I think is the one I use before. Maybe I'm gonna click on that one, and I'm gonna say processing cost for park side financial Parkside photos Make it easy. Okay? And I'm going to say the amount. It's $ now again, Just like you can have multiple lines for the invoice. You could have multiple lines for the expenses to that you're paying. I'm gonna save and close every day. All right, that before he hit it One other thing again. There's a memo item down here if you want to add it for your own purposes, for to go with that check. This is like the memo line. If you ride a physical check? You have a memo? Lied. Okay, so I mean, it's saving close. So now what happens when I do that? If I have an expense, that expense for check number two gets added in this line right here. Okay. You'll see that transactions does have the ability to print checks. And what it's going to do is give me the set up system for printing your checks. It's become much better easier on QuickBooks to do this. If you print physical checks, you just put the check stock in your computer and you can print off your checks. And it has a procedure for how you do that right here. You can print this off. You can put these instructions off to print your checks. Okay. Already. Okay with that. Okay. So what we've done so far is we created an invoice. We had some expenses. We printed some checks. Are we showed you where to? Print shacks. Okay, let's go back up to home because I want to make sure before I get too far gone here that I look at it, make sure I've looked at all these. Well, I'm gonna doom or on these down the vertical. But I want to make sure that I've got stuff across the horizontal covered here budgeting. We've talked about budget a couple times. You'll see that arrow. It says you need the upgraded version of QuickBooks online to create budgets. But that is out there. If you want to use the updated version just to make sure I touch on everything here, actions at all. Let me go back to that. Actually, Christine, could you say that on? I'll get back to that. Just remind me that in a minute. Here again, if there may be situations where you have to export data out of QuickBooks, it gives you instructions on how to do that. You may have to export data. You can export it into quick into excel very easily. QuickBooks is easy to export. Two excel if you want to do that. Okay. Budging we talked about Yes, men. How can QuickBooks help you if you get out of it? Okay. Let's talk about auto. Excuse me. That's a good question. Like a tax autumn. You mean right? Okay. There are two groups of people who are both educated and also just to a certain extent obligated to represent you if you have an audit. So CPS certified public accountants at another group of people called enrolled agents enrolled agents pass an exam to become tax preparers to a certain extent, and again, you need to check with the C P A or enrolled agent yourself. These people have an obligation to represent you if you're audited on a return that they prepared. Now let's imagine that image photography if you look at their income statement, which is what they're gonna look at because it's all about the prophet of the business that they're auditing has revenue expenses. QuickBooks is going to show those numbers. So you let's say it's an audit of your 2013 taxes. So you go into QuickBooks reports, profit and loss, and you would essentially print off for the entire year. You can see in the drop down you could do. This year, you print off your profit and loss. Now here's the thing that ISMM or and I'm gonna look a QuickBooks here, here's the thing that's more your responsibility than the accounts. Responsibility and your responsibility is to be ableto have the documentation to prove not so much the income but to prove that these expenses are legitimate. So you need to keep all these receipts on file essentially, because obviously what a tax audit is about is your income too low? Which means your expenses are too high. So they're gonna look at these expense numbers. They're more concerned about expenses being too low than they are about you understating your income. They're more about expenses. However, let me back up. So for expenses, you need to keep the receipts, the depreciation. I would check with the account and make sure you're using the correct number of years. I keep my receipts from my insurance premiums that I pay. You're also gonna have your checkbook. This is another reason to reconcile your bank account so you're on top of. So if you need to, you can handle your bank statement, which is all business and not personal, and go through it and say, Here is each one of those transactions that you see in QuickBooks and the to agree on sales. You can take each the sales that make up your total sales Here. In this case, it's 7 20 you say Here's all the invoices. And if you look at my checking account, here's all the deposits and now you essentially proven your income. I mean, you've proven your income and expense, which is you guessed it. You down to your profit. Is that OK? OK, okay. Continuing across the top just to make sure I caught everything. I'm going to reconcile in a minute again. When I go to create the plus button at the top. I'm only getting initially for Ah, four things. Let's create an estimate. We talked about estimates