 Thank you all, and welcome to Using QuickBooks at Your Organization from TechSoup Talks. My name is Becky Ligand, and I'm an editor here at TechSoup Global. And just to give you a little bit of background quickly about TechSoup Global, we are working toward a time when every nonprofit and social benefit organization on the planet has the technology resources and knowledge they need to operate it there for full potential. And these webinars are part of how we hope to help do that. You can go ahead and visit our website at TechSoup.org to get started, learn how to get products like this quick book donation that we'll be talking about today, and find other resources like upcoming webinars, other events, articles, community forums where you can ask questions and discuss with other peers any technical issues that you're having, and just learn about all the ways that technology can help make your work easier and better and help you meet your mission. So with that, I'm going to go ahead and introduce today's speakers. First we have Mark McCallick who is a CPA and QuickBooks Pro Advisor, and he runs McCallick Accounting and Consulting and has worked for more than 25 years with nonprofits and nonprofit sector consultants and organizations to help them improve their accounting practices. So he is going to present for us on his six steps for configuring QuickBooks, which he also presented a terrific series of blog posts for us through the TechSoup blog that we'll be pointing you to for any more detail on the specific steps. And he'll go through those steps during this webinar. We'll also be joined by Woody Adams who is a QuickBooks product specialist at Intuit, the parent company that releases the QuickBooks product. And they also are the company that makes their QuickBooks donation available to eligible nonprofits and public libraries in the United States. Also joining us we'll have Cameron Jones who is the product manager here at TechSoup who works with our QuickBooks donation. And she'll go through some of the process of how to actually get that donation. And online we'll be joined by Elliott Harmon and William Coonan, both from TechSoup who will be online to help grab your questions and make sure that they are being gathered for the Q&A. And they will help answer questions throughout the webinar as well. So with that I'll go ahead and show you the agenda quickly. We're going to go through Mark's six steps for configuring QuickBooks. We'll talk about some of the features in the latest QuickBooks that just launched yesterday on TechSoup Global's site for donations. We'll talk a little bit about what the benefits are of Premiere vs. Pro. And then Cameron will go over some of the Intuit donation program here at TechSoup so that you know how to get it if you don't have it yet. We'll have about 15 minutes later on in the webinar for Q&A and then we'll cover additional resources. So with that I'll go ahead and I'd love to ask you a question just to start us off to get an idea of what people are using now. So if you can go ahead and check whatever box makes the most sense for you and let us know which version of QuickBooks are you currently using. This will help our presenters a little bit in tailoring some of their resources and information best for your needs. So I'll just wait a moment here while we get some more people answered. We've got about 250 people on the line right now. We've got about 60 more who haven't yet responded. So if you want to take a second and quickly check off which version you're using, go ahead and show you the results. And you can go ahead and keep answering and that will adjust a little bit. So you can see we've got about 46% of the folks on this call are using QuickBooks 2010. That's really helpful to know. And 15% who aren't using QuickBooks yet. So welcome to the QuickBooks newbies. This is a great webinar to help give you some ideas of how it works. And just to put a little context around it, we have tried to frame this as a webinar for people who either aren't using QuickBooks or who are using it but would really like to improve on it. Being that we have only an hour, I guess 50 minutes left at this point, we won't be able to cover everything. So keep that in mind when you're asking questions. We won't be able to get to very specific detailed questions except maybe via the chat. And we'll do our best to make sure that those questions get over to our community forums and can be answered after the fact. So with that, I'd like to go ahead and introduce Mark McCallick again who is a QuickBooks Pro Advisor and CPA and has worked with this sector for 25 years or so, and let him get started on his six steps. So Mark if you want to go ahead and walk us through your six steps, I would appreciate it. Great. Thank you Becky. And welcome everybody and thank you for attending this webinar. I want to take a moment just, I was thinking before the webinar that I've worked using TechSoup and Intuit's resources for a lot of years in the nonprofit community. So I just want to recognize them and thank them on behalf of my clients for all that they've done and especially their Intuit donation program which Cameron will be talking about in the future. So thank you for that. And then I want to thank Becky and Cameron Jones and Woody Adams from Intuit also for the co-presenting this. What I'm going to do here is as Becky said, I've written a series of four blogs for TechSoup on this subject and I don't know that there's really six steps. It's really anytime you work with an organization it's a very unique thing and there may be more steps but I tried to codify this into six steps for the purpose of this webinar and for the blogs that I wrote. So I think it's important too. Those of you, there's like 300 people on right now. I don't know how many of you have read the blogs but the blogs are very important and I want you to maybe after the fact go into TechSoup's blog and look for those because the blogs that I wrote have a lot more detail. They have resources, URLs, and short videos that you can watch that actually explain some of this a lot better. So I'm going to do my best in the 25 or 30 minutes that I have to kind of go through the 50,000 foot level and of course there's a little bit more to it than this so feel free to go back to those blogs and they should answer most of your questions. I hope and then again you have other resources at TechSoup and Intuit to answer those questions as well. So one of the first things I have to say about QuickBooks and about any software for that matter that you work with is that you have to begin with the end in mind and I wish I had made that up but that's a Stephen Covey quote from one of his books. And what I mean by that is that you first have to envision what you're trying to do before you can build it. And I think in my experience over the 25 years there's kind of a hurry after somebody buys software to go in the office and maybe speak to only one group of people and then install the software and what happens is you have kind of a myopic view or a setup of that of the software. It doesn't work for everybody and you get a little disenchanted and really it has nothing to do with software. That has to do with communication in the organization. So what I'd like to highly suggest and probably the most important thing that