QuickBooks 2009 Solutions Guide
This is the definitive, must-have reference for every business owner, entrepreneur, accountant, and bookkeeper who relies on QuickBooks 2009. Not a beginner's guide, it's a high-productivity resource for solving the problems that intermediate-to-advanced QuickBooks users encounter most often.
Author Laura Madeira is superbly qualified to write this book: she has twenty years experience training professionals on Intuit products and has been selected by
Intuit to introduce its new releases to accountants and entrepreneurs. Here, she offers real solutions for every QuickBooks accounting module, helping readers achieve their true goal for QuickBooks: a clear, up-to-date understanding of where the business stands, and where it's headed.
Thoroughly updated for QuickBooks 2009, this book brings together indispensable, start-to-finish techniques for troubleshooting QuickBooks data files and fixing QuickBooks mistakes wherever they occur. Drawing on her unsurpassed experience, Madeira offers expert advice on every facet of QuickBooks accounting: data files, banking, A/R, undeposited funds, employee advances, inventory, A/P, sales tax, payroll, reporting, sharing data
with accountants, and much more.
This book will help you :
* Quickly set up accurate charts of accounts - or improve existing ones
* Use QuickBooks reports to understand the most important trends in your business
* Correct data errors in any balance sheet account, from A/R and A/P to taxes and inventory
* How to use the New for 2009! Client Data Review feature for accountants.
* Properly review your payroll data and avoid expensive mistakes
* Efficiently share business data with your accountant
* Troubleshoot beginning balance differences, reconciliation errors, and many other problems
* Learn to use the Intuit Statement Writer tool, New for 2009!
Laura Madeira is founder of ACS, Inc., located in the greater Dallas, Texas area and an Intuit Solutions Provider that specializes in on-site and Internet-assisted accounting software implementation, set-up, training and troubleshooting. She has over twenty years of experience helping companies maintain accurate and timely accounting and financial information through one-on-one consulting, group classes, and web-based training.
Madeira currently writes technical documentation and presentations for the QuickBooks product line as a member of the Intuit Accounting Professionals Trainer/Writer Network. She has also served on Intuit's Accountant and Customer Advisory Council and was a guest speaker for the QuickBooks Developer Network. Her "QuickBooks at Year-End" document has been distributed by Intuit at several national events and is one of Intuit's most requested training and presentation documents.
Her expertise with QuickBooks and other Intuit software has been featured nationally in an Advisor Spotlight and widely-distributed promotional literature. She holds Intuit's Advanced Certified, Point of Sale Certified designations, as well as a bachelor of science in accounting from Florida Atlantic University.
Category Business | Finance
Covers QuickBooks 2009
User Level Intermediate-Advanced
Sprache
Verlagsort
Verlagsgruppe
Zielgruppe
Maße
Höhe: 178 mm
Breite: 231 mm
Dicke: 31 mm
Gewicht
ISBN-13
978-0-7897-3834-9 (9780789738349)
Copyright in bibliographic data and cover images is held by Nielsen Book Services Limited or by the publishers or by their respective licensors: all rights reserved.
Schweitzer Klassifikation
Laura Madeira is the owner of American Computer Staffing, Inc., a software sales and consulting firm located in the greater Dallas, TX area. Her affiliations with Intuit includes being a member of the Intuit Trainer/Writer Network, Advanced Certified QuickBooks ProAdvisor, Certified QuickBooks Point of Sale ProAdvisor, and Enterprise Solutions Provider. Laura has been teaching companies how to use Intuit's products beginning with Quicken in 1985 and then advancing to QuickBooks since its first version. Laura has instructed more than 10,000 individuals. She presents QuickBooks training to audiences that are comprised of accountants, consultants, and end users, representing Intuit as a select presenter for its yearly national multicity New Product Tour Launch seminars and QuickBooks Advanced Certification Training seminars. Laura continues to be a guest speaker for Intuit at national CPA trade shows. Laura has been an advocate for the QuickBooks product line for more than 15 years and has been featured in several marketing articles on Intuit, QuickBooks, and in particular, the QuickBooks Certified ProAdvisor program. In addition to the numerous speaking engagements, Laura also served on the first two Intuit Customer Advisory Councils from 2002-2005. This gave Laura an opportunity to meet Intuit executives and help influence changes in
Intuit's relationship with accountants. Laura also is a skilled technical writer and has provided Intuit with technical training and public presentation materials over the years. Her "QuickBooks at Year-End" document has been distributed by Intuit at several national events and is one of Intuit's most requested training and presentation documents. Laura resides with her husband and two teenage sons outside Dallas, Texas. She graduated from Florida Atlantic University, May 2003, with her bachelor of science, majoring in accounting. Her hobbies include photography, art (watercolor), scrapbook making, and training two Cocker Spaniel dogs. Contact Laura at info@quick-training.com and www.quick-training.com.
