 QuickBooks Desktop 2023 Bill Form. Let's do it within 2-its, QuickBooks Desktop 2023. Support Accounting Instruction by clicking the link below, giving you a free membership to all of the content on our website, broken out by category, further broken out by course. Each course then organized in a logical, reasonable fashion, making it much more easy to find what you need then can be done on a YouTube page. We also include added resources such as Excel practice problems, PDF files, and more like QuickBooks backup files when applicable. So once again, click the link below for a free month membership to our website and all the content on it. Here we are in QuickBooks Desktop sample rock castle construction practice file provided by QuickBooks going through the setup process going to maximize the home page. I'm going to open the open windows by going to the view drop down open windows list open the major two financial statement reports by going to the reports drop down company and financial P and L date range change. I'm going to go from 010124 to 123124 tab tab. So January through December 2024 going to make the font a little bit larger customizing it fonts and numbers and let's change that font bringing it up to 12. Okay, yes please and okay. Let's go to the reports drop down once again company and financial this time the balance sheet the balance sheet going to change the date to 123124 and run that one customize the report just bringing that font size up a bit fonts and numbers change the font size let's bring it on up to 12 to 12 to we're going to say okay yes please and okay so there we have it we're going to go back on over to the home page we're focusing in on the vendor section noting the vendor section means that ultimately money is going to be going out for the purchase of goods and services for the use in our business. Now remember the easiest way that you can do this would be that you're on a cash basis system and even more than a cash basis system you're dependent on the bank so that would mean that you have like electronic transfers for example that are you going to wait till they clear the bank which shouldn't take too long because they're done with bank feeds and they usually have the vendor name in the memo and you can use that to basically enter the transactions into the system when you do that we'll basically be writing a check so that would be the first easiest way the next easiest way would be a cash based system where you just pay the bills when they come do possibly buy check and you actually write the check using this form which we'll talk about later decreasing the checking account and then you reconcile that to the bank and we'll talk about that later the next system easiest way the next easiest way would be an accrual based system meaning you get the bill and you don't write the check directly or have an electronic transfer directly but instead enter the bill into the system and then track the bill paying the bills at some later point in time that's the system we'll focus in on here that's the accrual system that's going to be one where we're going to be tracking the accounts payable and have to deal with that accrual account of accounts payable so we're looking at then the enter bill form the enter bill form can be found here the enter bill form can be found up top in the vendor drop down and then the enter bill you can also find it in the vendor center which you can go into here or you could go to the vendor center with the drop down vendor center here you got the enter bill which you could find on this drop down i'm sorry this drop down enter the bill you can also find the actual vendor and then enter a bill with this drop down and and bills right so there's a bunch of different ways you can enter the bill most of the time i will either go to the home page let's close up the vendor center home page and enter the bill here or i'll go up top and go to the vendors and enter the bill this way now entering the bill means you can imagine you got a physical bill or you got a bill uh on from from in some other way electronically or something like that you're going to enter it into the system but you're not going to pay it you want to track that it's in the system entering it in the system before you pay it has some benefits because that means that you can put it in the system and record the expense uh when you get the bill which is usually closer to the point in time that you actually did the work from an accrual standpoint when you when you actually incurred the goods and services provided to you by the vendor that's usually where you want the expense to be because you actually used up the goods and services at that point in time that's usually closer to the point that you get the bill if you're going to wait to pay the bill tell you know as late as possible so we're going to enter the expense at that point in time also it's nice to have that bill in in the system so that you can then use quickbooks to track the the outstanding bills and then organize which bills need to be paid and when so if we go into the enter bill we're going to open up a bill it looks like a check form but it's not a check form it's a bill form the difference being that the bill form is always going to increase the accounts payable so instead of like a check form decreasing the checking account you're going to be increasing the bad thing the accounts payable a liability account i'm going to close up the icon up top and we're going to go to the prior bill i'm going to go to the prior bill and find one that we can just take a look at here so i'm not going to look at this one because it's an item we'll take a look at this one in a little bit i'm going to go to back one more and here's a good one because this is just a standard kind of gas bill so let's just go through the normal data input when you enter a bill so right first we'd have to enter the vendor if the vendor had already been one that we used before then it'll be straightforward because the vendor will just start to type it in there and it will auto populate typically there so that would be great if it's not a vendor that we've used before possibly because we have a new company file we can type in the vendor and add a new vendor as we enter the transactions or we could just add a new vendor up top that's usually how new vendors are entered they're entered as you