How to Get the Most Out of QuickBooks (Plus 3 Timesaving Tips)

Many business owners rely on QuickBooks to help them manage their finances. But are you getting the most out of your investment in this trusted tool?

Here are a few things you can do to make sure you are taking full advantage of the power of QuickBooks.

1. Is QuickBooks a good tool for preparing business budgets? 

QuickBooks offers a budgeting tool that will allow your business to easily print reports to compare its plan to actual expenses. To enter a budget in QuickBooks, go to “Company,” select “Planning and Budgeting,” and click on “Set Up Budgets.” To begin the budget, you will select the budget year. The type of budget you will use is “Profit and Loss.” Periodically, you should review actual spending compared to the budget to make sure you are on track. To run budget reports, go to “Reports,” then “Budgets,” and then choose “Budget vs. Actual.”

2. How can I use QuickBooks on the go? 

Remote access options for QuickBooks have greatly expanded, and you can now log into your file from anywhere — a helpful option for busy professionals. Remote access methods include QuickBooks Online, desktop sharing, and QuickBooks hosting on the cloud.

3. How can I protect data in QuickBooks? 

One easy way to protect data is to set a closing-date password. Make sure to do this on a regular basis and before you send your QuickBooks file to your accountant for year-end closing. This safeguard will prevent users from accidently changing closed data periods by requiring users to enter the password before making a change and saving the transaction in QuickBooks.

4. Are there any timesaving tips for using QuickBooks? 

Download data whenever possible – Even after factoring in initial set-up time, downloading banking and credit card activity directly into QuickBooks is a huge timesaver. This step will minimize the chance of human error and will enable you to record activity faster than if you input it manually. Memorize transactions – Are you tired of entering the same transaction every month in QuickBooks? The software has the capability to memorize recurring transactions (invoices, bills, checks, etc.) and set them for automatic posts daily, weekly, monthly, quarterly and annually. Use the “Find” feature to locate transactions faster – If you’re looking for a particular invoice, using the Find feature is the most efficient way to locate it in QuickBooks. If you usually open the form and click “Previous” until the form appears on the screen, you know how tedious this process can be. The Find tool will search for almost any transaction-level data, depending on your filters.

5. How can I add depth to financial reporting?

Using class tracking in QuickBooks gives you a way to categorize and track business activity that is meaningful to your company. Assigning a class to transactions allows you to report on each class separately. You should use classes to group transactions into categories that are different from your chart of accounts.

6. Are there any ways to expand the functionality of QuickBooks without upgrading to the most expensive version?

There are many add-on products available. For example, Bill.com for QuickBooks Online enables you to receive electronic bills (or scanned paper bills) and pay vendors electronically from your desktop or mobile device. Transactions are automatically entered into QuickBooks Online, so you can have a paper-free process for paying bills. Transaction Pro Importer is another helpful add-on. This web service makes it easier to import an Excel or CSV data file into QuickBooks Online.

Lisa Kahn Grossman is an associate principal in the Entrepreneurial Services department of Kaufman Rossin. She works with entrepreneurs, high-net worth individuals, and nonprofits. She is a certified QuickBooks ProAdvisor, a licensed Certified Public Accountant in the state of Florida, and a member of both the American Institute of Certified Public Accountants and Florida Institute of Certified Public Accountants.

Read about this QuickBooks article at bizjournals.com.

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Lisa K. Grossman, CPA, is an associate principal at Kaufman Rossin, and a leader in the firm’s QuickBooks consulting practice. Lisa is a Certified Public Accountant in the state of Florida and a QuickBooks ProAdvisor. Kaufman Rossin is one of the top CPA firms in the country. Lisa can be reached at lgrossman@kaufmanrossin.com.