How to Use QuickBooks? | Complete Guide
Business and accounting go hand in hand and it is a basic principle to maintain financial books accurately. This is exactly why you must learn use of QuickBooks.
QuickBooks is accounting software that was launched in 1993 that does multiple accounting jobs. It also helps businesses to stay organized despite a large volume of data. Businesses can use QuickBooks for all of their financial tracking and recording requirements. You can buy the QuickBooks product that is right for your business and customize it as per your business needs before you start using it. You can contact QuickBooks Support to get help from experts to download, install, and set up QuickBooks.
A Brief Guide about the Use of Quickbooks?
If you don’t know then you are at the right place. Follow the below guidelines-
Firstly you have to install QuickBooks on your laptop. If you have to use it on one laptop then select the option ‘I’ll be using QuickBooks on this computer. In case other workstations will access the files, select the accurate choice for your business to use network sharing. After that, you have to specify the folder where the program needs to be set up.
Keep the financial papers handy
Once you have installed QuickBooks, then you are supposed to collect financial papers which are vital for setting up QuickBooks files.
Setup Company File
Click on the icon on the home screen to launch QB. You can refer to the technique of setting up a company file via ‘EasyStep Interview wizard’.
Add employees for seamless management
In order to set up the account, click on ‘Employee Center’ for creating employee accounts. You have to choose the option of ‘New Employee’ for adding the details of the employee. Click on the ‘Transaction’ for adding paychecks and other connections. Then finally click on ‘Enter Time’.
Create customer accounts
Once you are done with the setup, go to ‘Customer Center’ and then click on ‘New Customer and job’ for adding a new source of income. After this, click on ‘New Transaction’ for adding transactions like estimates, invoices, and payments.
Download the reports
You can also generate reports of the financial areas of your business like accounts receivable report and Profit and Loss statements.
You will know to use QuickBooks easily after these steps.
Top 5 features of QuickBooks
1. Keeps a track of bills and expenses
QuickBooks tracks your bills and expenses by connecting your bank and credit card accounts to QuickBooks so that all of your expenses are copied and categorized. If you need to track a check or cash transaction, you can record it directly without spending a lot of time if you know to use QuickBooks. It also helps with bill payments when they’re due so you don’t have to worry about last-minute payments or any penalty charges.
2. It helps to manage sales and income
You can manage sales and income in QuickBooks by generating statements to record sales by the client. Always stay a step ahead by knowing your accounts receivable balance with the help of your Accounts Receivable Aging Report which contains the details of both current and past due invoices.
3. Access to key Reporting Insights
As all the cash inflow and outflow activities are managed in QuickBooks, it grants you access to various reports that provide valuable insights into your business and its financial status. All of the reports are pre-made in QuickBooks and can be run in just a few clicks. Reports are updated in real-time as you enter and save transactions so you don’t have to save them manually. If you know QuickBooks use, You will be able to check it in no time.
This can be valuable if you need to provide financials to a potential investor or to your creditor for a line of credit. Apart from the Accounts Receivable Report and the Accounts Payable Report, you can run the three key financial reports you need in order to evaluate the inclusive status of your business. They are-
- Profit and Loss Report– You can have access to the profit and loss report in a couple of minutes. It will display how cost-effective your business is by compiling its income and deducting its expenses. The report shows you the loss for a specific time period such as a week, a quarter, or a month.
- Balance Sheet Report– It shows the assets, liabilities, and equity for a business at a specific time. You can create a balance sheet report in QuickBooks Online within no time.
- Statement of Cash Flows– You can generate a Statement of Cash Flows in QuickBooks in a couple of minutes. This report will show all of the activities that affect the operating, investing, and financing cash inflow and cash outflow.
4. Keep a track of your Inventory
If you need to maintain a record of the inventory you sell and their on-hand amounts as well as unit costs then don’t worry about it. While keeping track of inventory is possible in a spreadsheet, it can be time-consuming and prone to blunders. If you know then you can spontaneously track and update as you enter transactions.
6. No tension of the payroll
Mistakes made in calculating paychecks can result in abrupt penalties and unhappy employees. Payroll is an area that you don’t want to mess up by trying to do it yourself. QuickBooks has its own payroll task that can automatically calculate and run payroll as often as you require it.
The best part about using QuickBooks payroll is that it is combined with QuickBooks so your financial statements are always up to date. You are required to purchase a QuickBooks payroll subscription so that you have access to the most recent payroll tax tables used when calculating employee and employer payroll taxes.
Running your payroll through QuickBooks has a number of benefits. They are-
- Pay employees with direct deposit
- Compute federal and state payroll taxes
- Have QuickBooks fill in the payroll tax forms on your behalf
- E-pay directly from QuickBooks
This should be able to help you with using QuickBooks. However, if you still have an issue with using QuickBooks then you can get in touch with QuickBooks support and all your queries will be solved.