 QuickBooks Online 2024 budgeted balance sheet data input. Get ready and some coffee because we're going to be on top with QuickBooks Online 2024. First, a quick budgeted balance sheet disclaimer. It looks like at this time QuickBooks Online does not have the capacity to run budgeted balance sheet reports. Let's go over a quick history of budgets from QuickBooks to get an idea of the progression over time. I believe that the desktop version of QuickBooks has had the capacity for some time to run budgets for both the profit and loss, otherwise known as the income statement, as well as the balance sheet. However, QuickBooks Online has not had the capacity prior to recently to even do the data input for the budgeted balance sheet, only having the capacity for the budgeted income statement, otherwise known as the budgeted profit and loss reports. So recently, we now have this option to be able to do the data input for the budgeted balance sheet, but it doesn't look like we have the related reports that you would think would be generated from that data input, such as the budget overview for the balance sheet and the budget versus actual for the balance sheet. Now, I would expect or I would think going forward that hopefully QuickBooks would be able to use that data input to then create those reports, but I don't believe they are there as of the time of this recording. Here we are in our get great guitars 2024 QuickBooks Online sample company file we set up in a prior presentation opening the major financial statement reports like we do every time the reports on the left hand side. In the favorites, we're going to be right clicking on that balance sheet to open a link in a new tab, right clicking the profit and loss to open a link in a new tab, the same with the trustee TB trial balance. Let's go to the balance sheet. We're going to close that hamburger and then we'll change the range 010124 tab 022924 tab, selecting the drop down so we can see this on a month by month side by side, run it, tabbing to the right, closing the hand buggy and we'll repeat the process. We're going from 010124 tab 022924 tab, dropping down so we can see the months running to refresh it. Uno vase mas one more time, closing the hand buggy and changing the range 010124 tab 022924 tab. First, a word from our sponsor. Yeah, actually, we're sponsoring ourselves on this one because apparently the merchandisers, they don't want to be seen with us, but but that's okay. Whatever, because our merchandise is is better than their stupid stuff. Anyways, like our CPA six pack shirts, I must have for any pool or beach time, mixing money with muscle, always sure to attract attention. Yeah, even if you're not a CPA, you need this shirt. So you can like pull in that iconic CPA six pack stomach muscle vibe, man. You know, that CPA six pack, everyone envisions in their mind when they think CPA, you know, as a CPA, I actually and unusually don't have tremendous abs. However, I was blessed with a whole lot of belly hair. Yeah, allowing me to sculpt the hair into a nice CPA six pack like shape, which is highly attractive. Yeah, maybe the shirt will help you generate some belly hair too. And if it does make sure to let me know. Maybe I'll try wearing it on my head. And yes, I know six pack isn't spelled right, but three letters is more efficient than four. So I trimmed it down a bit. Okay, it's an improvement. If you would like a commercial free experience, consider subscribing to our website at accounting instruction.com or accounting instruction dot think of it dot com selecting the dropdown for months and run. Okay, so in prior presentations, I'm going to go back to the profit and loss. We've been looking at our budgets. The primary budget typically being the profit and loss. That's the first one to come to mind because that is the performance reports seeing how well we did, how far we went, how far can we run in an hour, put the stopwatch on the profit loss. That's the stopwatch. But we also now have the capacity in QuickBooks online, which is a fairly recent occurrence to be doing the balance sheet as well with some more advanced budgeting. So now we're over here on the balance sheet. And the balance sheet is where we stand at a point in time. So if we're trying to predict in the future, we're trying to say how far are we going to run? And then where will we be in our analogy? How far will we run next month? And then where will we be closer to the promised land? I hope I hope of revenue by generating revenue. Or you're right, that's where the balance sheet is after each of the months. So we exported the prior balance sheet and we did our analysis here to create a budgeted balance sheet. So now we have our budgeted balance sheet. We used one method you can approach to get a basic idea of a balance sheet because I think a lot of people probably aren't that good at really thinking through where they're going to be from a balance sheet perspective. And we have whole other courses on that if you want to take a look at that. It's not something that you typically would do unlike the bookkeeping side of things. Although, of course, again, the format of the budget is in terms of financial accounting format, which I think accountants could have a much better feel for and create budgets and worksheets like this than someone who has just simply a finance background because you can start to work with worksheets like we did here using debits and credits, which is cleaner to make a cleaner worksheet typically. But in any case, now that we have that, we'll do what QuickBooks does well. We're going to import this back into the QuickBooks so that we can then run our financials, the major one being the major report being the budget versus actual. So