QuickBooks is a popular accounting application when it comes to effective inventory management. You can set up QuickBooks inventory tracking and see what’s in hand and when you need to restock. You can get accurate insights on what you buy and sell and make more informed decisions to accelerate your business growth. Moreover, you can enter non-inventory products and services and add them to your sales forms swiftly. In this post, we will discuss how to set up QuickBooks inventory tracking in intelligible steps. Let’s move further!
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How Do I Set Up Inventory Tracking In QuickBooks?
First of all, you need to learn how to turn on inventory in QuickBooks Online. Follow the below-given steps to set up QuickBooks inventory tracking:
Step 1: Turn On Inventory Tracking
Turn on inventory tracking settings by following the below-described steps:
- Launch QuickBooks Online and select Company Settings from the Settings menu.
- Now select Sales, and then further select Edit in the Products and Services section.
- Next, turn on the Show Product/Service column on sales forms.
- Also, turn on both Track quantity and price/rate and Track inventory quantity on hand.
- In the end, select Save and click Done to finish the procedure.
Step 2: Add Inventory Products
Now that you have turned on inventory tracking settings, you need to learn how to add the inventory items in QuickBooks. Follow the below-given steps to set up QuickBooks Inventory tracking:
To Add A New Product Or Service Item:
- From within the Sales menu, select the Products and services tab.
- Now select New.
- After that, you need to select Non-inventory or Service.
- Next, add a name. If you want to track SKUs, enter SKU for the product.
- Proceeding further, from the Category drop-down list, select the category that best suits your product or service.
- Checkmark the box for “I sell this product/service to my customers”. Don’t mark the box, if you don’t sell the item.
- Now add a description for the Sales information section that will be reflected in the sales forms of the customers.
- Enter a amount in the Sales price/rate field and move further to set up QuickBooks inventory tracking.
- From the Income account dropdown, select the account you want to use to track the sale. Note: if you need a different account other than the one that QuickBooks already set up for you, select + Add New from the drop-down list.
- If you want to track sales tax, select Sales tax category dropdown and then further select, Taxable – standard rate. If the item has a special tax rate, you will need to select Choose a special category and find the most suitable option.
- Select Save and Close when you are done.
Step 3: Keep Track Of What Sells
After you set all your inventory products, you have to track them when they sell. There are two ways to do it:
- Create an invoice to get paid later.
- If you are getting on spot payment, add a cash memo.
The amount on the invoice or cash memo will help QuickBooks to reduce the in-hand quantity.
Step 4: Restock Your Inventory
The next step to set up QuickBooks inventory tracking is to restock your inventory. When you can keep track of what’s selling, QuickBooks will alert you when it’s the time to restock your inventory. You can place your order from within the QuickBooks. The number of items you receive will automatically increase the quantity on hand.
Step 5: Use Reports To Check The Status Of Your Inventory
After you set up QuickBooks inventory tracking, you can access the reports to instantly see your best sellers, or what’s not selling at all. You can also track what’s on hand and the cost of goods. This inventory tracking in QuickBooks can help you to make the right decisions for the growth of your business.
Read More: How Do I Set Up Equity Accounts In QuickBooks?
Need Expert Help?
This post elaborates on how to set up and track inventory in QuickBooks. If you face any technical difficulties and need help from qualified QB professionals, dial our helpline number (855)-526-5749. It will help you to get all your related queries fixed:
- How do I Setup QuickBooks Inventory Tracking?
- How to adjust inventory in QuickBooks?
- How to categorize inventory in QuickBooks?
- How to add the inventory in QuickBooks?
- How to receive inventory in QuickBooks Online?
Set up QuickBooks inventory tracking with the utmost ease by step-by-step assistance from your dedicated expert.