Bookkeeping Advice

Fixing Misapplied Customer Payments in QuickBooks

Every now and then a payment from a customer will be completely processed through QuickBooks before you discover that the payment was applied to the wrong Invoice (or even the wrong customer).  You will apply the payment, deposit it in the bank, and reconcile the payment on your bank statement.  Then your customer calls and

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Why You Need to Backup Your QuickBooks File

Having an up-to-date backup of your QuickBooks files (and any other important financial files) is crucial to maintaining your business books.  Technology fails us without warning, and sometimes entire systems go down and must be replaced.  If you do not have a current backup when this happens, you will spend precious time and considerable effort

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Reconciling vs. Clearing the Transactions

It is good practice to reconcile to ending statement balances as often as possible for bank, credit card, line of credit, petty cash, and even some asset and liability accounts.  Comparing to these third-party “reality” statements is one of the best ways to verify that the numbers in your QuickBooks file are a true reflection

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Shortcut Icons in QuickBooks Desktop

Did you know that you can customize your Icon Bar in QuickBooks?  A useful Icon Bar will include icons for the actions that you will use consistently.  QuickBooks gives you an Icon Bar filled with items such as Feedback, Remind, User Licenses, App Center, Snapshots, etc.  Some of the more helpful icons may be Customers,

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Using the Undeposited Funds Account in QuickBooks

The Undeposited Funds Account is a place to receive funds and hold them until they are physically deposited at the bank.  When you receive a payment from a customer and apply it either to an Invoice or a Sales Receipt, it is placed in the Undeposited Funds Account until you make the deposit and tell

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Inventory Advice in QuickBooks Desktop

My clients often ask me for help understanding and handling the Inventory process in QuickBooks Desktop.  I always assure them that Inventory in QuickBooks is not difficult to maintain if you are willing to take the time to learn the how’s and why’s behind the QuickBooks basic Inventory handling process. (Please note that QuickBooks BASIC

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Finding Bank Reconciliation Errors

Reconciling your accounts can sometimes prove to be a challenging task.  There are a few ways to help you find errors depending on your situation. What if my beginning balance does not match the beginning balance on my statement? Run a Reconciliation Discrepancy report under Reports>Banking, and look at any transactions that appear on the

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Simple Texas Payroll Setup Checklist for QuickBooks Enhanced

Getting setup for payroll with your QuickBooks Enhanced Payroll subscription is quick and easy if you take a few steps to have the information you need handy. You must have an EIN for your business in order to set up payroll.  Assuming you already have an EIN, here is a list of what you need

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Bookkeeping for Consignments

There are different methods for handling consignments in various bookkeeping systems.  In QuickBooks, one very efficient way to account for consignments is to incorporate the use of Sales Orders.  Sales Orders are “non-posting” transactions, so they will not affect your financials or your Inventory on hand levels.  You can set up your QuickBooks Inventory system

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Employee & Contractor Timesheets in QuickBooks

Entering time worked for employees and contractors into QuickBooks can be accomplished using one of two options: “Use Weekly Timesheet,” or “Time/Enter Single Activity.”  The Single Activity selection will allow you to track up-to-the-minute activity.  I always recommend using 15-minute increments in time entry to make both entry and other calculations easier to do.  The

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