you can do with any software but especially with an accounting software like QuickBooks is to have a meeting with your stakeholders. And what I mean by that is have what I call an implementation meeting. And I've created an implementation questionnaire that I've used for my clients and it's nice because I'm the outsider. I really don't know anything about new clients. I have to walk in and I'd like to meet everybody and I'd like to see what their view of the organization is. It may seem silly to say that you might have different views of the same organization but when it comes to accounting and how you want to get reports out it is something that really needs to be done in a consensus. And you'd be surprised at the different versions and nuances that you get. So I would invite, have an implementation meeting and if you'd like you can use the implementation questionnaire that it's on the TechSoup blog. It's also in the resources on this webinar. It's on my website as well. You're welcome to use it. And it's a written document that's used as a centerpiece. And the first step is really to invite your treasure from the board of directors all your program managers, your accounting staff, your auditor. You may be charged for that and rightfully so but just remember that if you invite the auditor they will probably charge you for that. But they have a very good view of things and they should have a say in this. Your development director is very important and the executive director, any IT consultants or staff and basically anybody that has a stakeholder is a stakeholder in this and has a need for information from this system. They should be invited to the meeting. The result of the meeting is going to be that you're going to have a written document. You're going to sit down with everybody. You're going to go through a basic questionnaire. And that questionnaire should include and I know this sounds very basic but especially for people working in the same organization but you should reiterate what your nonprofit mission is. You should talk about what your programs are and define those. And programs throughout this webinar in my definition mean what you do, not who funds you. And that's kind of something that really has to be understood through this webinar that we have programs which is really what you do and not who funds you. What service or product do you provide and produce? What are your sources of revenue? Sources of revenue are grantors, corporate donations, individual donations, program income fees, if you charge a fee for services in some way for what you do. Foundations, special events, this is all very important. It should be codified in some way and discussed. And of course this is a moving target. You just don't sit down and unfortunately we're not going to have the same grantor forever. So I realize that these things change. So you're going to need to reinvent this and go back to this implementation questionnaire and continue to communicate after this is done. Most importantly you want to take a poll and go around the room for let's say the development director. She or he is writing grants and every one of those grants is going to have a budget section. And it's also going to have requirements that they win the grant from the funder to say every quarter we would like this kind of a report sent back to us. And so we want the development director to come and tell the accountant, hey look you're going to need these things on a quarterly basis. And we use a terminology that they don't use so be aware of that. And I need these kind of reports out of the system. And then you want to take a look at your current chart of accounts if you're already in business and see if these accounts make sense to everybody around the table. Maybe they only make sense to the executive director and the accountant because they talk about it every month. But do they really make sense to other people? And if they don't to define what that chart of accounts is and what that term means. There's several other points and again you can go back to my blog to find those, to find what else should be in your implementation questionnaire. But the bottom line is that at the end of this exercise, at the end of this meeting you should have as a result a written codified implementation plan that everybody agrees on. Basically it's going to tell you what reports are needed. It's going to tell you what your funding sources are. It's going to tell you what your programs are. And that's very important because that results, that's going to result in the raw materials you need to start the setup of QuickBooks. So it is the initial first part that has nothing to do with installing software or anything else. It has to do with sitting down and listening to each other and co-writing an implementation plan that has everybody's needs in it. I'm not trying to say that QuickBooks is going to meet every single one of those needs. I'm not saying that, but I've been very pleasantly surprised by QuickBooks and it's incredible what we're able to do with it. And we'll meet most of the needs. No software can meet all the needs of everybody. It's just not, in my opinion, it's not done. But QuickBooks is a great tool for meeting most of the needs. So once you've done that you've got a written implementation plan and we're going to go into step 2 now. You're armed with this implementation plan and now you're able to give it to the accountants or your IT people to set things up. And we're going to talk about three things now. The first of which, step 2 is a chart of accounts and we'll go over customer jobs and then we'll go over classes. But when it comes to the chart of accounts, and I looked at the demographic of some of our users and I know there's a lot of beginning users and people that are new to accounting, but a chart of accounts is basically just a listing of your assets, your liabilities, your net assets, your revenue, and your expenses. The thing that makes nonprofit accounting unique is the fact that nonprofits, most nonprofits that are in the voluntary health and welfare area are required to stratify the expense section of their chart of accounts into what's called functional expenses. And all you have to do is look at your 990 or your audited financials. And on the audited financials of a nonprofit there is actually a fourth statement. And that statement is called the statement of functional expenses. Your 990, I believe section 9 I believe it is, has the same thing. It's a statement of functional expenses. So what the IRS is looking at and what your auditors and the public therefore are looking at and philanthropists and grantors is how you spend your expenses. And they're broken down into three major categories. The first one is program expenses or direct expenses to your programs, management in general, or management in admin, and fundraising. So you have to keep track of those in a nonprofit organization. In my blog, I give you two, in the second blog that I wrote for TechSoup, I give you two alternatives. There's kind of two camps on this. The camp I kind of belong to is that you can set that up in your chart of accounts, those stratifications by writing it right into your chart of accounts itself. So you have basically major categories and then subcategories of accounts underneath those. There is