several times. All right, let's create an estimate again. This relates to the job costing that I talked about earlier today. So it's an estimate for Riverside. There's their address, the date of the estimate. You could have an expiration date, which essentially says it's been so long since I did the estimate. The numbers are no longer valid. You could have that. I'm gonna keep it really simple. I'm going to say that the thing I'm estimating, his event photography estimate four July opening. So you're gonna shoot pictures for their for their, uh, reopening of the store? Yes. So can would you put the estimate together with the contract or you sending these things out separate together. How would that work? Um, as long as the estimate that you created put quickbooks has enough detail to meet your needs, that is, It has enough lines on it. It has the amounts on it. You could just send the QuickBooks if you wanted to. Yeah, so I'm gonna say the project. $700. So what I've done is I created an estimate. Four Riverside. Here's the billing address. The date of the estimate. The fact that what I'm doing is event photography and the description of what I'm proposing to do and the total estimate. If I click out of it, you see the $700 fills again. You could have a memo section on here now. You could also have the choices you save and send. I put a fictional email address it here, So if I said save and send, it would jump over to the web and send it. I'm gonna hit. Save and close estimate 101 saved. There's my reminder. If I click on the home button and I go to the circle here for my recent transactions, I see the estimate here that I did that transaction. So actually did what I wanted to do. Okay, now we just did. There is. We created an estimate. What if I just click on create again? I'm on the X create estimate again. It comes up with estimate. Just the template. In other words, it does not go get that estimate on a list of those estimates I already created. So again, one more time. Estimate Create estimate. Now, let's go back to transactions. Sales. And what I'm trying to get to is I'd like to take that estimate and create an invoice with it, which is very common if you look under sales transactions. What you see is that it lets both estimates and invoices you see that I have the two invoices have already created. And then I have an estimate here, Okay? And it says status pending, Which means I haven't even invoiced the client yet. So look at the status to keep this straight pending means I haven't invoiced open means I've envoys them, and they haven't paid me and finally paid means they've paid me, see the difference. So I'm gonna click on this estimate and I'm gonna say start invoice. The great thing about this is all the estimate data flipped right over into an invoice. So now all I really have to change. Assuming that all the numbers stayed the same. That the amount stayed the same was to change the description, too. For example, July opening invoice. So I've taken an estimate. I'm now creating an invoice. Okay, You'll also see up here. It says one linked transaction because the estimate is linked to the invoice. So I'm gonna hit. Is there any questions on that? I'm gonna have to save and close. So look what happened. The estimate is now closed because I used it to create an invoice, which is now invoice number 1003. The the estimate closed. The invoice has now been created. You'll also see across the top under sales transactions. There are no estimates existing anymore where it says unbilled zero estimates and $0. This is really handy because it shows you your unbilled, which would be the dollar amount of your estimates. Unpaid people. I've invoices haven't paid me who's paid me within the last 30 days. Yes. Later used that estimate. Just copy and paste it. I believe you could go out and get old estimates. Yeah, let's click on it. Yeah, you can. And you could. Basically, there is a way to do that. Yes, the saving knew you do. Saving new. Try changing the Yeah, The name. Well, I think in what you're getting at is you want the same estimate for the same clients for a different climate were different. Client, maybe. Oh, use the template. Okay, Riverside. Let's say it's still event photography, but this time it's an estimate for, um, Spring Party. I can change the amount. Pardon says that your invoices closed, so you might Well, here's what I'm gonna Here's what do Candace says? Well, it still it still says, Say that again. I'm sorry. It's still saying that your invoices clothes like you're editing the original document, right? Let me see what? Let's see what happens when I hit saving when I hit save and new. Your transaction is edited his link to others. So I guess a long story short. Renee. It's probably better to create a new invoice, a new estimate, because you'll see that all it takes is filling in a client the billing address feels automatically picking the product or service event photography. So it's not too much work to go in there and create anyone from scratch now on more, By the way, on more sophisticated versions of QuickBooks, you can put your logo on there. I mean, you're gonna make it look really nice. I know you guys are in creative fields. You could make it look a lot better.

Class Materials

bonus material with purchase

Ken Boyd Keynote.pdf