As an accounting office that provides tax preparation services we see some “interesting” entries in clients Quickbooks files each year.  What one client may view as a “marketing” expense an accountant may view as “meals and entertainment”.  We have seen partial month entries and months upon months without reconciliations to the accounts.  On occasion, we will receive an inquiry or request for training on the most popular business bookkeeping software available, Quickbooks.  What follows are a few examples of training we have provided for Quickbooks clients.

The most common request we receive is one where a client wants to validate some of the transactions they have entered to ensure they are correct.  With this simple example we will often sit with a client and review their account transactions.  We may make minor changes to the coding they are using or update the chart of accounts to better break out the reporting figures for their financials.  We can probably provide dozens of examples where this alone was the one Quickbooks related item we trained clients on.  The importance of a thorough chart of accounts cannot be stressed enough.  The chart of accounts allows the business to identify area’s they are spending money on, or area’s they are receiving money from.  It is a critical component of a client’s cash flow management tracking system.

Another area we often see clients requesting assistance with is invoicing.  Invoicing oftentimes requires inventory management.  We have provided assistance with businesses ranging from Daycare’s to International Automotive Equipment Manufacturers.  However, oftentimes inventory is not setup correctly which can create problems in the Quickbooks accounting software.  A client will often ignore the inventory tracking aspect just so they can send out the invoice and in turn collect the associated revenue.  Backtracking inventory is not as easy as looking at an invoice and identifying the number of units sold.  Each unit has a manufacturing or supplier cost associated with it.  At times that cost can fluctuate depending on material or supplier availability.  Backtracking supplier or manufacturer invoices will cost a business time and resources, versus entering the information at the time of receipt or order.  Another reason to enter inventory correctly at the initial receipt of items is to prevent theft from occurring within your business.  You will never have the most accurate inventory numbers if you are not tracking incoming and outgoing inventory at the time it is moving.

Payroll processing is another extremely common area where clients contact us for assistance.  While Quickbooks does offer a payroll processing module, unless you are familiar and comfortable with processing payroll it is one area you want to spend extra training time on or outsource to a professional payroll processing organization.  There is much more that goes into payroll processing than entering employee information and time reporting.  Employers are required to pull payroll taxes from employee paychecks and submit payments to taxing entities.  Employers are also required to pull garnishments for things such as child support and alimony.  There are also pre-tax items such as 401k contributions or health insurance that require an employer to pull.  Mistakes by employees attempting to process payroll can cost a business penalties and fines from taxing entities and possibly the United States Department of Labor.

All of the previous examples provide the resources that lead into our next example.  Because Quickbooks contains information from client transactions to vendor transactions to inventory management you can use that information as a one stop shop for all your businesses reporting.  Quickbooks contains pre-populated reports that cover everything from Open Invoices to the hours employees have worked, and on what tasks they have worked.  You can also create custom reports using the data within Quickbooks.  We have worked with numerous businesses where we have linked data to create reports that allow their business to track and compare employee tasks for billable clients, versus administrative tasks along with the number of days and contacts it takes to collect receivables on certain clients.

While we did not mention specific clients in these case study examples we tried to provide a collective of items that we have been hired to assist with.  Our assistance may occur within our offices or at a client’s office.  We have also provided online training to clients in a few rare cases.  If you or your business is struggling with Quickbooks we are happy to help.  Please reach out to one of our Quickbooks Certified Pro Advisors for any assistance.