Introduction
How This Book Is Organized . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1
Conventions Used in This Book . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
Menu Commands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
Web Pages and Manufacturer Information . . . . . . . . . . . . . . . . . . . . . . . .4
Special Elements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4
1 Creating a New QuickBooks Data File
. . . . . . . . . . . . . . . . . . . . . . . . . . . . .5
EasyStep Interview-Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6
Select a Start Date . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11
Enter Bank Account Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13
Review Income and Expense Accounts . . . . . . . . . . . . . . . . . . . . . . . . . .14
Converting from Other Accounting Software to QuickBooks . . . . . . . . . . . .15
Converting from Quicken to QuickBooks . . . . . . . . . . . . . . . . . . . . . . . .16
Converting from Peachtree, Small Business Accounting, or
Office Accounting to QuickBooks . . . . . . . . . . . . . . . . . . . . . . . . . . . .18
Converting from QuickBooks for Windows to QuickBooks
Online Edition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20
Converting from QuickBooks for Mac to QuickBooks for Windows . . . .21
Converting from QuickBooks for Windows to QuickBooks for Mac . . . . .21
Setting Up a QuickBooks Data File for Accrual or Cash Basis Reporting . . . .22
Cash or Accrual Basis Startup Transactions: Accounts Receivable . . . . . .24
Cash or Accrual Basis Startup Transactions: Accounts Payable . . . . . . . . .29
Cash or Accrual Basis Startup Transactions: Bank Account
Statement Balance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .34
Cash or Accrual Basis Startup Transactions: Checking
Uncleared Bank Checks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35
2 Reviewing the QuickBooks Chart of Accounts . . . . . . . . . . . . . . . . . . . . .37
Understanding the Chart of Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38
Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38
Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
Cost of Goods Sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
Expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .40
Importing a Chart of Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .40
Importing from an Excel File Format . . . . . . . . . . . . . . . . . . . . . . . . . . . .40
Importing from an Intuit Interchange Format (IIF) File . . . . . . . . . . . . . .46
Preferences That Affect the Chart of Accounts . . . . . . . . . . . . . . . . . . . . . . .48
Accounts That QuickBooks Creates Automatically . . . . . . . . . . . . . . . . . . . .50
Methods to Troubleshoot and Correct Chart of Account Issues . . . . . . . . . .51
Removing Duplicated Accounts by Marking an Account Inactive . . . . . .52
Merging Duplicated Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .53
Wrong Account Type Assigned to a Chart of Accounts Listing . . . . . . . .55
Assigning or Removing a Subaccount Relationship . . . . . . . . . . . . . . . . .57
3 Reviewing and Correcting Item List Errors . . . . . . . . . . . . . . . . . . . . . . . .61
Differences Between the Chart of Accounts, Items, Classes, and Customer Types . . .62
Chart of Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .62
Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .63
Classes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .63
Customer Types . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .65
Using Item Types . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .66
Finding Item Errors in QuickBooks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .69
Reviewing Accounts Assigned to Items . . . . . . . . . . . . . . . . . . . . . . . . . .69
Item Listing Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .70
Profit & Loss Summary Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .72
Fixing Item Errors in QuickBooks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .74
Correcting One-Sided Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .74
Making an Item Inactive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .78
Merging Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .79
Creating Items as Subitems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .80
4 Easily Review Your QuickBooks Data . . . . . . . . . . . . . . . . . . . . . . . . . . . .83
Client Data Review-New for 2009! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .84
Choosing a Reporting Basis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .85
Reviewing the Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .86
Account Types . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
Prior Year Balances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
Bank Account Balance(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89
Accounts Receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89
Undeposited Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .90
Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .91