another school of thought that says that that's better done with what we're going to go over in a second, a utility in QuickBooks called classes. And I'm going to give you some examples of both camps, schools of thought on that in a second here. But remember that your implementation meeting is going to help you define most of these accounts, the balance sheet income statement accounts. Keep in mind that we have to set up functional expenses. That's a very important thing in your 990 and your audit because what philanthropists do and a lot of grantors do is they take a percentage, they look at the amount of program expense that you spend as a percentage of the total expenses. And I don't know, no one really knows the magic figure, but obviously they want to see most of the money that's granted to you go to the program for which your mission is all about and why you have your nonprofit status. One thing that I can do to kind of give you a visual, a lot of people don't know this, but when you get QuickBooks Premier Version which is the version of software that the Intuit donation program works with TechSoup on, if you get that program or if you have it, if you have that addition, the software comes built in with some sample databases. And one of those sample databases is a sample nonprofit organization. And it's an incredible tool. I use it for training. I open it up and leave it on the desktop for the client so that they can open it up and do what-ifs and train them in that so they don't have to worry that they are messing up their live database. But the other thing that it does is it gives you a visual. You can open up the software. You can see how this sample database's chart of accounts is set up. You can see how their customer jobs are set up. You can see how their classes are set up. So it gives you more or less a pattern you can follow. And you shouldn't completely follow it without question, but it certainly gives you a start and a visual. On the next slide here, this is kind of the second camp. And this is really an incredible undertaking that was started by the National Center for Charitable Statistics and the Urban Institute. If you don't know those two organizations, they're just incredible. They've done a lot of great things in the 990 area and they're just a real resource for nonprofit organizations. They teamed up with the California State Society of CPAs and some other nonprofits and they embarked on what I think is a very courageous undertaking and that is to try to design a uniform chart of accounts for all nonprofits. Frankly, I'm not sure that I think that's possible myself, but that's just my opinion. But I really admire them and give them a lot of kudos for trying that. But what you can do is if you go to their website, they have some incredible resources you can use. You can open up the Uniform Chart of Accounts. You can see what their philosophy is. You can download databases, QuickBooks databases that they've created so that you can see their logic. You can try to understand the flow. They have Excel spreadsheets. So it's a great resource to take a look at to see which way you want to go on setting up your chart of accounts. So I highly recommend that you go to that URL. I believe it's on the screen now. I'm not sure if that's a live URL or not. But once we've done that, once you've finished with that and you've designed your chart of accounts, you're ready to set up what's called Customer Job. Customer Job is a QuickBooks term, if you will. It's a term that, it's kind of a for-profit term. And really to translate that into our world, it would really be Funding Source Grant, if you will. So the customer would be your funding source, and the job would be the grant for that year that you get from that funding source. So the Customer Jobs Utility should be used to keep track of your funding sources. And I would really highly recommend that you set up a hierarchical manner in database language. The customer, for example, if you look at what you're seeing on the screen here, let's say that the AAT&T Foundation is one of your grantors, is one of your funding sources. They may grant you a grant each year for 2010, 2011, 2012, and so on. It's kind of like a parent-child relationship. The customer would be the parent record, and the child record would be the grant. They're similar, they're related, but they're not the same, and you have to report separately on them. A lot of nonprofits make the mistake of putting those grants on the same level, creating a customer for each one of the grants. You can still limp by like that, but you can never look at AAT&T as a whole and see what your whole history was. So by setting up this hierarchical manner of funding source slash grant, you can report both on the higher level, which would be the foundation, and on each grant individually. So it's very important. And you can see that this is a sample hierarchy. We've got the AAT&T Foundation with two grants underneath, national endowments for the humanities with two underneath, and so on and so forth. This is a picture we all like to see. I think we'd all like to be able to be getting a check. I've been at these kind of events, and if you stand next to the accountant, if there's not a lot of communication going on in the organization, they'll say, why am I always the last one to know about these? I haven't set up a customer for this or a job, and I don't know how we're supposed to report on this. So I want to make a point of really continuing to let the accountant know that to communicate with her or him and let them know what's on the horizon, what you're writing grants for, what the requirements would be, so they can be happy at these events as well. So let's go on to the next slide here. And now that we've set up the chart of accounts, and we've also set up the customer job, we're ready to set up the step four, which is classes. Again, classes is a term that QuickBooks uses in their software. And what we use it for is to define the programs that your organization sets up. You're going to go back to your implementation plan, and you're going to look at that section, and it's going to tell you, you have these programs at this date, and you want to go into QuickBooks and use the classes utility to set those programs up. So in our sample database that I've created, you've got a general program, you've got an elder daycare, you've got a soup kitchen, a youth program, a 5K run, and a Gala. So these are the programs that you run. And again, this would have been discussed during the implementation phase and the implementation plan phase as well. So at this point, we've got your three main areas of capturing data and transactions set up. You've got your chart of accounts, you've got your customer job set up, and you've got your class set up. And QuickBooks is a relational database. And really what we're trying to do is we're trying to take transactions and put them in the system almost like a filter. And when they come in the system, we want to append to those a database flag. We want to tell it what account is this going to, what funding source is this from or for, and what program is this for. And so now you have the ship built, so to speak. You have the machine ready to go, the system is ready, and now you just have to drive this. And the way you drive that is by