we're going to go back on over here and let's go into our budget dropdown. So we're in our cog and then the budgets. We already have one for the P&L, the profit and the loss. We're going to create another budget. And so I'm going to create it. And then down here we have the importing option. So this time, how do you want to set up your budget? So select one. This time it's going to be the P&L, the profit and loss budget for December. That's what we want. Now we could do it on a monthly basis, quarterly basis and yearly basis. Note that the budget for the balance sheet might be something that you don't do every month, right? We could because we did it with a method we use, but we might say, hey, look, I'm just going to do the balance sheet on a quarterly basis, maybe, or maybe even on a yearly basis to get an idea of where we will be. But we did a monthly one here to go with our monthly P&L profit and loss. So let's go ahead and import the budget. Before I import it, let's go to the next and you will see the data input screen that looks very similar to the one we had with the income statement. We have the dropdown up top for the period. We have the balance as of today, meaning it's giving us the current balance, which might be a starting point that we could use. Note that's different than the default starting point for the income statement. The default starting for the income statement being last year, right? What happened last year? In this case, it might be like the last day of last year, but we're looking at the last period in time. And that's probably our starting point because we're looking at a point in time report. We could also use the balance sheet as of the last month, last quarter, balance as of the last year. The point is that we don't need a beginning date. We only need one point in time. That's going to be our starting point. They also give us the nice little accounting equation up top, assets equal liabilities plus equity. That will help us to be in balance because remember, the beauty of QuickBooks is that it forces us to use the double entry accounting system when we do data input, such as I'm tabbing to the right with these forms. These forms force us to do the double entry accounting system, forcing us to have an internal control, making it more likely we'll not make an error. So that's great. But you can't really do that when you're just doing data input of the balance sheet. So they're going to try to give you this little accounting equation to hopefully help you see that the assets should be equal in the liabilities and equity. That's what we did basically over here. So now let's actually close this out and then go into it again because I want to import the one. So do you want to leave without saving? I do. I do want to leave without saving QuickBooks. And then we're going to create a budget. And this time let's import the budget. And they're going to say, okay, this is the budget type we want. Did I say it was about? No, this is a profit and loss. Let me close it again. Hold on a second. Sorry about that. And then I'm going to say create a budget. I want the balance sheet budget monthly. And then I want to import it. Import it. And so then it says all your budgets in one place budget type is a profit. It says profit and loss again. Plan your budget profit and loss. Hold on. It's not allowing me to change it to a balance sheet budget. That's kind of annoying. Well, let's just do the data input for the balance sheet then. I'm going to say, alright, I won't import the budget. Let's just plug it in there. So we're going to say create a budget. And we're going to say it's a balance sheet budget. And then I'm just going to say next. And then we'll just put this in place. So it'd be best if we have this kind of side by side would be the easiest thing to do. I'm going to toggle this off. And let's see if we could just crank this out. So maybe I can put this off to the side a bit. And like that. And say, okay. So January through December. So we've got the checking account. Well, maybe I can hide some cells here. I need to hide these right click and hide. See if I can make this as easy as possible. Okay. And then I'll make these colored as I go down and enter them. I'll right click. I'll uncolor them for now. And then okay, so we're on the checking account. Checking account is at 96269. So January checking account 96269. And then see that is going up. Why does it give me a little error? That's going up as we go. So I'd have to go through each of these and say, okay, then it goes to 90,56490564. And I'm going to basically spare you the data input. I'll put the rest in here and then we'll move to the next one. Okay. So I think I put all those in these errors are telling me that we're basically out of balance is going to be the idea that do they give me a total down here at the bottom to so assets equal. So it's going to tell me that I'm out of balance. Okay. That's fine. And then we'll say, All right, what's the next one? We're going to say accounts receivable. We'll do the same thing for the A to the R accounts receivable starting in January. Then again, I'm just going to plug these in. They're going to change as we go. So let's see. All right, so I've added those. And then we're going to go to the inventory, same thing. So where's inventory? So there's our inventory. Let's plug those in. All right, so that's done. So inventory. And then we don't have anything on these two. And then we've got the prepaid insurance. That's the same all the way across. So I'm going to say, Okay, prepaid expenses, prepaid insurance, I'm just going to say is 11,000. And that one's actually easy, I can copy it across, which is nice, thankfully. And then furniture and equipment, I'm going