Other Current Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .92
Fixed Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .93
Accounts Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .93
Credit Cards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .94
Payroll Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .94
Sales Tax Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .95
Other Current Liabilities and Long-Term Liabilities . . . . . . . . . . . . . . . . .96
Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .96
Additional Data Reviews . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .96
Payroll Summary Total and Payroll Expense Total . . . . . . . . . . . . . . . . . .96
Sales by Item Summary Compared to Total Income . . . . . . . . . . . . . . . .97
Net Income or (Loss) Agrees with Balance Sheet . . . . . . . . . . . . . . . . . .98
Reconcile Discrepancies Account . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98
Cash Basis Balance Sheet Has Accounts Receivable or Payable . . . . . . . .98
5 Power Reports for Correcting Beginning Balance Differences . .101
How Can These Power Reports Help Me? . . . . . . . . . . . . . . . . . . . . . . . . .102
Troubleshoot Account Balances-New for QuickBooks 2009! . . . . . . . . . .103
The Working Trial Balance Window . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .103
Tracking Changes to Closed Accounting Periods . . . . . . . . . . . . . . . . . . . .105
Setting a Closing Date and Password . . . . . . . . . . . . . . . . . . . . . . . . . .106
Setting User-Specific Security . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .107
Creating the Closing Date Exception Report . . . . . . . . . . . . . . . . . . . . .109
Using the Audit Trail Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .110
Using the Credit Card Audit Trail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .111
Using the Voided/Deleted Transactions Summary or Detail Report . . . . . .114
Creating the Retained Earnings QuickReport . . . . . . . . . . . . . . . . . . . . . . .115
Using the Ctrl+Y Keyboard Shortcut . . . . . . . . . . . . . . . . . . . . . . . . . . . . .117
Running the Transaction List by Date Report . . . . . . . . . . . . . . . . . . . . . . .118
Documenting Changes Made to a Data File . . . . . . . . . . . . . . . . . . . . . . .120
6 Bank Account Balance or Reconciliation Errors . . . . . . . . .123
The Importance of Correct Bank Balances in Your QuickBooks Data . . . . .124
Reconciling a Bank Account for the First Time . . . . . . . . . . . . . . . . . . . . . .124
Verify That the Bank Account Has Not Been Reconciled . . . . . . . . . . . .125
Verifying That All Bank-Related Transactions Have Been Entered . . . . .125
Identifying All Uncleared Transactions . . . . . . . . . . . . . . . . . . . . . . . . . .127
Completing the Multiple-Year or Month Bank Reconciliation . . . . . . . .128
Troubleshooting an Incorrectly Reconciled Bank Account . . . . . . . . . . . . .130
Reviewing Uncleared Bank Transactions . . . . . . . . . . . . . . . . . . . . . . . .131
Reviewing Previous Bank Reconciliation Reports . . . . . . . . . . . . . . . . . .134
Locating Bank Account Reconciliation Discrepancies . . . . . . . . . . . . . . .135
Reviewing the Voided/Deleted Report . . . . . . . . . . . . . . . . . . . . . . . . . .136
Restarting a Previously Completed Bank Reconciliation . . . . . . . . . . . . .137
Undoing a Previous Bank Reconciliation . . . . . . . . . . . . . . . . . . . . . . . .137
Reconciling with an Adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .139
7 Reviewing and Correcting Accounts Receivable Errors . . . . . . . . . . . . .141
Accounts Receivable Forms and Workflow . . . . . . . . . . . . . . . . . . . . . . . . .142
Preferences That Affect Accounts Receivable . . . . . . . . . . . . . . . . . . . . . . .144
Sales & Customers Preferences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .145
Checking Preferences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .148
Finance Charge Preference . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .149
Jobs & Estimates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .150
Reminders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .150
Reports & Graphs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .150
Sales Tax Preference . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .153
Send Forms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .154
Spelling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .154
Time and Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .155
Reports to Review When Troubleshooting Accounts Receivable Errors . . . .157
Reconcile Balance Sheet Accounts Receivable Amount to A/R Aging Summary Total . . . . . . . . .157
Review Open Invoices Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .159
Generate a Missing Customer Invoices Report . . . . . . . . . . . . . . . . . . .160
When an Accounts Receivable Balance Appears on a Cash Basis Balance Sheet. . . . . .162
Correcting Accounts Receivable Errors . . . . . . . . . . . . . . . . . . . . . . . . . . . .165