coding, what I call coding transactions with QuickBooks. And so you have the system in place, and this is where communication is really, really key. Your development person, especially, needs to continue to discuss things with your accountant. In fact, at some of my clients, there's monthly meetings, and they discuss what's going to be on the horizon, what the requirements would be, should they be successful in winning these. So not only does the accountant know what they have at the time, but what they might have in the future. So it really helps the accountant to be ahead of the game and not really the last one to know and have to scramble and set these things up at the last minute. So if you are successful in setting these three areas up, your chart of accounts, your customer job, and your classes, you have the tools you need to code every transaction that comes in from outside into the QuickBooks database. And if you do that, now you can run reports on a combined basis. You can run it by funding source, and you can also run it by program. Let me go to the next screen here, and this screen here is just a visual, if you will, that shows you the same thing, that every transaction that comes into the system, whether you are entering a bill, whether you are entering an invoice to a customer or a funding source, if you are making a journal entry, there is going to be a part of that screen in QuickBooks where you can go in and put the account. You can put the funding source. You are actually going to get, after you set this up, you are going to get a little lookup window that is going to come up with all your funding sources. And when you get to the classes, you will be able to see all your programs. And so you are going to have a little mini database in there. It is going to be all set up that way for you. There is one little nuance about QuickBooks that I do want to make a point of. Every transactional screen that you see in QuickBooks will have the ability to give you, so you can code in this manner. But in some cases, instead of customer job, it will be called name. So you have to kind of do a lookup that way too, so don't let that throw you off. So this is very powerful because in the nonprofit world, if for-profit accounting is like two-dimensional chess playing it on a two-dimensional playing field, then nonprofit accounting is like playing three-dimensional chess because you have three dimensions to every transaction, the account, the funding source, and the program. You don't have that in for-profit. So it makes it a little more nuanced, but QuickBooks is excellent in being able to pull that out. If everything goes well and you've set everything up, and more importantly, you've continued to communicate with your accountant and your accountant has been efficient and consistent in coding everything, which these are big ifs, but it requires a lot of effort and a lot of communication, then you should have all the data put into the system in these three categories. And therefore, since it's a great database, you can easily, or the computer can easily pull information out in that same manner. Now I want to stress here on this that these reports that I'm about to talk about here, these are not any special reports that we've built. These are not custom reports, although QuickBooks does have the ability to do some of that. This is just standard reports. If you go up to reports on your screen and you look up your reports, you'll see that these are just the standard reports that are built into QuickBooks. But if you set the system up, you'll be able to capture these. So the first one is the profit and loss standard, and that's usually used to report on the nonprofit on the highest level. The audience for that would be maybe the auditors or the public or the board of directors. Then you have profit and loss by class, which is really a profit and loss by program. So program managers might want to see that, budget managers, so on and so forth. Then you have customer, I'm sorry, profit and loss by job or funding source. So let's say the Weingart Foundation gave you a grant. They would like you to report on that grant. You can run a report by funding source or by job, and you can show the money coming in and all the money assigned that you spent against that grant. So there's nothing unusual or all you have to do is go in and change the dates on this, and that's really about all you have to do. The incredible thing about the software also is that it gives you the ability to actually budget on those same basis. So you can budget on a combined basis, you can budget on a program basis, and you can budget by job. So I find that to be just incredible. And I have to keep reminding myself that the software is a very reasonable price. And if you go through the donation program at TechSoup, it's even more of a reasonable price. So it's really a great benefit to nonprofit organizations, and I think that it's well suited if it's set up correctly. And again, these are all standard reports in the system. Nothing really customized. So I'm sorry, I just stepped on Woody's slide there. I wanted to thank Becky and all of you. I hope I didn't speak too fast on this. I know I gave you a lot of information. I would like to point you again back to the blogs and make sure that a lot of your questions can be filled in there because they're a lot more detailed. There's URLs, there's resources, there's short videos. And I want to point two things out before I know there's going to be another slide on resources, but I want to highlight three. There's two people in particular that I know have written books on the subject, and I think they certainly deserve to be mentioned here. Christine Manor is a CPA, I believe on the East Coast, and she's written a book that can be found at www.sleder.com, which is a CPA for my believe, but it's also a QuickBooks Pro Advisor Consultancy Group. There's another book called Running QuickBooks and Nonprofits by Kathy Ivins, which again will give you different perspective on setting up a nonprofit and a QuickBooks and a Nonprofit. And then the last one I want to underscore is something called Mastering QuickBooks for Nonprofits, and it's a series of CDs and training that are just really incredible, and I use it a lot with my clients as well. So I just want to touch on that. Those are going to be in the resources at the end of this webinar. But having said that, I want to thank everybody for listening, and I want to thank Becky for inviting me and invite you all to read the blogs, and then kind of segue over to Witte Adams of Intuit. So thank you very much. Thanks so much, Mark. Before we have Witte jump in, I just want to thank you for that. And we know this is a really quick overview of these steps, so it may seem like it's a lot of information because it is, but again, we are including a couple slides later on in the presentation that have resources, and we are going to take about 15 minutes to try and answer some of the questions that have been coming in throughout the webinar, and hopefully we'll have a chance to get to yours. So with that, I will go ahead and turn it over to Witte to talk about what are the differences between QuickBooks Pro and Premiere, and what's new in the latest version of QuickBooks that has just launched through our donation program