 QuickBooks Online 2023. Bill for hourly services of staff, enter billable time. Get ready to start moving on up with QuickBooks Online. Here we are in our Get Great Guitars practice file. We started up in a prior presentation using the 30-day free trial. We also have opened the Free QuickBooks Online sample company. If you want the to open up to support accounting instruction by clicking the link below, I'm giving you a free membership to all of the content on our website broken out by category, further broken out by course, each course then organized in a logical, reasonable fashion, making it much more easy to find what you need than can be done on a YouTube page. We also include added resources, such as Excel practice problems, PDF files, and more like QuickBooks backup files when applicable. So once again, click the link below for a free month membership to our website and all the content on it. Same time, we suggest using the incognito window or another browser. If you want to open the incognito window using Google Chrome, you can select the three dots up top, incognito window, type in the search engine, QuickBooks Online, test drive. We're gonna use the sample company to compare the difference between the accounting view, the view get great guitars is in and the business view, the view the sample company is in. You can switch between the two by going to the cog up top and change the view down below. Let's open up or duplicate some tabs to put reports in like we do every time. Right click in the tab up top to duplicate it. Right click in the tab up top to duplicate it. Going back to the tab to the middle and down to the reports on the left hand side. We want to be opening up the favorite, one of the faves that being the balance sheet. Where do you find that on the business view, those reports you might ask. Even if you don't, I'll tell you anyways, just because it might still be something interesting. It's over here in the business overview and then the reports. All right, back to get great guitars tab to the right. We're gonna be going down to the reports on the left and open up this time, the P to the L, the profit to the loss, close up the hand boogie and change that range. We're going from 01, 01, 232, 02, 28, 02, 28, 23. And then we'll hit the dropdown so we can change it to the months. And so we can see the side by side of Jan, Feb, and the tote. And then we're gonna tab to the left, close up the boogie, scroll up and change that range again, 01, 01, 232, 02, 28, 23, tab, run it. That's the set of process we do every time. Now we're gonna be entering some billable time. We did a similar process in the first month. Let's just give a quick recap of it in our flow chart over here. So in the flow chart, we can enter our time sheets. Now note, this might be something most likely done either to use it to generate payroll or we're gonna use it to bill to our clients or possibly both. If we have a job cost kind of system like an accounting firm or a law firm often does, then we might have partners and then you've got the staff and then the staff basically works for the partners and you're gonna have to basically count the time in some way so that you can then use that time to create the invoices on a periodic basis weekly, bi-weekly or monthly. So as we enter the time, we might be doing so so that we can process the payroll and have the number of hours to process the payroll but our main focus here is entering the time to look at the invoices to then create a bill as if we're a bookkeeping or law type of firm type of situation. If we're trying to use it to enter the payroll time that's usually actually kind of an easier thing to do because we just need to track the actual hours if it's an hourly rate. We might do that within QuickBooks. We might do that outside of QuickBooks. The reason it's a little bit more complex to track it and then invoice it is because you also need to track what they worked on. In other words, if you have a staff's kind of situation the question is, am I just gonna say, well this person worked on this particular client and bill the client for just the time that they worked or am I gonna try to bill out a different rate based on what they actually did? Bookkeeping versus taxes or something like that or am I just gonna have a rate based on that individual who worked on it? So those are gonna be some of the items to keep in mind. I'm gonna close this back up, go to the first tab. Now remember when you enter the time there's a couple different items that you can consider. There's a time tab over here and if you go into this you can set up and I won't go into this again because we talked about it in the first month but access your premium time tracking and this will help you track your time for employees much more in depthfully. You can get like notifications on where your employee is even and whether they're logged in and you can actually kind of check on their location and stuff. So I'm not gonna get into this in detail but you can look into it more here and there's a little presentation for it if that's an interesting component. What we're gonna do is try to just enter the time into the system so that we can then use it to create the invoice. Also just note that if you go into your employee's tab or the payroll on the left hand side and then you were gonna go into an individual like Hamilton here. You've got your items up here which is your quick time so you can send them an invite if you wanted to set that up and your workforce information to send them an invite here to kind of set that up. So we're gonna be entering the time manually on our end but if you can have them do it on their side and log into QuickBooks specifically for that purpose that's the system that you can look into as well. Okay, so we're gonna be imagining we've got the time that we're gonna enter into the system. We're gonna go into the plus button, employee ease, we wanna enter the weekly time sheet so we can do a single time. I'm gonna go into the weekly time sheet. Okay, so we see what we did last time. For Adam, I'm gonna keep it on Adam but I'm gonna change the range to the end of the current period I'm working on. So I'm gonna say it's the last week in February. So I'd like the whole week in there so I'm gonna be picking 219 to 225 for our example problem purposes and then I'm just gonna make up a customer up here this time, last time we entered it into a job or a project to test those concepts out. This time I'm just gonna choose a customer and I'm gonna make a new customer as we go. Customer one, very, you're just getting lazy now over here. Customer one, really? You can't even come up with a name. Yes, customer one, it's completely generic. So we're gonna say there it is and then choose the service that was worked on. So this is where we actually get to pick the inventory items. So we can choose Adam Hamilton time which we set up