 QuickBooks Online 2022, enter billable time and add to invoice for a job. Get ready because it's go time with QuickBooks Online 2022. Here we are in our Get Great Guitars practice file. We set up with a 30-day free trial. We're going to hold down control scroll up just a bit to get to that 1-2-5% currently in the home page, otherwise known as the Get Things Done page. In the business view, as opposed to the accounting view, if you would like to change to the accounting view, it's something you can do by going to the cog up top and switching the accounting view down below. We will be toggling back and forth between the two views, either here or by jumping over to the sample company, which is in the accounting view. Back on over to Get Great Guitars. Going to open some tabs up top by right-clicking on the tab up top and duplicating it back to the tab to the left, right-clicking again and duplicating again back to the tab to the left and doing it one more time with another duplication. As that is thinking, we're going to jump over to the sample company to see where the reports are located, which happens to simply be in the reports area. If you were in the accounting view, jumping back over to the business view, which is still thinking, it's okay, my computer is a little slow, but give it some time. Give it some time. It's a good computer. We're going to go over here to the business overview. That's where the reports are located. Then we're in the reports on the left-hand side, opening up the good old balance sheet report, and then we'll do a closing of the hamburger. Range change from 010122 to 123122 and run it. Going to the tab to the right. Going back down to the business overview reports and profit to the loss. Income statement, it's otherwise known as hamburger. Close it so we can work on the stuff here. 010122 to 123122 on the ranging of the changing. Then tab to the right one more time. Going on over to the business overview. Closing up the hamburger. We're going to look up the trial balance just by typing in trial balance and then selecting that item. Then the ranges, they are changing. We're going to go up top to do so. 010122 to 123122 and hold on a second. 123122 and run it. There we have it. Back to the first tab. Now we're going to imagine we're in basically a job cost type of system and we have time that's going to be tracked. This would be a law firm, bookkeeping firm or any other firm that's in a job cost type of system, but we're concentrating on time that we're basically applying out. So a service job cost type of system would have this as well like a law firm or a CPA firm where you got a bunch of staff that are worked to death by a couple partners, a few partners and whatnot, and then we take their time and we then charge the clients based on their time. Therefore, we might have particular jobs that are going to be set up for four customers and we talked about this in prior presentations in terms of setting up the job which you can go into the get paid or paid area and into the customer center which if you were in the accounting view would be in the sales area and then in the customers center over here and we set up some jobs here which are going to be sub customers. You might call them sub customers. That is what they are called in the online version. But these two jobs, we just set them up as numbers that are sub jobs to the clients or customers of Jones guitars and Sam the guitar man. That is different than setting up projects which is kind of like the newer and possibly cooler way of doing a tracking this kind of information and so keep those two things distinct. The projects are in the business overview area and then you have got your projects down here. So when you are doing this kind of system you have got projects, you have got jobs, you have got jobs in which all can have some overlap in terms of exactly how you want to be entering this information. That is one of those things you want to try to think about before you start setting up your system so you can choose which of those options and which tools are the best for you to use. Once that is set up then we are going to want to get our time from our employees or the people that are working for us that we are going to be billing. All firms, CPA firms we are going to have our staff which all the partners are basically working to death and saying work on this project and basically give us your time so that we can build the client for the time. So note that you could do that by hitting the plus button up top. We would need some type of timesheet and we have the single time activity that we could enter whether you have the payroll or not so you can enter this information into the system. We would of course need the time from the client in some way shape or form. We could have them simply track it by writing it down or putting it in an Excel worksheet giving us the hours on a weekly basis or something like that. We also if we have the payroll set up if we go down to the payroll down here you've got your time information for your employees down here access your premium time tracking information and you can look at launching the QuickBooks launch QuickBooks time activity where you can actually basically get your employees to use I believe this is T sheets here that's basically I believe purchased by QuickBooks or into it and they can enter their information in this format which could link in you can use this information to tie in to the payroll as well and get the information in terms of who they worked on and so on and so forth so that you can build them but whatever way that you get the time you can do it you could do it this way the more high tech way for the billable time or you could just have them fill out a time sheet on who they worked for and what jobs they worked on and give that information to you on a weekly basis by weekly basis or monthly basis we then need to enter the billable items into the system so I'm not linking the time in this case to the paying of the employees we might actually even do that separately meaning you might have employees that are on the books as a salary to employee but you