to do the same for these. So 98. And then the accumulated depreciation, these I can copy across. So I'm going to say, Okay, the equipment, the building, I don't have a building furniture and fixture, I'm going to say is 98,000 and copy that across. Boom. And then we're going to say that the accumulated depreciation for that will be, I think I have to put a negative 9834. That's how QuickBooks sees it, I believe. And we can check that. Yeah, you can see it here. Here's the subtotal. So I have to put it in there as a negative. And then the land, no long term, the machinery. So we're going to say machinery is on the books for 5000 copying it across. And then it's related, accumulated depreciation negative 138. That negative will often throw people off. Because the contra asset is often, if there's a problem, people often have a problem with the contra asset. So keep that. And that's what accumulated depreciation is. And then the accounts payable is going to change as we go. So we're going to the liabilities, accounts payable, we'll plug those in. All right, I've plugged those in. And then we're going to go to all of the sales tax accounts, which we have broken out into multiple error. Actually, there's a visa. That's that that's going to go up. So I'll plug that in. Okay, I've plugged those in. So that's going to be the visa. And then we have the sales tax. So sales tax payable. Maybe I'll put this into just one account. So that why I should probably break it out. So I'll put these all these three or four sales tax lines in. Okay, I've plugged those in. And notice this one I had to plug in for negatives because that was our adjustment account. So it's in there as a negative. So I plug these and then these are negative and positive. That's the opposite of what we have over here. Because the negatives represent credits to us. And the positives then are these two are netting out against each other. So the balance is a credit balance or a normal balance of 578 for the total payable. Okay, so then we have interest payable. So that's going to go up as we go. Alright, so here's interest payable. So let's do that one. I'll just plug that one in. And actually, that one's not going to go up as we go. So I can just say that's going to be 73 copied across. Boom. So interest payable. And then these loans also are not going to change as we go. So I'm going to say these three loans, I'll just keep them or these loans, I'll keep them the same, the short term portion of the loan. So I'm going to say we kept those the same. So 5000 copy that across. Roger that copy that. And then we're going to say 13109 and copy that across. Okay, so those are the two loans. And then we've got all of the tax stuff. This stuff also remaining the same because we're not going to change the number of employees. I'm going to say the PIT payable 154 copied across. And then the ETT for come on. It's frozen for 401 copied across. And then the federal tax 4047 copied across. FUTA is going to be 71 copied across. And this was a payroll tax adjustment, which has to be negative of 2596. I'm going to copy that across. Okay. Then let's make that green. Then we've got unearned revenue, which we said was going to go up as we go. So I'll have to populate that. All right, I think I have that in there. So there we have that one unearned revenue, the loan, the long term portion of the loan, I'm going to say that stays constant. So I'm going to say this was the chase loan had a long term portion of 56770. Let's copy that across. So there's that one and boom, no opening balance. The draws, I'm going to keep it the same. So we'll say the draws are five hundo. We're just going to copy that across. Probably should increase that 500 per period or something. But we'll say that's the same. And then the investment from the owner is going to say 65,000. Copy that across. And then we've got the equity, which I'll have to that's going to change. So I'll have to populate that one. All right, so there's that one. Now it's saying I'm still out of balance here. Okay, now Quickbook has its little system here for us to be able to see where we are out of balance. And this this account accounting equation will change depending on the month that we're in. So if I'm over here in January, then it's going to give me this accounting equation for January, February, it changes to February and so on. I still don't think Quickbooks has the best system. I don't think they've worked out all the kinks to make the data input as easy as possible. One, because I don't think it was as easy for us to simply upload the Excel worksheet as it is for the profit and loss. And two, what I'd like to be able to do is run the actual report because I think that would be easier to look at than this data input screen. And I don't think it'll actually allow me to run the report until I get all these orange dots to be reconciled. So in other words, what I'd like to do is say, okay, I want to save it, Quickbooks. And it says assets don't match with the sum of the liabilities and equity in the current view. Do you still want to continue? And I'd say save it. And then and then I would like to close it. And basically within our reports here, I'd like to run the report. You'll notice I don't have the same options to run the report at this point in time. As I do with this one with the profit and loss, and I believe that's because we haven't put everything in balance. It would be a lot easier to look at it in a report format, possibly even being able to export it to Excel to figure out where the problem is, where the differences are. So that's one thing I wish, you know, they, I think they could improve on that. But let's go back into here and say, okay, we have our balancing. Let's go into