yesterday. Excellent, and thanks Becky. I've been having a lot of fun in the chat, so we'll be getting to that soon. My section is pretty short. I know a lot of people are using Pro. I think Becky had a stat that a lot of people are using QuickBooks already. So just a few different things that there are several different things between the two programs, but I wanted to highlight specific stuff for nonprofits that you guys would be doing day-to-day and why they might help as far as Premiere Nonprofit versus QuickBooks Pro. And then I just have a few critical enhancements. We came out with 2011 that also might be geared more towards non-profit workflow and make it a little easier for you. So I'd like to cover some of those things. And also I just wanted to just let Mark know, Mark loves that breakdown of how you set it up in QuickBooks. I plan to use the PowerPoint myself as a resource here in my job. That was wonderful. And also one question we would like you to address at the end when we're done here. Some people were wondering why they couldn't still use classes for particular galas or events. So just to get your take on how class is more maybe high level delineation and then jobs allow you to be a little more detailed on reports. So getting kind of your take and experience on that at the end would be great as well. A lot of different people had that question, so I want to make sure we touch on that. So Pro Premiere, some key things you guys have. Let's click the next button here. So you'll see some screenshots. Hopefully it's big enough for you guys, but I'm going to start in this kind of upper left hand quadrant. So Pro and Premiere core functionality behave the same, right? You're going to write the check the same. You're going to do journal entry similarity, although you'll notice in the journal entry window, and I know a lot of you guys do journal entries for nonprofit work in QuickBooks, there is a reverse tab. You can just reverse the journal entry you just created with just a click of a button. In Pro you don't have that. It's just a very simple window. You create the journal entry, then you have to save a new or control N to get to the next journal entry to reverse it. So Premiere level would allow you to reverse the journal entry. In the nonprofit version of QuickBooks Premiere, now you guys know you have the company menu. For those of you that are accountants, whatever you have the account menu, etc., you have industry specific language. So you actually have a nonprofit dropdown where we try to put in the language that would relate to your field and what you're doing. So sales receipts, as you guys would show under the customers menu, we put it under here, we call it enter donations, pledges would be invoices, etc. Notice you also have several nonprofit specific reports. You have your budget to actual by donors and grants. I know a lot of you guys do budgets. You can use the budget module in QuickBooks. It's also in Pro, but in Premiere again we have some specific reports for budgets and actuals by your donors and grants, a donors and grant report, donor contribution summary, etc. Also I like this on the program projects report as well. So we have some specific nonprofit reporting that you won't find in Pro or have to build in the Pro. And also one thing that's really, well I just always like to throw it in because I know that everybody uses QuickBooks, one of its backbones is the ability to do a bank reconciliation. I know that's probably super critical for nonprofit organizations. In the Premiere level you can actually look at your monthly reconciliation reports. In Pro this area over here is completely under the statement ending date. It's completely great out. So in Premiere you'd be able to run these previous reconciliation reports by month and it should help you troubleshoot any kind of issues, etc. faster than say just with Pro. So these are some of the key things between Pro and Premiere. Other than that the functionality is very similar. You have the same list limits, same class limits. The menu items are all pretty much in the same place. If you're already using Pro so there's not a lot of learning curve or anything like that. But just some key things I want you guys to think about. Now a lot of you are using 2010. So what's new in 2011? So you know in 2009 we came out with a company snapshot. Now we have a customer or you could call it donor snapshot where you can see by donor some specific information. How about numbers of years as a donor or a grantor. Average days to pay which is also a new report in the Premiere version of QuickBooks. So it's in Pro as well in 2011. But average days to pay in case you guys need that. There's also a new collection center but I don't know how much you guys do. Mark was saying you don't really deal a lot with collections. But it's just we're trying to help people track their AR accounts receivable better, etc. And since you guys are probably doing a lot of invoicing to your grantors or your funders. So you have a kind of a donor snapshot. You can look at these widgets to see recent pledges, recent payments, some graphs on sales history, etc. And that's also new for 2011. And a few other things, batch invoicing. This one I thought would be particular to the nonprofit workflow because I'm sure you guys have billing groups or donor groups or however you decide to put it in. You can actually create these groups and you can invoice them all in a batch. They would be invoiced the same item or items. They can all have different send methods whether it's to be printed or emailed. They can all have different tax rates, tax codes, no tax at all, as well as different terms. And you can actually create the billing group or just do this on the fly. It's right under the customer menu batch invoicing. So this should hopefully turn a project that could have been a half hour or 45 minutes if you're trying to invoice a hundred donors. You could do this in a couple, three minutes really. And finally, even though I know Mark had touched about the profit and loss by class and how I know the end game is getting to the reports. Now this is a little bit harder report to maintain and create because balance sheet functionality is very different in terms of class tracking than profit and loss, your income and expense accounts, excuse me. So the balance sheet by class is in there. It's in the premier and above level. So you guys would have it in your premier nonprofit that you get with the TechSoup offering the camera that's going to go over next. But at least it's in here. You could actually do your fixed assets for the nonprofit by class or your AR and AP only. You might have a lot of stuff on Classified. So I believe that it's different. On the profit and loss by class you can just drill down and assign the class. On a balance sheet, that actual document might not even have a class field. You're going to have to use journal entries to transfer the funds between different classes. But again, most of you guys are real school journal entries. If you're not, you can reach out to a pro advisor, accountant, etc. and get a true not only P&L by class, but a balance sheet by class also available with 2011. And there's several other things to mention but I think I pretty much used up my five minutes for 2011. You guys will notice if you're