Removing an Open Balance from a Customer Invoice . . . . . . . . . . . . .165
Correcting Customer Payments Applied to the Incorrect
Invoice, Customer, or Job . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .172
When a Credit Memo Is Applied to the Wrong Customer Invoice . . . . .176
When Deposits Were Made Without Using the Receive
Payment Form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .179
Grouping Deposited Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .182
Eliminating the Print Queue for Customer Invoices Marked to Print . .185
Unique Customer Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .186
Recording Your Accountant's Year-End Adjusting Journal Entry
to Accounts Receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .186
When a Customer Is Also a Vendor . . . . . . . . . . . . . . . . . . . . . . . . . . . .187
Recording Customer's Bounced Check . . . . . . . . . . . . . . . . . . . . . . . . .190
8 Reviewing and Correcting Errors with the Undeposited
Funds Account . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .193
The Purpose of the Undeposited Funds Account . . . . . . . . . . . . . . . . . . . .194
Preference Settings that Affect Undeposited Funds . . . . . . . . . . . . . . . . . .194
Reviewing the Balance in the Undeposited Funds Account . . . . . . . . . . . .197
Creating an Undeposited Funds Detail Report . . . . . . . . . . . . . . . . . . .197
Creating a General Ledger Report of the Undeposited
Funds Account . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .199
Reviewing the Open Invoices Report . . . . . . . . . . . . . . . . . . . . . . . . . .200
Viewing Deposits in the Bank Register . . . . . . . . . . . . . . . . . . . . . . . . .202
Viewing the Deposit Detail Report . . . . . . . . . . . . . . . . . . . . . . . . . . . .203
Fixing Errors with the Undeposited Funds Account . . . . . . . . . . . . . . . . . .205
Clear Up Undeposited Funds Account-New for QuickBooks 2009! . . .205
Removing Old Dated Payments in the Undeposited Funds Account . . .205
Reconciling Your Bank Register with the Bank Statement's Deposits . . .208
9 Handling Current Asset Accounts Correctly . . . . . . . . . . . . . . . . . . . . . .213
Defining an Other Current Asset . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .214
Reviewing and Troubleshooting the Other Current Asset Accounts . . . . . .214
Matching Other Current Asset Balances to an Outside Document . . . .215
Creating a Custom Transaction Detail Report . . . . . . . . . . . . . . . . . . .215
Reconciling Other Current Asset Accounts . . . . . . . . . . . . . . . . . . . . . .217
Troubleshooting and Creating Unique Other Current Asset
Account Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .219
Correcting Balance Errors in Your Other Current Asset Accounts . . . . . .219
Deducting Employee Loan Payments from the Employee's
Payroll Checks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .221
Recording Prepaid Expenses in QuickBooks . . . . . . . . . . . . . . . . . . . . .224
Tracking Customer Retainage in QuickBooks . . . . . . . . . . . . . . . . . . . .225
10 Reviewing and Correcting Inventory Errors . . . . . . . . . . . . . . . . . . . . . .229
Overview of the Accounting for Inventory . . . . . . . . . . . . . . . . . . . . . . . . .230
Preferences That Affect Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .232
Inventory Processes and Forms and Their Effect on Accounting . . . . . . . . .236
Reviewing and Troubleshooting Inventory Balances . . . . . . . . . . . . . . . . . .238
Perform a Physical Inventory Count . . . . . . . . . . . . . . . . . . . . . . . . . . .238
Reconciling the Inventory Valuation Summary Report
with the Balance Sheet Inventory Balance . . . . . . . . . . . . . . . . . . . .239
Reviewing the Recorded Average Cost Valuation . . . . . . . . . . . . . . . . . .242
Reviewing Aged Open Item Receipts . . . . . . . . . . . . . . . . . . . . . . . . . .243
Reviewing Aged Accounts Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . .248
Correcting Inventory Errors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .250
Creating an Inventory Quantity Adjustment . . . . . . . . . . . . . . . . . . . . .250
Creating an Inventory Value Adjustment . . . . . . . . . . . . . . . . . . . . . . . .251
How QuickBooks Handles Negative Inventory . . . . . . . . . . . . . . . . . . . . . .254
When Inventory Has an Average Cost from Prior
Purchase Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .254
When Inventory Does Not Have a Prior Average Cost . . . . . . . . . . . . .256
11 Reviewing and Correcting Accounts Payable Errors . . . . . . . . . . . . . . . .261
Accounts Payable Forms and Workflow . . . . . . . . . . . . . . . . . . . . . . . . . . .262
Accounts Payable Forms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .262
Accounts Payable Workflow . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .265
Preferences That Affect Accounts Payable . . . . . . . . . . . . . . . . . . . . . . . . .268
Accounting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .269
Bills . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .270