each of these months. And they're at assets. So if I look at my total assets on my worksheet, notice I have my debits positives, my credits negative. So I can just highlight from here down to here. Those are my assets and it should be at 227822. And they're showing 224. So I should have 227822 minus what they have is 224822. So I'm off by 3000. So if I look into each of these categories, like I said, okay, I'm off by 3000 on the assets. So cash looks correct. I can't click on it. And then the, the accounts receivable looks right. And then the inventory. So it looks like it's the inventory should be 4346. So let's change that to 4346 on the inventory go back on over to January. It says I'm still off by 1000. Now I've checked this a couple times on the liabilities. And it seems like it's not picking up this credit card $1000 right there. Like if I delete that, and then go back on over here, now it says it's in balance, which seems strange to me. So okay, the thing that's funny is this credit card is adjusting the equity portion of the accounting equation for some reason. So if I go so like if I see assets, liabilities and equity, and the liabilities are at 8266, and then I add 1000 on the credit card, then the liabilities are still at 8266, even though I added 1000 on the credit card. But if I, but if I look over on the equity side of things, it's currently at 146757, and I remove this amount back to zero, then that changes to 145757. So something funny has happened with this is with this credit card, it's changing the equity field instead of the instead of the liabilities, which is kind of strange. I'm just going to, I'm going to put, I'm going to make it be in balance here. I don't want to play with it like forever. So I'm going to say like negative one, just to put us in balance. So that month is in balance. And let's see if I could do a similar thing to the rest here. So I'm going to say, all right, the February is out of balance. Okay, so February is out of balance. The assets should be from here down to here 225, 225, 251. And I've got 225, 252. That's pretty close. How much am I out of balance by? It's basically looks like it's like that credit card thing again. So this credit card is throwing us out of whack. So let me go, let me just, I'm just going to throw the plug in here because I don't want to play with it forever. So I'm going to say let's just, if I remove the credit card in February, boom, then it's off by 113. So now I'm off by 113. It's not so it's not the assets. Well, let me just, I'm just going to put the plug in the credit card here because I don't like I said, I don't want to do this forever. So negative 113. And then that now is off by twice that much. Let's put a positive 113. And then, okay, let's go to here. And we're saying it's still off by like that $1,000, which I don't, again, it's the same. It doesn't really understand that let's remove the credit card. And then we're going to say it's 236. So I'm going to put 236. And that will put us back in balance. This one's off by that same $1,000. So I'm going to delete this and try to put this in here at 369. And so this isn't the best. I know I feel like I'm kind of cheating here. I am cheating. But let's just, I want to be able to process the report. So this is going to be 513. And so that puts us in balance here. And then here, I'm going to just say to do it's still off by that $1,000. I should, I feel like I should take more time to look at that. But I'm not going to, we're going to keep pushing forward here. For the example problem that puts us in balance. So, let's go here. It's off by $1,000 again. Let's delete it. And then go back in here, 835. And then boom, boom. I'm going to do it again. And then put in here the difference of 1016. And then boom, boom. And let's delete this. And then I'll put the difference of 1211. And then and then take this out. And I'll put the difference in here of 1424. And so now this one will take this off off by $1,000 again. That same $1,165. And then that's in balance. And then finally, let's do the same here. And so we'll put this back in at 1905. So now I've got green check marks across the whole thing. Now what I'd like to do is if I want to drill down on this further, I'd really like to be able to actually generate the report and then be able to drill down on it, but it won't let me generate an actual report unless I get all the green check marks. So maybe we'll go back into this later because we can always adjust it, but it won't let us actually process a report unless it has everything checked off. It's trying to force us to be in balance again, which is kind of a good thing. But I don't think that's the optimal way to do it because it would be easier to look at the report to try to fix something. So let's save and close it now. And so now we have it, now we have it processed. Okay, so it looks like at this point in time, QuickBooks Online only has the actual reports for the budget reports that being the budget versus actual and budget overview reports for the budgeted income statement or budgeted profit and loss reports and not for the budgeted balance sheet. I would assume going forward QuickBooks would hopefully generate the ability to create reports for the balance sheet that is still fairly new for QuickBooks Online. The desktop version I believe has had the ability to make a budgeted balance sheet for some time, but the online version really only had the ability to make the budgeted profit and loss. And then they added this feature to be able to select the data input for the balance sheet. And again, I would assume that going forward they will make an adjustment and add the reports that would be generated from the data input for the budgeted balance sheet.