on 2010. But those are what are pretty much specific for nonprofit workflow I thought would be helpful. Great. Thanks so much Woody. That was a helpful overview. So with that I'd like to go ahead and turn it over to Cameron Jones who is a Senior Product Director here at TechSoup Global and manages our donation program with QuickBooks or with Intuit for the QuickBooks products. And she'll go ahead and talk about what products are available through the TechSoup donation program. Good morning or good afternoon to those of you on the East Coast. So we carry three of the QuickBooks accounting products through the TechSoup donation program that Intuit generously donates to the nonprofit community. We have the QuickBooks Premier version in both a one user and a three user version. I've seen some questions come through in the chat about being able to add additional licenses to their one user to make it a multi-user version. And that is indeed possible. That's something you have to interact with Intuit directly on and we can address any of those details in the forum questions. We also have QuickBooks for Mac 2011. And these three products just launched yesterday on the TechSoup site. We usually do try to make the current version available sooner but we had some glitches this year with the donation program and so we were fortunately able to launch these products in time for this webinar this year. The donation program, Intuit's donation program through TechSoup for accounting products is comprised of these three products, the Premier One user, Three User, and the Mac product. The rules are that nonprofits may request up to one accounting product per year and that's the TechSoup fiscal year for July 1st through June 30th. So anybody who has already requested donation of a QuickBooks accounting product this fiscal year may request an additional product after June 30th when we're into our new fiscal year. The donation program is available to 501c3 non-profits and public libraries with an operating budget of $3 million or less. And in addition to the accounting products, QuickBooks also offers several other what we call accessory or add-on products that you can use with your accounting product. We have a QuickBooks learning and the 2011 version is coming soon. I know we had 2010 on the site for quite a while and I believe we've run out of stock, but the 2011 version will be coming in within I think the next month or so. And so you can look for that on the site and you can request that separately and that's an additional allocation for the donation that you can get in addition to your accounting product. Also we have QuickBooks Point of Sale Basic 8.0 and we have Customer Manager. And lastly we have something called Learning Accounting Essentials which is a basic accounting principles tutorial that isn't not QuickBooks specific. It's more like an accounting 101 for nonprofits that are using just regular staff and don't have anybody who's specifically trained in accounting. And then we do have some leftover QuickBooks 2010 from the previous year's donation which we hope to move into TechSoup Limited soon. We're waiting for some confirmation from Intuit on that. So anybody who has a QuickBooks 2010 and wants to add additional licenses will be able to access additional licenses through the Limited program. And I think that just about covers it. Great, thanks so much Cameron. I really appreciate that overview. And just to reiterate, this is a donation program and TechSoup has an administrative fee for handling and processing requests and verifying eligibility and all of the backend stuff that helps make it possible for us to run these webinars. So the $45 for the one license or the $99 for the three user license really is a very small fee compared to what the retail price is because you're getting a donation of it. So with that I'd like to go ahead and welcome questions. We already have a lot in the hopper so I'll get right to it but you're welcome to go ahead and submit your questions by the chat tool. Folks in Second Life, if you have questions feel free to let us know. Your folks in the world will pass them along to us. So to get it started I would like to ask Mark a couple of questions that have come in about — So Barbara had a question asking about converting from other file types. Our budget is currently on an Excel spreadsheet. Can we convert that into QuickBooks or do we have to manually enter the budget in? And another person asked a similar question about receiving payments electronically and they're provided with TFV files for each transaction. Can those be imported without having to reenter everything manually? Can you help address that a little bit? Sure, go ahead. Can you hear me? Yes, I can hear you loud and clear. Yep, I hear you loud and clear. I'm sorry. The first question that had to do with importing budgets into the system and Woody can verify this form but I've done that successfully. There is a process. Another thing that I should point out in QuickBooks which is a little nuanced too is that there's a whole set of tutorials built into the system that no one really uses. But the help screens are very good as well. But there is a way, a very, very good — if you want to go to help and then type in import, there's a whole document, light paper on how to import certain lists into the system. And I do believe that budgets can be imported in. You do have to set up your Excel in a certain format, but it's pretty seamless. And if Woody's there, if you want to confirm that — I know that from file to file, you can do it, import, export. But if it's already in Excel, there's no option when you import from Excel for budget so you'd have to use the IIF file format if it's available at all. So if you were to convert — so I think it's pretty easy — you convert the Excel to an IIF file and then File Utilities Import IIF files and then if you've already done it, Mark, then it's true. Then yeah, then you bring it in. And that's great because — so I kind of was half wrong when I was talking to someone on the chat. You have to use the IIF file format to get it in. And with regard to downloading, a lot of people now are going to, you know, banking and actually Intuit is very on top of this of the whole online banking and the ability to download information from your bank. Intuit brings that in to kind of a holding pattern, QuickBooks does, and then it brings up a screen that allows you to actually allocate that out to where it belongs. So yes, you can bring that in, but you may have to sign up for the online banking to get that done. I bring it in through what's called a — it's a QuickBooks file that some of the banks that we use here offers as an option when you go in to download your activity, the banks that I'm thinking of anywhere here, anyway here that I use, give the option to download that — and it's QuickBooks Connect, I think is the name of the file, and it allows you to import that in through the utilities if you don't have online banking set up automatically. And again, Woody, you know, please correct anything I'm saying that's wrong. Oh yeah, the online banking. Is that what you were talking about? Yeah, online banking, right? Yeah, it's in the Mac, Pro, Premiere, and QuickBooks Online as well. Great. Well let's dive into some more. We have a veritable mountain of