Checking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .271
General . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .272
Reminders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .273
Reports and Graphs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .274
Tax:1099 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .274
Reports to Review When Troubleshooting Accounts Payable Errors . . . . . .275
Reconcile Balance Sheet Report Accounts Payable
Balance to A/P Aging Summary Report Total . . . . . . . . . . . . . . . . . .276
Review the Unpaid Bills Detail Report . . . . . . . . . . . . . . . . . . . . . . . . . .278
Reviewing Aged Open Item Receipts . . . . . . . . . . . . . . . . . . . . . . . . . .279
Reviewing Item Setup . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .281
When an Accounts Payable Balance Appears on a Cash
Basis Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .283
Reviewing and Printing Year-End Vendor Tax Forms . . . . . . . . . . . . . . .287
Correcting Accounts Payable Errors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .290
When a Vendor Was Paid with a Check . . . . . . . . . . . . . . . . . . . . . . . .290
Misapplied Vendor Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .295
Removing Aged Open Item Receipts or Vendor Bills . . . . . . . . . . . . . . .296
General Journal Adjustments to Accounts Payable . . . . . . . . . . . . . . . .298
Unique Accounts Payable Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . .301
When Your Vendor Is Also Your Customer . . . . . . . . . . . . . . . . . . . . . . .301
Recording Vendor Prepayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .303
Entering Mid-Year 1099 Balances . . . . . . . . . . . . . . . . . . . . . . . . . . . . .305
Taking Discounts on Vendor Bills . . . . . . . . . . . . . . . . . . . . . . . . . . . . .306
Memorizing Recurring Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . .308
Depositing a Vendor Refund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .309
Paying and Recording a Credit Card Bill . . . . . . . . . . . . . . . . . . . . . . . .310
12 Reviewing and Correcting Sales Tax Errors . . . . . . . . . . . . . . . . . . . . . . .313
Preferences That Affect Sales Tax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .314
Sales Tax Items, Groups, and Codes . . . . . . . . . . . . . . . . . . . . . . . . . . . . .318
Creating and Using Sales Tax Items . . . . . . . . . . . . . . . . . . . . . . . . . . .318
Creating and Using Sales Tax Group Items . . . . . . . . . . . . . . . . . . . . . .319
Creating and Using Sales Tax Codes . . . . . . . . . . . . . . . . . . . . . . . . . . .320
Assigning Sales Tax Codes to Products or Services . . . . . . . . . . . . . . . . . . .322
Assigning Sales Tax Codes and Items to Customers . . . . . . . . . . . . . . . . . .323
Reports to Review When Troubleshooting Sales Tax Errors . . . . . . . . . . . . .324
Reviewing Customer Lists for Tax Code and Tax Item Assigned . . . . . .325
Reviewing the Item List for Tax Code Assigned . . . . . . . . . . . . . . . . . . .326
Reconciling Total Sales to Total Income . . . . . . . . . . . . . . . . . . . . . . . .327
Reconciling Sales Tax Liability to Balance Sheet Sales Tax Payable . . . . .329
When a Check or Bill Form Is Used to Pay Sales Tax . . . . . . . . . . . . . . .330
Properly Paying Sales Tax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .331
Paying Sales Tax Without an Adjustment . . . . . . . . . . . . . . . . . . . . . . .331
Paying Sales Tax with an Adjustment . . . . . . . . . . . . . . . . . . . . . . . . . .333
Correcting Sales Tax Errors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .335
When a Check or Bill Form Was Used to Pay the Sales Tax . . . . . . . . . .335
When the Sales Tax Liability Report Shows Past Sales Tax Due . . . . . . .337
When Total Sales Does Not Equal Total Income . . . . . . . . . . . . . . . . . .340
Unique Sales Tax Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .341
Tracking and Collecting Multiple Sales Tax Rates . . . . . . . . . . . . . . . . .341
When Your State Imposes a Maximum Sales Tax . . . . . . . . . . . . . . . . .341
Multiple Sales Tax Rates on One Invoice . . . . . . . . . . . . . . . . . . . . . . . .343
Issuing Credit Memos When Sales Tax Should Not
Have Been Charged . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .345
13 Reviewing and Correcting the Opening Balance Equity Account . . . . .347
Purpose of the Opening Bal Equity Account . . . . . . . . . . . . . . . . . . . . . . .348
Transactions in the Opening Bal Equity Account . . . . . . . . . . . . . . . . . . . .348
Bank Statement Ending Balance Entered in the EasyStep Interview . . . .350
Opening Balance in the Add New Account Dialog . . . . . . . . . . . . . . . .351
Entering a Total Value for a New Inventory Item . . . . . . . . . . . . . . . . . .354
Bank Reconciliation Adjustments (QuickBooks 2005 or Older) . . . . . . .356
Accrual Basis Startup Records . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .357
Reports to Review and Troubleshoot the Opening Bal Equity Account . . . .358