still need to track their time because you have to build the client for their time based on what the time they have put in so for that we're going to imagine we've got their time information and we're just going to go into the plus button and I'm going to enter the weekly time information into the system so that we can then use that to turn around and create the invoices with so I'm imagining that my two employees have given me their time sheets and told me who the billable hours are that they have worked on for the week and I'm just going to give an example of kind of entering this into the system and then using it to create an invoice so if I hit the drop down up top and try to say this happened let's say on the week of we'll keep it here 123 to 129 and so if you're working at a later date I'm basically putting this in in January and you have some limitations in terms of how far back this can go it goes pretty far back though so we're pretty good on how far back the time entry you can enter so that's good I'm going to start off with Erica that's our employee imagining Erica gave us her time information for the people that she worked on I'm going to imagine for our guitar shop it's like she did guitar lessons or tuned up the guitars or something like that that we're going to charge hourly service for which would more likely be something you'd see in like a law firm or a CPA firm or something like that so then notice also when I hit the drop down then if I'm looking at this Jones we set this one up as a sub-customer and this is a project so the two kind of systems that you could use to track longer term or types of projects that will still be build under the customer so those are different systems let's start with the 3005 here that's the sub-job sub-customer or basically job and select the pay item so we got the item select pay item or regular pay I'm going to select the pay item here and then I'm going to say you can put the description like guitar lessons guitar lessons that are the thing that we're going to be billing for and then I'm going to say it's billable so that means it's going to pull over I'm going to be able to pull it over to an invoice and notice this is here where you'd want to think about well how actually am I going to build them am I going to have like a set rate that I bill out my employees time by which is not necessarily and most likely isn't simply the rate we pay them is better than that generally or am I going to try to bill them out on different things depending on what they did meaning they had guitar lessons versus whatever else they did and then possibly have different rates which I might track then when I look at the items when I set up my service items so you might be able to look up in the service items what you're charging for those items based on what you've set up basically with your service items and then charge the rate here then the rate that I'm going to charge will be so I'm going to say here it's 100 and then is it taxable it's not going to be taxable generally that means sales tax if it's a service item so I'm going to say it's not taxable I'm not going to put anything there and then let's say on Friday the 28th we had 8 hours here and then let's say she also worked on another one and that's going to be our other job let's say that we set up for Sam the guitar man and let's do this one to a project this time just to see the project for Sam the guitar man as opposed to the job or the sub customer and I'm going to say guitar lessons again so guitar lessons and this is going to be let's say on and this one will put Saturday for 8 hours so we had Friday up top for Jones job 3005 and then we have the project down here it's also going to be billable $100 an hour and we put for Saturday we can see the calculation then on the right hand side let's save it and close it so you can hit the drop down find the save and the close now I'm going to go back up to the plus button let's make an invoice I'm going to make an invoice we're going to build the first one and then not quite yet the second one so remember if I hit the drop down up top we've got the first one which we put to the job or sub customer and the second one we put to the project so up here under the Jones I'm going to select 3005 that's going to the job going to tab through this and we want then the date to be on the 30th I'm going to say on the 30th and then I'm going to apply it out so we've got this item on the right says do we want to add it I'm going to say yes please let's add that in so that looks good and then if I scroll down so now it pulled in the numbers the guitar lessons the eight hours at the rate of $100 you can see it's linked to the time sheet over here and we've got the 800 so what's this going to do it's going to be increasing because it's an invoice the account receivable and also the sub ledger for the job of 3005 or the sub customer which is a sub customer of Jones guitars which is who we're going to be billing out for and then we've got the 800 increasing some type of account so let's go ahead and save it and close it and take a look at that save and close let's go to the tab to the right and let's make sure it's fresh by going up top and running it again going down to the A to the R accounts receivable a slash are scrolling down and there it is so there it is increasing here the $800 going back up top back then to our report and zooming back in the other side is going to go into the sales which is on the income statement profit loss is freshen it up and we've got the service item here should be in the service we would think due to it being a service item and not an inventory item and there it is the $800 here let's go back up top let's go back to our report again let's open the sub ledger right click it on the tab to the right to do so duplicate it and just take a look at one more report which is the sub ledger type of report breaking out the accounts receivable by who owes us the money going to the reports on the left hand side to do so closing up the hamburger scrolling down to who owes you and then we're going to say customer balance detail report that's the one