questions in the wings here. So we've had a couple of questions asking about QuickBooks Online versus Offline and whether those can be synchronized between the desktop and online. How difficult is it to port from one to the other? What are the benefits between them? So Woody, could you address a little bit of that? Let me take that one. So for one thing, we have a lot of nonprofits using QuickBooks Online, even though the Premiere version or even Pro has some maybe more sophisticated functionality than QuickBooks Online, but basically they're using it because of the ease of access and they have locations all over the U.S. so just being able to log them to the web is ideal. And when you're going into the QuickBooks Online, when you first set up the file, you can actually choose to call your customer's donors. But that's about all the nonprofit stuff it's going to offer there outside of class tracking which Mark went over already, why to use classes, and obviously customer jobs. That's all on QuickBooks Online too. However, Premiere is going to have more industry-specific language. So if you guys happen to decide because you want to go with the TechSoup option of Premiere nonprofit, in your help when you sign into QuickBooks Online, actually just go to the company menu, Export, and you'll be able to export your data from QuickBooks Online. It'll actually create a QuickBooks file, a desktop file for you. It's a wizard you go through. You actually have to send the file up to like this server for us to convert it for you. It takes anywhere from two minutes to a couple hours and then you'll get an email and then you just kind of go ahead and finish off the export process. If you want the exact steps, I just use the ones that are in the Help Center in QuickBooks Online. If you click Help and type in Convert to QuickBooks Desktop, it's like the first article you'll see listed. You can go both ways. And you won't lose much. It'll tell you what things will look like once they're in the desktop. Most of the core stuff obviously will be there, etc. And Woody, the only thing I could add to that, I did have a client that did that and QuickBooks Online was great. I think, I don't know if you'll have to correct me on this one, but I believe what QuickBooks Online offered them was that they would archive their online data and allow them to look it up for I think up to a year. But I'm not sure if that was just something they did for them or what, but that was kind of a nice feature as well. But we got them on the desktop version through what Woody explained right now, that whole process, and it was very seamless. Great. Thank you guys. So I have a couple of questions probably best suited for Mark to field. So one was, what's the difference between a program and a funding source? For example, you have the Fund Run and the Gay Line. In your example, they seem to be identified as programs, but wouldn't you be raising funds with those as well? So wouldn't they be a funding source? A little confusion about that. Where I start on this, and this takes up a majority of the Implementation Plan meeting where you're defining terms and really figuring out what this all means. To go back to the basics, the customer job should be your funding sources. And in my mind, a 5K run and all that is an event. It's not a funding source. You're going to raise money through that, but the money is going to be unrestricted. So I usually have under customer job unrestricted or general sources of funding sources which will come in through the event which would be a program. So in my mind, and that's certainly debatable, but I would define a 5K run and those kind of things as galas as programs. The funding sources would be the people that give you the money, the sponsors of the gala, things like that. I don't know if that's true or not, but again it's a point of contention. We could debate it, but it's really something you have to decide in your organization. As long as you define it and you use it consistently, you should have no problems with the system. Great, thanks so much Mark. That actually piggybacks well into the next question we had was from William who asked, how does Mark recommend that we track restricted funds which you mentioned in that answer? So how do you do that differently in QuickBooks? There is, and that's a little more advanced, but there is a way to further stratify it. With both, in the classes area you can actually have subclasses. So you could have programs that are, you could create classes or major categories of classes for, I think she's referring to the FASB 117 which requires you to take your net assets and split them out between unrestricted, temporarily restricted, and permanently restricted. And you can do that using classes and subclasses. So you would have then the three major categories defined, and then underneath them you'd have your programs that fit into those categories. That's one way to do it. And again I'd recommend the books that I told you about to have other recommendations on that as well. Great, so it sounds like there's not necessarily just one way to be using it, but this might be a wise way. Yeah, a little bit to the confusion I'm sure. So Woody, here's a question that you might be able to address. Can QuickBooks produce an IRS Form 990 as a report? If so, how? Well, the Premier Non-Profit has, it's in parentheses, it says 990, but I don't know how irressable it is. That's not really a word, but you know what I mean. We have the Form 990 that's in there under the Non-Profit reports, but I don't believe it's technically something you could send to the IRS. You know, in all fairness to it, the 990 has undergone just massive changes, and I think that there's a mapping that can be done on certain information from QuickBooks to a 990 program like LISERT or something like that, but I've never done that. I've never used that. I think that the 990 is so complicated now that you're going to have to pull information, unfortunately, you're going to have to pull information into Excel and things like that to create those. I don't know any program that would just populate it. There's too many variables on the number of schedules that you need to use. If you have special events, you're going to have to use a schedule G. There's a schedule O, and there's no way to program that. It's just not a mechanical thing. Gotcha. Well, there was another question. Similarly, wondering if there is a way to sort of automatically create end-of-year total donation letters, like to actually send to your donors like a donor management system might do. You can prepare the letters and envelopes in QuickBooks, and there's collection letters, all different types of customer letters or donor letters we can call it. You can create your own from scratch or use one of the canned ones there. I don't believe we have that particular letter, but you could probably use a template of one or the other and change the name and change the language or create your own. That's under the company menu in QuickBooks, prepare letters and envelopes. Great. That's terrific to know. I didn't realize I did that. So with the last couple of minutes of questions here, I'd actually like to turn it back to Cameron because we have a whole bunch of questions asking about the user license and the donation program. So we