 In this presentation, we will run a report that will show expenses both by nature and by function. Let's get into it with Intuitz. QuickBooks Online. Here we are in our not-for-profit company or not-for-profit organization dashboard. We're going to first start off in our Excel worksheet to see what our objective will be. In prior presentations, we have generated the statement of financial position, basically the balance sheet, and then taking a look now at the statement of activities. We took a look at that last time. We're looking at basically a component of the statement of activities. You'll recall within the statement of activities, similar to an income statement, we're going to have the revenue kind of accounts and the expense type of accounts broken out by restricted and not restricted in this report. Our goal is to have all the components necessary for reporting purposes as well as give it to people in such a way that they're not kind of overwhelmed with it. What we need then is we need the revenue, we need the expenses, we need the expenses broken out both by function, what they're used for and by nature, which is basically the normal kind of way that we expect to see them, rent, salaries, utilities, and so on and so forth. Last time, we gave a report such as this that's not too overwhelming, doesn't have both of those things in one report. And then this time now we need to add the supplemental information so that we have all the activity we need, which is basically to break out the expenses both by nature and then by function, what they're used for, which we're going to use the class feature in order to do. That means by program, which includes at our example problem, education and the community service, and then the admin or general and management in general, and then the fundraising. So now we're going to have this kind of supplemental type of report to add to that. Alright, so let's go back on over to QuickBooks and see how we would do that. Let's go on over to QuickBooks. We're going to be going down to our reports. Let's go on down to our reports. And we are then going to be opening up in the standard reports. Let's open up that old profit and loss again. We're going to open up the profit and loss report, the income statement type of report. Scrolling back up top, let's change the dates. We're going to be going for the month of January, January 1st to 013120. That's the 31st, the end of January. Running that report, closing up the old hamburger, holding down controls, scrolling up just a bit, bringing us back up to that 125. That's too far. That's 150. That's too much. So we want to be here and then I'm going to go down to the expense area. We want this broken out. We want the expenses to be broken out by what they're used for. So I'm going to go back up top and we want to say I'm going to go from totals and we're going to go to classes. So we're going to do your class tracking item again. We're going to run that report. So we'll run that report. And now we have this information broken out in that format. So now what we're really looking for generally is going to be the unrestricted items over here because you'll note that within the restricted items, we broke this out, but we really only have the income items for the restricted stuff going on up here here. And then down below, there's no expenses related to the restricted items. Why? Because really what's happening here is when something is expensed, it must first have been unrestricted and then expensed. So you'll see up top that we have this unrestricted process happening up here. So when we're tracking these basic restricted items, we're kind of looking at the income, the revenue accounts that are leading to the restrictions. And then when we expense something, we're not going to have any expenses typically that are going to be designated to these areas because what happened is we unrestricted it. When we have something that's going to be unrestricted, we have it unrestricted designated by these accounts and then the actual expenses then being recorded at some component of the unrestricted items over here. So all the expenses are over here somewhere in the unrestricted area. So therefore this report that we're concentrating in on the expenses, I'm looking at the expenses and trying to allocate those expenses out, then we don't really need the top line item of the income line items and we can condense this report down to just basically the unrestricted items because we're concentrating on the expenses. So for this report, we can use our filtering option up top. So I'm going to go to the filtering option up top. I'm going to be customizing this report. Let's going to be customized this. We're going to go down to our filters. Let's filter this thing and then we're going to go down to the classes. Let's filter by class. I'm going to select the dropdown and then I want what we want is just the unrestricted stuff. So you could select just this one. I usually select all of them that have an unrestricted in there because these are subclasses. So they should all fall into in there anyways, but I'll check them all off. So there we have that and then I'm going to run that report. And so there we have it. So now we're looking at the unrestricted items and we're concentrating down here on the expense items. Now then up top, what we have is the name of the report, which is called a profit and loss is what we opened it up to be what we really wanted the expense allocations here. So it's really an expense allocation report. So we might name it something like expenses or expense allocation. So I'm going to go back over here, we could rename it in here or we could go up top and say customize report. And then we want to go to the header and footer. So let's go to the header and footer and then say we want then the