Closing Opening Bal Equity into Retained Earnings . . . . . . . . . . . . . . . . . .360
Setting a Closing Date and Password . . . . . . . . . . . . . . . . . . . . . . . . . . . .363
14 Reviewing and Correcting Payroll Errors . . . . . . . . . . . . . . . . . . . . . . . .365
Payroll Service Options . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .366
Payroll and Employees Preference . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .368
Payroll Forms and Workflow in QuickBooks . . . . . . . . . . . . . . . . . . . . . . . .370
Payroll Forms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .370
Payroll Workflow . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .371
Using the Payroll Setup . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .373
Using the Run Payroll Checkup Diagnostic Tool . . . . . . . . . . . . . . . . . . . .375
Reports to Review When Troubleshooting Payroll . . . . . . . . . . . . . . . . . . .382
Payroll Item Listing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .383
Comparing Payroll Liabilities Balances to the Balance Sheet . . . . . . . . .384
Compare Payroll Summary to Filed Payroll Returns . . . . . . . . . . . . . . . .388
Adjusting Payroll Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .389
Unique Payroll Transactions and Processes . . . . . . . . . . . . . . . . . . . . . . . . .393
Scheduled Payroll and Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .394
Deposit a Refund of Payroll Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . .395
Reprint a Lost Payroll Check . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .396
Setting Up Payroll Mid-Year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .398
Paying a Taxable Bonus . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .402
Employee Loan Payment and Repayment . . . . . . . . . . . . . . . . . . . . . . .403
Adjusting an Employee Paycheck . . . . . . . . . . . . . . . . . . . . . . . . . . . . .409
15 Sharing Data with Your Accountant or Your Client . . . . . . . . . . . . . . . . .411
Sharing QuickBooks Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .412
Benefits for the Business Owner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .412
Benefits for the Accountant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .413
QuickBooks File Types . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .413
Choosing a Method to Share Data . . . . . . . . . . . . . . . . . . . . . . . . . . . .416
Data Sharing for the Business Owner . . . . . . . . . . . . . . . . . . . . . . . . . . . .418
Reviewing Your QuickBooks Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . .420
Using the Accountant's Copy Feature . . . . . . . . . . . . . . . . . . . . . . . . . .420
What the Business Owner Can and Cannot Do . . . . . . . . . . . . . . . . . . .425
Importing Your Accountant's Changes . . . . . . . . . . . . . . . . . . . . . . . . .427
Canceling an Accountant's Copy . . . . . . . . . . . . . . . . . . . . . . . . . . . . .431
Data Sharing for the Accountant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .432
Creating an External Accountant User Type . . . . . . . . . . . . . . . . . . . . .433
Preparing Your Client for the Data Exchange . . . . . . . . . . . . . . . . . . . .434
Working with an Accountant's Copy File . . . . . . . . . . . . . . . . . . . . . . . .435
What the Accountant Cannot Do . . . . . . . . . . . . . . . . . . . . . . . . . . . . .442
Returning the Accountant's Copy Change File to the Client . . . . . . . . .443
What to Request from the Client When the Import Is Complete . . . . . .446
Converting the Accountant's Copy to a Regular Company File . . . . . . .447
16 Reporting Tips and Tricks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .449
Intuit Statement Writer-New for 2009! . . . . . . . . . . . . . . . . . . . . . . . . . .450
Benefits of Using the Intuit Statement Writer . . . . . . . . . . . . . . . . . . . .451
Functions of the Intuit Statement Writer . . . . . . . . . . . . . . . . . . . . . . . .451
How to Use the Intuit Statement Writer . . . . . . . . . . . . . . . . . . . . . . . .456
Creating Supporting Documents . . . . . . . . . . . . . . . . . . . . . . . . . . . . .472
Company Snapshot-New for 2009! . . . . . . . . . . . . . . . . . . . . . . . . . . . . .478
Income and Expense Trend Graph . . . . . . . . . . . . . . . . . . . . . . . . . . . .479
Reminders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .480
Account Balances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .480
Customers Who Owe Money . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .480
Vendors to Pay . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .481
Defaulting the Company Snapshot as Home Page . . . . . . . . . . . . . . . .481
Using the Report Center . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .482
Reporting Preferences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .484
My Preferences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .485
Company Preferences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .485
Modifying Reports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .488
