QuickBooks Online Contractors Reduction Of Billable Expenses

[@worldwidequickbooks]

Hello to all my contractor friends using QuickBooks online! This QuickBooks Online training session teaches how to change the settings in your account so that instead of categorizing billable expenses as separate income, you can instead make them a reduction of expenses. You would set this up in the settings window and it will change the way your “profit and loss by customer” report would behave. I thank you all and hope that you will click “like” and “subscribe.

[@mdfaisal593]

Very effective

[@worldwidequickbooks]

thank you

[@sofiuddin7085]

Nice

[@worldwidequickbooks]

Thanks

[@positivepath754]

which method will be the best way to track the billable expense?

[@worldwidequickbooks]

Thank you for asking me but that's completely a matter of opinion and that would be different from company to company depending on what they would need especially in the way of reporting Mark

[@ScoobyDoo-rm8xl]

great work sir. But under this method, when we invoice customer more than what we paid. expense might become negative. Any solution under this method?

[@worldwidequickbooks]

Yes 100% In a case where you are billing for MORE than what you paid, you must "mark-up" the expenses. that the proepr way to record it. If you click in the top-right corner of the video, you will get to the link for the full playlist. Look in the "account settings" window where the videos show, you can look for the option to "mark-up" billable expenses. Or, you could change this method to "increasing income instead of reducung expenses. A 3rd option is to bill separatly for the mark-up. You could make a separtate item on the itmes list for this. Please let me know what option you tried and I will do my best to help you. -Mark

[@ScoobyDoo-rm8xl]

@@worldwidequickbooks Sir, I am student and watching your videos for learning purpose. I have watched all videos of you about methods which you mention. Sir, I think the third option that you gave about making separate item of mark up in items list would not be efficient as client would see that we are charging extra.

[@worldwidequickbooks]

Yes, that is true. Try the mark up option in the settings window. -Mark

[@TobyMiller1970]

I buy QBO for my bookkeeping client and I pass the entire discount to him. I don't mark it up at all. I created the expense and I checked the "Billable" field and assigned it to the client. I then created the invoice and added that expense to the invoice that showed up in "the drawer". I don't want this to increase my income or expenses, since I am not marking it up. Are the following steps necessary? Intuit customer service said that I need to create 2 new accounts in the Chart of Accounts (Billable Expense Income & Billable Expense). They also said that I needed to add a Product and Service and put a check mark next to "I sell this product/service to my customers." and under "Income Account" choose "Billable Expense Income". They also said that I should put a check mark next to the "I purchase this product/service from a vendor." and then choose "Billable Expense". Is that overkill or is it necessary to do all of those steps that they recommended?

[@worldwidequickbooks]

Thank you so much for asking because I have the perfect video for you This video shows every aspect of reimbursable and billable expenses using every possible option and doing it in every possible way kzbin.info/www/bejne/jYK2hJ-ebsh_o6c Watch the video in proper order and you will see how easy it is to mark up and build your clients for anything It was made specifically to show every possible way it could be done but in a clear and organized way and it's the middle part of the main QuickBooks Online for contractors video that has been updated and it's an entire course if you would like the link let me know

[@TobyMiller1970]

@@worldwidequickbooks, thank you for responding and providing the video link. I am watching it now. Really appreciate your help!

[@michaelpetit6011]

My Profit and Loss by Customer are not showing the same amounts as yours after I add the billable expense. Starting around 4:36, in your Profit and Loss it shows both Southwoods Rd. and Total Kirshbaum at $2995, Total Income $3325 and Total Expenses at $1800; my Profit and Loss stays at $2095, $2425 and $900. After the adding the invoice, my numbers equal the $2995, $3325, but my Total Expenses stays at $900. I am obviously doing something incorrect to be missing $900 in all of the columns, could you please explain what I am doing incorrectly? Thank you

[@worldwidequickbooks]

Wow I really appreciate you being so devoted to the learning and the using of my videos to help you. I'm glad people are getting free help in free knowledge but I must tell you I cannot help you with your specific numbers if I am not next to you see exactly what you put into the computer. I do teach just part of the playlist course how people can find it fix their own mistakes using the techniques that I show. That's the best I can do for you because I have thousands of people who are using my videos and I don't have the numbers memorized after each video. When I get back in front of the computer I will give you links in this comment section 2 videos I made that will teach you how to find and fix mistakes. That's the best I can do without a private tutoring session and I am available for private tutoring in life Consulting but it is much more expensive than what you're paying now on KZbin. I'll have the links for you this afternoon and I think you're doing a great job of self teaching and keep up the good work. Remember you don't have to match numbers in order to just watch the video and learn the idea so that you can apply it to your own situation Mark

[@worldwidequickbooks]

Here are some videos that will help you. kzbin.info/www/bejne/jZrHZZh_lqaroLc kzbin.info/www/bejne/h6fdgaGwfNFqj6M This playlist is all about finding and fixing. It starts with bankrec but the videos at the end talk about making records correct. You can start at the end of the playlist for learning how to find and fix. kzbin.info/www/bejne/qIezfoytbZmIl6c I hope they help you and I hope you will "like" and subscribe. -Mark