report name not to be profit and loss but expense allocation. Okay, I had to pause and use the spell check there, but I think I got it now. So I'm going to run the report. So I'm going to run the report and so there we have it. And so now we have the expense allocation here. Now it still has the income lines. We don't really need the income lines for what we want right now. We're really focusing in on the expenses. So now we can basically export this to Excel and we can do that last cleaning up, which is just basically cleaning up the income lines and then the net income is not really what we're looking for. We're looking to tie out these expense lines so that we can have as minimal data as possible. Again, you could give this report to somebody and it would be fine because it has all the information we need on it, but we're trying to trim this thing down as minimal as possible so we can give this to someone in basically chunks that won't be too overwhelming and we'll give the information in a progressive process so that decision-making can happen as easily as possible. So let's do our standard process. We're going to print this report now. I'm going to say let's print this report and then we'll export it to Excel. So I'm going to print it as we have in the past. I'm going to print it using the Qt PDF printer. So it's going to be printed as a PDF. This is one way that we can generate this report. So I'm going to say print and it's going to ask us where do we want to put it then. I'm going to put it in our QBO not-for-profit folder and then I'm going to call it the expense allocation. So expense allocation and then I'm going to save that. So let's save that here. I'm going to close this out. Now we may also want to memorize this report. So it's already in kind of that format. When I open it up for month to month, I don't have to do the reformatting of it. So I may want to save and customize and put that in there. It's going to be in our expense allocation format. So let's go ahead and save that. I won't open it back up again, but it's in that saved file within our report settings as well now. So now let's export it to Excel and add it to our Excel worksheet. So it'll be something that we can then format a little further and something that we can print out and collate all at one time if we were to print multiple copies and so that we can create one PDF file that we can give to someone with. So now we're going to go back up top and I'm going to say, all right, let's export to Excel and say we're going to export to Excel. I'm in Chrome. So it's going to be opening up over here. I'm going to open up this window. So here we have it. Here we have it. Now we have the same objective. I'm going to put this on our other report over here. We're going to be putting it on this report. I want to add another tab and put it into this report in our financial statement report. So I'm going to add another tab here and then I'm going to go back over. I'm going to copy this whole thing in the same format. I'm going to put my cursor on this little triangle so I copy the entire sheet. Then I'm going to right-click on the selected area and copy it. Then I'm going to go back to the other worksheet that we have, our financial statements where we have three tabs, balance sheets, statement of activities. Then I'm going to be in A1. You must be in A1 or you must select the entire sheet and then right-click and paste. So I'm going to right-click in here and paste the first one, just a normal paste. So there we have it. I'm going to rename the cell down here, the sheet name, which is going to be expense allocation. And there we have that. Then I usually check the layout. So I'm going to go to the page layout, see if it fits on a page. It doesn't, right? So I'm going to go back to the normal view and it doesn't fit on a page. Now we can adjust this. First thing you typically do to adjust it is change the layout. So I'm going to go back up top and say page layout. And then I'll typically make this orientation in the page setup and make it landscape. That could mess up the things that when you, you know, you staple things together, you're going to have to figure out a landscape page in the middle of it. But if you have to do that, or you could try to shrink this down to as small as you need it to be, to fit on a portrait type of form. So there we have that. Again, we could, we can then do some formatting. I'm going to go up top and remove alignment, the merged cells, remove the merged cell there. I'm going to remove the merged cell there, remove the merged cell here. And then what we really want to do is, is I don't need the income lines basically. I don't need the income side of the report. I just want the expense allocation. That's the name of our report. So I'm going to say all the income stuff don't need. I'm going to highlight from six down to 10, right click and just say I don't really want that. And then I'm going to go down to the net income. Don't need that. I'm going to right click and delete that. And, and there we have it. Now, notice we have the unrestricted as another category name that we don't really need because that's a subcategory. So I'm going to take column B. I'm going to delete column B. So I'm going to right click and just delete column B altogether. And then the total unrestricted, that's going to be the admin, the fundraising, and then the program items here. So I could say, okay, that's going to be the total unrestricted is going to be the admin, the fundraising, and then the total of the two programs because this column is totaling up these two. So I could say that and then I could copy this down. I'm going to, I'm going to auto fill this all the way down. And so I'm just going to auto fill that down. There we have that. And then this you can see in the same format here. Or