Modifying Options Available on the Report Window . . . . . . . . . . . . . .488
Modify Report Button . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .489
Report Groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .490
Creating Report Groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .490
Using Report Groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .491
Managing Report Groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .493
Memorized Reports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .494
Exporting and Importing Report Templates . . . . . . . . . . . . . . . . . . . . . . . .495
Exporting a Report or Report Group Template . . . . . . . . . . . . . . . . . . .495
Importing a Report or Report Group Template . . . . . . . . . . . . . . . . . . .496
Exporting Reports to a .CSV File or to Excel . . . . . . . . . . . . . . . . . . . . . . .497
Emailing Reports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .499
About Financial Statement Designer . . . . . . . . . . . . . . . . . . . . . . . . . . . . .501
17 New for 2009! Detecting and Correcting with the
Client Data Review Feature . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .503
Introduction: Features and Benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .504
Starting a Client Data Review . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .506
Customizing the Client Data Review Center . . . . . . . . . . . . . . . . . . . . . . .507
Modifying the Review Date and Basis . . . . . . . . . . . . . . . . . . . . . . . . . .509
Changing the Task Display . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .509
Hiding and Showing Task Groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . .511
Assigning Status and Notes to Review Tasks . . . . . . . . . . . . . . . . . . . . .512
Account Balances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .513
Troubleshooting Account Balances . . . . . . . . . . . . . . . . . . . . . . . . . . . .514
Opening the Working Trial Balance . . . . . . . . . . . . . . . . . . . . . . . . . . . .518
Review List Changes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .519
Chart of Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .520
Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .521
Fixed Asset Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .522
Payroll Items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .523
Customers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .524
Vendors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .524
Accounts Receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .524
Fixing Unapplied Customer Payments and Credits . . . . . . . . . . . . . . . .525
Clearing Up Undeposited Funds Account . . . . . . . . . . . . . . . . . . . . . . .527
Reviewing the AR Aging Detail Report . . . . . . . . . . . . . . . . . . . . . . . . .529
Accounts Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .531
Fixing Unapplied Vendors Payments and Credits . . . . . . . . . . . . . . . . .531
Evaluating and Correcting the 1099 Account Mapping . . . . . . . . . . . .533
Reviewing the AP Aging Detail Report . . . . . . . . . . . . . . . . . . . . . . . . .534
Sales Tax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .534
Finding Incorrectly Paid Sales Tax . . . . . . . . . . . . . . . . . . . . . . . . . . . . .535
Adjusting Sales Tax Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .537
Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .538
Adjusting Inventory Quantity/Value on Hand . . . . . . . . . . . . . . . . . . . .539
Payroll . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .542
Finding Incorrectly Paid Payroll Liabilities . . . . . . . . . . . . . . . . . . . . . . .543
Run Payroll Checkup . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .545
Reviewing Employee Default Settings . . . . . . . . . . . . . . . . . . . . . . . . . .550
Entering After-The-Fact Payroll . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .551
Bank Reconciliation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .553
Reconciling Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .553
Locating Discrepancies in Bank Reconciliation . . . . . . . . . . . . . . . . . . .554
Reviewing Missing Checks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .556
Miscellaneous . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .556
Setting the Closing Date and Password . . . . . . . . . . . . . . . . . . . . . . . .557
Reviewing Quickbooks Preferences . . . . . . . . . . . . . . . . . . . . . . . . . . . .559
Finishing a Client Data Review . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .561
Saving the Review as a PDF . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .561
Marking Review Complete . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .561
Reopening a Client Data Reviw . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .563
Reporting on Review Activity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .563
Creating an External Accountant User . . . . . . . . . . . . . . . . . . . . . . . . . . .566
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .569