that's the one we want and we've got then Jones and here's the customer so it's under Jones sub customer $800 and then that totals out then at the bottom to the $1355750 for the total AR which should match what's on the good old balance sheet $1355750 okay so let's add one more bit of complexity before we complete the next one we're going to use the billable kind of component this time also by entering a bill that will become billable that we're going to use along with the time for our second job or project before we do that let's take a look at the billable items setting so I'm going to go to the tab to the right to do that right click on it and duplicate it and then we'll take a look at the settings which are going to be in the cog up top selecting the cog up top and then I'm going to be taking a look at the account and settings under the your company now we turned on the billable items in the past we want to take a look at some differences with regards to the settings the thing we're concerned about is when we pull over the billable item into the invoice and I'm in the expenses tab and in the billable items is it going to be a negative reimbursement of the expense or is it going to record an income account as we pull that line item in so we got the billable expense items billable billable here I'm going to uncheck this one first and see what that will do when we pull it over to the invoice then we'll come back in here and check it back off and then we'll also think about what we might be able to do with regards to using items in this process so let's save it and close it I'm going to then go back to the first tab and then now let's go down to the plus button I'm going to enter a check type of form here so we're just going to have a check and imagine we're purchasing supplies from office depot office depot supplies on 130 I'm going to put the check number back to the 14th because it got kind of messed up when we did that payroll item it pulled in the prior account which is furniture and fixture I want to put it into supplies just supplies account so I'm going to put it into here notice I'm in the business view which doesn't give me like the account name this is something I really don't like with the business view because it's not showing you the detail that would make the data input a little bit easier in the accounting view it would but we'll stick with it here in the business view just as the same 130 we're going to make it a billable item and then we're going to charge it to a customer which will not have an impact on the transaction for this form but allow us to pull it into an invoice it's going to be for Sam the guitar man project number two so this form will decrease the checking account it will then increase the expense and then it'll allow us to pull this into a line item on the invoice for Sam so we're going to save it and close it let's check it out let's check it out this time by going to the trial balance since it's just a check and we can have the two items on the same form running the report zooming in going into the checking account so we can see the check which is decreases zooming back out there is the check scrolling back up top going back to our report the other sides on the income statement which is the balance the bottom of the trial balance down here in supplies going into the supplies and scrolling back out there's the 130 on that side scrolling back up back to our report holding control zooming back in let's go back to the first tab again and now we'll make an invoice so I'm going to say let's hit the plus button make an invoice and pull over those two items for the project now opening up the invoice to do so drop down this time I want the project for Sam the guitar man project number two and it has these two items so I can add them individually or add all just put them both in and so there we have that and so it's going to be net 30 that looks good going down here now note it doesn't put anything in the description which would be kind of nice if it put like the expense account but you can link to it here and see so it can help you out with putting in the descriptions for like supplies supplies and that's one of the reasons the product or items are a little bit nicer because it allows you to do that because the items will then pull in what you were spending the money on in the description field so this will be increasing the accounts receivable and the sub ledger for this particular project that will be linked to Sam the guitar man the customer and then the other side should be going to revenue for the 100 but it might put a reimbursement for the one 30 so this one 30 is the one we're mainly concerned with here in terms of what account it's going to be charging with it so let's go ahead and save it and close it and check it out so if I go then back to the trial balance and run that let's run it to see what's happening and we can go into the AR the accounts receivable the A to the R and then we see down here we've got the project there's the 930 for the full amount for the two items that were charged back on over to the trustee trial balance scrolling up and scrolling down then we've got the service revenue on the income side of things we're in the service revenue going into that holding control scrolling down a bit and we've got the invoice so there is the invoice for the project scrolling back up back then to our report holding control scrolling up a bit and then going down to the supplies the other side they put into a reimbursement of the expense so notice that's not normal so there might be sometimes when you would want that to happen but they didn't record it on an invoice as income they didn't make a revenue line they put it as that negative expense that's not typically what you want to see what we would like to have it do is report it as an income line item now there's two ways you could do that make we can change the settings I'm going to go back on over to our report and and and set the settings and that and that way it might pull it into an income line item or we can use items so let's take a look at those two methods let's go back to the first to the