an inventory, an item specifically for Hamilton's time or we can choose an inventory item based on what they worked on. So if we were having Adam actually fill out their time sheet we would want them in some way shape or form possibly with the use of the items to tell us what they did. And then the question is, are we gonna build a client based on what they did or just basically a generic time that Adam spent on the project? A rate based on Adam's time or rate based on what Adam did? Okay, so then I'm gonna change it here to 75 though for our practice problem and I think that should pull over fine. It's not gonna be a taxable item. So that should be good. Select the pay item and so no, I'm just gonna keep that blank because I'm not gonna pull it over to the payroll because I don't need it in the payroll. I'm just doing it for the billable stuff. And so I'm gonna say this is two hours here and then on the others and then another one. So if Adam worked just was just filling out the time for payroll and wasn't billing the client then we wouldn't need the customer or the item and they could just put everything on one line for the whole week. Or if they worked on one client for the whole week and we have the same item for that client then they can put multiple days the whole week on one line. But if there's another client that was worked on or a different item for that client then that's when we have to make another line. And let's just put in the description actually here I'm just gonna put guitar lessons. Guitar lessons. So then that'll pull up in the description. So then I'm gonna say this one is gonna be for customer two. So we're billing out our employees kind of like they're doing guitar lessons in a similar fashion as you might do with a staff at a firm, a law firm or CPA or accounting firm. So I'm gonna say save it. And then we're gonna say that this is gonna be Adam's time again. Do you want to replace your description? No, keep the description. And I'm gonna change the time just to 75 for this problem. And then, okay so the hours I'm gonna put up here for the first one I'm actually gonna put that they worked Monday on that and then Wednesday. So I'll put Monday and Wednesday for customer number one. And then down here I'm gonna say it was Tuesday and Thursday they did the guitar lessons for customer number two. So that means that we had the billable items that we're gonna invoice later to customer one should populate for the guitar lessons driven by the time for Adam here at 75 because we changed it to the 75 for the four hours total that comes up to $300 that should pull over to the billable invoice item. And then customer number two, basically the same thing for the $300. Let's do another one. I'm gonna hit the dropdown or rise up and say save and new. And I'm gonna do the same thing for our other employee. Let's do it for Erica. Erica and I'm gonna change the dropdown up top and say we're gonna do the last week that's fully in February. So the 219 to 225 that is. And then I'm just gonna do the generic customer four. Are you serious? Customer four, customer four, that's his name. So I'm gonna save it. That's what he said. What am I gonna argue with him? I'm gonna say this, this is for Erica. I don't have a time for Erica yet. So let's go ahead and add Erica's time. I'm gonna call it a service item. And I'm just gonna call it Erica. Erica billable. Rate, we'll say something like that. And then I'm gonna just put that in the description. I'm gonna say it's 115, 115. And it's gonna go into services. It's not taxable. So I'm gonna change the tax default which is making it taxable by default and say non-taxable and okay. And save it. And so then that's good. And so I'm just gonna say that she worked, did guitar lessons on, and I'll call it, I'll change the description to guitar lessons. Boom. And she did the guitar lessons on the 21st. We'll say on Monday and on Wednesday. And then she worked for customer. This, oh, that should have been customer three. Well, I'll put customer three down here. Customer can't count. You can't even count. You're an accountant. I was distracted. Customer number three. And then down here we're gonna say this is gonna be Erika billable rate. Erika billable rate. You don't need to count anymore. We've got computers to do that. I just do the other stuff. So this is gonna be on Tuesday and Thursday, we'll say. So we've got a similar kind of process for it. And these of course should be billable, billable at the 215. Okay, so now they're billable. So that comes out to the 460 that we can charge out to customer number three and four. All right, let's save it and close it. Save and close. Now we're not gonna record the invoices now, but let's just check out what would happen. I could open an invoice and when I'm going to my billing process and I could say, okay, I need to run one for customer number one, for example. And then we have the information pulling in. So I might take this information from the time sheets and then turn around and invoice them. So that's one method I can do. I'm gonna say, I'm not gonna record it. Do you wanna leave without saving? I do. Wait, I do wanna leave without saving. And then I'm gonna go down to the sales area to look at my customers. And just to note that within the customers, you've got this item here that says unbilled activity. So you can sort that way and that's gonna give you all the information that has this unbilled stuff in it. By the way, if you're in the bookkeeping view, then customers are located under the get paid and paid area and then customers. So that's a pretty neat feature because then you can go into here and you've got those, there's the time. So the time hasn't yet done anything to the financial statements, no impact on the balance sheet and the income statement, but it's ready for us to then link to the invoice. So this is another one of those great features that are great for internal bookkeeping, which if you used, if you learned accounting from a textbook, you might not be as familiar with, because it's not actually creating the financial statements, but it's quite useful internally. You can also run reports for the unbilled time, but I would think that the easiest way to find it would be to go into the customers here and do your search for the unbilled time and that can help you out. So if you were doing a weekly or semi-weekly or monthly billing process in a CPA firm or accounting firm, or in this case in our guitar lesson projects, we would probably gather the time sheets together and kind of check those to what has been entered into the system with our customers here and look for the items that are billable and tie that out to the time sheets and whatnot so that we could then bill them or invoice them, which we'll do in a future presentation. No change to the financial statements, so we won't need to look at the trial balance or anything this time.