Recording all of your business related expenses is one of the most important steps in the accounting process. Whether your business is small, large or anywhere in between, chances are you’ll have expenses to account for. Properly recording these expenses will help you identify exactly how much net profit your business is receiving. Of course, it will also prove to be helpful when the upcoming tax season rolls around. To learn more about the steps to entering expense bills into Quickbooks, keep reading.
When you are ready to enter expense bills, fire up your Quickbooks account and log in as either the administrator or a user with the necessary privileges. Click on the “Vendor Menu” button and select “Enter Bills.” You should now see a drop-down menu with all of your account’s vendors listed. Select the vendor associated with your expense bill. If the vendor is new and not yet added to your account, click the button to enter a new one.
With the appropriate vendor selected, you can now attach a new expense bill. Double check the date of the bill to ensure it’s correct. Taking an extra minute or two to enter the appropriate bill date will make the process easier. In addition, it will also let you or other people working on the Quickbooks account know when the bill is overdue.
As long as you followed the steps previously mentioned, you should now see an “Amount Due” field. Enter in the amount of the expense here and double check the date before continuing.
Depending on what type of expense bill you are setting up, you may wish to add a memo or terms. For most basic expense bills, this isn’t necessary. However, you can add a memo as a reminder for specific transactions and deals. When you are dealing with hundreds or even thousands of expense bills, memos will prove to be highly useful.
Lastly, you will need to fill the account field with all of the appropriate information. Click on the “Expense” tab and select the expense that you previously entered. Make sure the expense is tied to the correct account and click “Save.” If you need to attach the expense bill to multiple accounts, click in another account field and manually enter it here. Your expense bill should now be set up. You can go back and view it from the Quickbooks home screen to ensure it’s attached correctly.