tap to the right let's first change the settings I'm going to hold control scroll down just a bit I'm in the expenses area the billable items and expenses again and let's now we're looking at this expenses items let's do this and what that will do is that when we enter the invoice then it's going to put it into an income account as opposed to an expense account we don't have a lot of control over the income account that it puts it into but at least it won't be a reimbursement of an expense the other option we could have is to use items so let's go ahead and save that make sure to save it and then we're done and so that should be recorded we're going to go to the first tab and repeat the process hitting the plus button we're going to go to the X let's go to a check let's write another check and it's going to be for let's go to office depot again just repeating the process tabbing through everything looks good this check number needs to be 15 it should be tabbing through this and then at the bottom it's trying to memorize the last transaction which is good I'm just going to change the number to 200 and then I'm also going to make it billable and I'm going to charge it this time back to the last sub-customer which is going to be 305 sub-customer of Jones guitars and so that looks good let's save it and close it so this is going to do the same thing that we would expect in that it's going to have an impact on cash the other side is going to go to the income statement holding control down we're going to go back down and say in the supplies on the income statement we'll see it here so if I hold control and scroll back down there's the 200 there now I'm going to record it as an invoice and see it should not then record a negative expense here but rather create an income account for the line item that we're pulling in this time which is typically the preferred thing I would think for most cases so I'm going to go back to the first tab and I'm going to say okay let's hit cross button again let's make an invoice this time and this is going to be charged to we're going to say this is going to be going to the project the not the project the 305 sub-customer and then I'm going to pull over the billable item I'm going to just add all and then tab through this thing it looks good looks good looks good and then down below it didn't put the description but it has the link so I can add a description this is one of the nice things about a service item if you use an item it'll pull in the description for you I'm going to put in office supplies this will then increase the accounts receivable the other side we're hoping it now goes to an income account as opposed to a negative expense account let's save it close it and check it out I'm just going to look at the income statement because that's what we're mainly concerned with here running it again and we can see here it added this billable income account now I think that would be the preferred way to see it often times as opposed to having that negative expense account down below now you might be able to get even a little bit more control in terms of the type of income account instead of having to just go to this billable expense income if you were to use basically items with it but we're going to stop here at this point let's also just take a look at the projects if I go over to the projects over here we saw that if we go down to the project because we had that one item entered into a project by going to the business overview area and if I was to then go into the projects on the left hand side holding control scrolling down a bit you might have to scroll down a bit to see the two projects down here below but you can see that this one that we posted to the project is kind of tracking in this project area so you got the income line item for it we jump back on all the way to the right where we had our sub ledger in place and we're customizing not customizing but refreshing running the sub ledger now we've got the information under the this one is the job or sub customer versus the project down below for Sam the guitar man and you see the detail with regards to the project for Sam the guitar man the total and the AR the 14, 6, 87, 50 we're now out to what is on the balance sheet here if I was to refresh it running it again we're at the 14, 6, 87 so this is where we stand at this point in time let's take a look at the trustee trial balance now I think that would be the preferred way to see it oftentimes as opposed to having that negative expense account down below now you might be able to get even a little bit more control in terms of the type of income account instead of having to just go to this billable expense income if you were to use basically a little bit with it but we're going to stop here at this point let's also just take a look at the projects if I go over to the projects over here we saw that if we go down to the project because we had that one item entered into a project by going to the business overview area and if I was to then go into the projects on the left hand side holding control scrolling down a bit you might have to scroll down a bit to see the two projects down here below you could see that this one that we posted to the project is kind of tracking in this project area so you got the income line item for it and then if we jump back on all the way to the right where we had our sub ledger in place and we're customizing not customizing but refreshing running the sub ledger now we've got the information under the this one is the job or sub customer versus the project down below for Sam the guitar man and you see the detail with regards to the project for Sam the guitar man the total in the AR the 1468750 still tying out to what is on the balance sheet here if I was to refresh it running it again we're at the 14687 so this is where we stand at this point in time let's take a look at the trusty trial balance just check your numbers if you're following along and everything times out great if there's any differences try changing the date range we'll also be running transaction detail reports which are great reports to diagnose any differences