I could sum up vertically equals the sum of these items. And there we have that. Now this total over here, we don't need this as a duplicate total because we're looking for the total, you know, unrestricted. So I'm going to highlight this column, right click on the selected cell. We don't really need that column. That looks good. Now, now also note that these two are the programs. So I have a subcategory of the programs and then programs here. So if I wanted to, you know, I could say this is all programs. So what I'll do is I'll go, you don't have to do this, by the way, it's just suggestions that you could do. I could say programs here. And then I'd like to format this across these cells. So I could do that by merging the cells, but I don't like to use merge cells if I don't have to. And I don't really, I can highlight those cells and right click and then format the cells. And then I want to go to the alignment tab. And then we want to say, I want to align it horizontally and then across the selection. So horizontal across the selection. And then I can say, okay. And that kind of lines it up that way. And that way I don't need this, this column altogether. So I could say, I don't need this column now. So I'm going to delete that, delete that column. And then this should be kind of bolded, it looks like, so that it's part of the title. All right. And then notice again, the totals are not pulling up here. The total program then is going to be the sum of these two. And if I was going to auto fill down there and then drag that down. So there we have that. And then I'm going to sum this back up equals the sum of these items. So we'll sum that back up. And so we have that. And we might want like a pox around this program. So I might say, maybe I, maybe to make that a little more explanatory. I could put a, I put a box around it and say those, those are all the programs, right? And then the total unrestricted here. So that's some formatting we can do. Now, if we wanted to highlight this back across the cells, I can go, okay, let's highlight these. I'm not going to merge the cell again because I don't like doing that really. I'm going to right click on it and say I'm going to format the cells. And then we'll say I want a horizontal formatting across the selection. So okay. All right. Now I've got it centered again. And that won't, that will not mess us up when we're trying to format other things as much, at least as the, the merging messes things up sometimes. It could be a little annoying. So we're going to do the same thing here. We're going to, we're going to center across the selection. We'll do it here as well. So I'm going to right click and center, center across the selection. So I'm going to format the cells. That I got to do that first. And then we can center across the selection like that. So the one down right there. Well, let me get on that one. Center across the selection. There we have it. And then if you want a little bit of space, we added this up here. We might need another row. I might select this row, right click on it and insert maybe another row so that it's not right up next to the title, something like that. So that's a little bit of formatting we can do there. Now also note that you might be able to get this on, on, on a, not have it landscape at this point. So if I go to the page layout and go to the orientation and say we want it portrait again, it's pretty close. You know, if I make this a little bit smaller, make that a little bit smaller. We're almost there. If I made some of these columns a little bit smaller, like for example, this, you know, I might want them all uniform. But if I made these columns just a little bit smaller, that made them longer. You know, there we have it fits on a page. So that now it's on portrait. All right. So now we can print this whole thing out if we, if we wanted to in this format, we can print it out one by one. We can collate it. So it's all on one thing again. So let's just check that out. If I go to the file and I say print now. So now I want to make sure to print the entire worksheet. So if I print the entire workbook, then we've got the statement of net positions. We've got the, the statement of activities. And now our expense allocation. And now I'm going to print it. Now you could print this out collated in that format already, or I'm going to print it out to the PDF printer. So I'm going to say print. And then it's going to go to the, to the PDF printer. And so it's going to ask us, where do we want it? I'm going to put it in the same folder. I'm going to overwrite what we had before. And then I'll close this back out, say save. And then I can close this out. And then I'm going to minimize this. And there's our financial statement. So there it is. And now here is our PDF file, which now has the three reports on it. So you can imagine giving this to somebody and say, here's the statement of financial position that we can give for, you know, the balance sheet on it. And then so I opened up the wrong one. Now I've reopened up the financial statement. That's the one we want, which gives the statement of financial position. And then we can have the, the statement of activities. And then the more detailed and say, okay, someone's going to ask your, we're expecting the question to be, well, how much did you spend on, you know, each of the activities, the programs versus the admin. And we're going to go, all right, here's the expense allocation, right? So that now you have the expense allocation. Here's the program information. And then here's the admin and the fundraising and the total expense allocation and the total expenses. Obviously at that 321 to 60, which should tie out to the 321 to 60 on basically the income statement or the statement of activities. So that's going to be it for now. Let's get out of here.