How Do I Enter Inventory Parts in QuickBooks

Products marked as ‘Inventory’ in QuickBooks are products you want to track the quantities of when bought or sold. When choosing this option, inventory quantities will automatically sync to Onsight when the inventory of the product is bought (added) or sold.

Inventory control and usage may become actually complex, so depending on the needs of the company, other more sophisticated inventory programs need to be utilized. The beauty of QuickBooks Desktop is that items are tied to the financial accounts, freeing the end-user from the knots of accounting.

Add inventory tracking accounts to the Chart of Accounts (COA)

Three accounts on the COA are critical for getting effective reporting and accurate financial results that many inventory items will tie to:

An Inventory Asset account

  • Tracks the current value of your inventory
  • Reports on the balance sheet
  • Is created as the first inventory item created

An Income account

  • Tracks the income from the resale of inventory items
  • Reports on the income statement

A Cost of Goods Sold – (COGS) account

  • Tracks the cost of the items sold
  • Reports on the Profit & Loss
  • QB subtracts the total cost of goods sold from the total income
  • Provides the gross profit before expenses
  • Is created as the first inventory item created

Products marked as ‘Non-Inventory’ QuickBooks in Pro are products of which the inventory is not tracked. This means that when a product is sold or added to the inventory, the product quantity available does not change nor does the inventory quantity automatically.

QuickBooks does not allow users to directly change inventory items to non-inventory items. An indirect workaround is possible to accomplish this task, however. Existing inventory items can be duplicated with a non-inventory status. This essentially creates two versions of the items. The new, non-inventory versions are used for future transactions, while the quantities of the old inventory items are set to zero and no longer used.

Backup Existing Items

Step 1

Backup the QuickBooks items before making any changes. Click the “File” menu and select “Create Copy.” Choose “Save a backup copy of your QuickBooks file.” Click “Next.” An options dialog box appears.

Step 2

Select “Local Backup” from the available options. Press “Options,” and then choose “Browse.” Select a location to hold the backup.

Step 3

Click the “Complete Verification” option. Press “OK” and then “Next.” Choose “Save it now” and “Finish.” The backup is created in the chosen location. Make a note of the folder name.

How to Set Up Inventory Items for a Small Restaurant in QuickBooks

Inventory items are any items that your restaurant tracks, buys, or sells. By setting up inventory items you can prevent the need to manually enter information each time you create a transaction How Do I Enter Inventory Parts in QuickBooks. When you need to enter a new bill into the register, you can select one of your pre-configured items and have the default information filled in for that item. Once you have set up your items, all you need to do is enter the total cost for the item and update any customer, vendor, or custom fields.

How to Post Items Out on Consignment on QuickBooks

Posting items on consignments require some initial setup in QuickBooks. Before you can sell your consignment items, you need to create your Consignment item or items and a Consignment template. If you have a high volume of sales, you should create a single Non-Inventory Part to track your consignment sales.

How to Record Inventory in Journal Entries on QuickBooks

The traditional way to record inventory in QuickBooks involves accessing the various related accounts in your Banking or Vendors section, depending on the manner in which you are receiving inventory. Instead of switching between sections and accounts within QuickBooks, set up an asset account to track inventory. Then, you can use the Make QuickBooks Journal Entries window to record inventory into a central list that also provides you with your total inventory value. Journal entries are ideal if your company doesn’t track large amounts of inventory.

Get Technical Support:

How to Setup Inventory and Non-Inventory Parts in QuickBooks such as those that are specially ordered or drop-shipped to your customer. To create a new Non-Inventory Part item in QuickBooks Desktop Pro, open the “Item List” window. How Do I Enter Inventory Parts in QuickBooks, track what you receive from vendors and what’s still on order. An inventory item is a product that is purchased for resale and is tracked in Stock and on the Balance Sheet.

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