have people who have requested one donation but really would like the three donation and just got it this morning, for example, and didn't realize that the three donation version was available, or three license version was available. And we have some folks who had a computer that died that had QuickBooks on it wondering whether or not they can reinstall that on a different machine. The license is still valid. So Cameron, can you go ahead and talk a little bit about the licensing? We've also had some people who've just recently received QuickBooks 2010 and who are wishing they'd known that 2011 was right around the corner. So can you address a little bit of how it works here at TechSoup because it's a donation program? Sure, absolutely. So this is a donation program and we received the donations from Intuit and make them available to the nonprofit sector. This year we did not, although we've been asking to try to get the 2011 product, we received very late notification early Monday morning that the licenses would be coming in. And so we did a quick scramble to get the products launched and up on the site, and they went up yesterday. And so anybody who, and I believe the 2010 products were taken down, so anybody who requested the 2011 version as of yesterday, both the one user and the three user versions were available and were findable. Unfortunately, because these are download products, we are not able to exchange or return them. And this is something that I believe when you go through the checkout process you attest the fact that you understand that this is a downloaded product and that it's not returnable. And that's the case for all downloaded products available through TechSoup. For organizations that requested the 2010 product previous to yesterday, unfortunately we had no advance notice of when the products were coming in and so we were not able to give any advance notice to the sector. And so we sort of put them up as soon as we had them available. Because the donation limits organizations to receiving one product per fiscal year, the 2011 product we do have quite a bit of it. And I anticipate that it will be available through the summer. And so organizations that have already placed a request in this year may get another, may place another request after June 30th. What was the other question, Becky, that I had with you guys? We had a couple of people who asked about, well I requested the single user version and I really would rather have the three user version. Is there anything I can do to get the two other licenses? That may be the same case because it's downloadable. I'm not sure if our client services folks are equipped to help people navigate through. No, unfortunately if something has already been requested and has been fulfilled we are unable to stop it. And because these products are downloadable and because the keys we send out to you via email, we have no ability to cancel a key or to deactivate a product that you've already received. We just don't have that capability. So any products that are donated we cannot request an additional product or we cannot allow you to exchange or request additional products. These are the rules of the Intuit Donation Program and we are beholden to Intuit to enforce their donation rules and restrictions. Right, so it's very much like any sort of grant that you might apply for that has certain terms and conditions and deadlines and things like that. And we are obliged to fulfill them as the grantor Intuit wants us to. So that makes a lot of sense. And lastly before we go ahead and wrap up we have a couple of questions about libraries. Does anybody have any resources on where libraries can find samples or examples before I go through the last couple of resource slides? Do you mean how to set up libraries in QuickBooks? Yep, like for people who are on the line who are from public libraries and they're wondering if there are any examples that are specific to their sector that might help them with the specific uses that they have? You could check the Intuit communities if you just kind of Google Intuit Live Community and click on nonprofits. We have tons of different communities. And then ask the question out there. You might have some like-minded folks that have already set it up. But I'm assuming it's similar to what Mark had said. You would just kind of have different items or customer jobs or classes related more to the library field. Yeah, I don't know that libraries, as governmental agencies they may have some requirements that are different, but I think they're not so unique that a lot of what other nonprofits are using wouldn't fit for them. There may be some special reporting and because they are either quasi-governmental or governmental agencies that's actually a third type of accounting. There's commercial accounting, nonprofit accounting, and governmental accounting, and they're actually different types of accounting. So I don't think that they fall into that though. And I think that the normal setup for a nonprofit would be suitable. But again, you just have to get in and really find out what makes them unique. They may very well be. Now that I think of it, I don't have any libraries as clients so I really can't say. Okay, well and if anybody is not aware, we have TechSoupforLibraries.org which is a site under TechSoup's network where you can talk with other librarians and see if there are samples that they'd be willing to share as well. So with that, I'll go ahead and wrap it up here. We have a couple of pages of resources that Mark mentioned, a few of. First on the list is just a link to the donation program and then Mark's blog series, a couple of books that he mentioned, the tutorials and your QuickBooks donation, and opportunities to find a QuickBooks Pro Advisor in your area, and a variety of resources on how to find Mark because he's willing to answer questions after the fact as well. And with that I'd like to invite everybody to continue the discussion. If your questions did not get answered, feel free to come to our community forums at this link which you'll also be emailed shortly so that you can go ahead and have your questions answered. Even if they're very specific, that's the place to do it. With that I'd like to just let you know about a webinar coming up next week on how to register your organization. So if you're not yet a TechSoup member, you can go ahead and get your organization registered to make access, have access to all of these donations. I'd like to go ahead and thank our presenters, Mark McCallick and Woody Adams, Cameron Jones, and the folks on the back end, Elliot Harmon and William Coonan for their help today. I'd also like to go ahead and thank ReadyTalk who has made this possible with their donated use of their system to help TechSoup extend awareness of technology throughout the nonprofit sector. They help nonprofits and libraries in the U.S. and Canada reach geographically dispersed areas and increase collaboration through their audio conferencing and web conferencing services. With that please take a moment to answer the post-event survey. Here's my contact information if you need anything for follow-up. Five is excellent. One is poor. So go ahead and take a minute to answer that survey. Thank you all for participating and have a great day. Thank you. Please stand by.