entered basically the transaction if you're working on a company file that had been used by somebody else in the past then you want to try to conform to their vendors you don't want to change the name of the vendors you don't want to have five different names for the same vendors you might want to change things in the future but you want to make sure that your as consistency is important in the accounting software or else things get kind of messy then of course we have the date i'm using tab to tab through the forms remember that the bill form is what quickbooks calls a form a form in quickbooks means a data input form the data input forms usually being the things to enter the transactions that will ultimately affect the end result product that being the financial statements balance sheet income statement or profit and loss and the subs the reports that are related to them all other reports right so we've got the the date and then we've got the reference number we've got the amount so obviously how much we're going to be paying and then we've got the bill due date so note that the due date we could set automatically we might get the bill and say i'm going to enter the bill whenever i enter it and then i'm going to look on the bill and say when is it due by that due date's going to be important because then i want to sort the this stuff by when the bill is due to determine when i'm going to be paying it you also might have the terms over here that can help you to kind of enter the the due date which will give you like an automatic when the bill is due kind of transaction so we're going to enter the transaction as of when we enter the bill that's when it impacts the financial statements increase in the expense increase in the accounts payable but it's not and then the due date is when we're actually going to be paying it by that's when we want to enter the check or the pay bill form that due date could be done automatically with the terms which would be like 15 days with basically this term and we could have a situation where we get discounts for example if we pay early that usually will be applicable if we're buying say inventory so we might have a memo as well so if we can add added information to the memo that can be useful notice on the right hand side we've got some detail in terms of the summary so we've got the open balance still outstanding here and PO's if that's applicable i'm going to close this with a little carrot so we have a bit more detail down below then we have two tabs down below expenses and items i'm going to make this one a little bit larger put in my cursor on those three dots and dragging to the right so we can see that a bit more detail let's make it even a little bit larger okay now the expenses side is a little bit deceiving because usually when you write a check the other side is going to be an expense so the we can think of this as having a financial impact on the accounts on the financial statements meaning two accounts will be affected at least one is going to be an increase to the accounts payable account that's what the bill means the other side usually goes to an expense so an expense account down here but not necessarily we could have this bill form you know paying paying off a loan or something else that we're going to be entering this could be any basically account that we're entering down here which is often going to be an expense we might be purchasing like an asset or something like that a fixed asset for example in which case you'd have a property plants and equipment type of account instead of an expense and the asset type of account but in essence you're entering an account down here directly if you were to be purchasing inventory that's the main reason that you would have an items tab on the right hand side so an item would mean that you're purchasing inventory the reason you need another tab is because the item is going to help you to track the inventory within the quickbook system as opposed to just assigning it to an account so in other words if you're entering the bill and you just want to assign it to an account like an expense or an asset you're usually on the expenses tab if you want to track inventory within the system as you pay for something as you buy the inventory then you're usually got to set up items which we'll talk about later and then go to the items tab to enter the the inventory item the impact on the financial statement of this bill is going to be an increase to the accounts payable and the other side is going to be going to this expense account looks like it's an expense account now we don't use that's usually basically the most common or most important components of the bill just to give a quick recap of these items up top you can have a new opens a blank transaction you could save it you can delete it if you if you need to go into a bill and delete something you could do that but again be careful of deleting things because that can have you know impacts because the bill can be tied to other forms and so on you can create a copy of it so if you have like a long bill that has a whole bunch of expenses down here and you wanted to copy it and make another one or something like that you can memorize we might talk more about memorizing transactions in the future which could make the duplicate of the transaction a little bit easier but also if you have the same vendor that you're using oftentimes it'll help to populate the vendor by just having the default settings populate the vendors but again if you have complex bills it could be useful to memorize we could print we can attach files if we need to attach that so we have a better kind of audit trail sometimes select the po the purchase order is a form we'll talk about in the future only applicable if you're selling inventory and even then only if you're ordering the inventory you know before you're paying for it and then you can connect the bill to the po we'll talk about that later enter time so if you had time transactions that you're that you're entering the bill for we might talk about that entering time we'll talk about that in a future presentation clear the splits so if you've got some transactions that are in both the expenses and items tabs down here that could be applicable reconcile recalculate so we could if something didn't calculate it should calculate basically automatically down here but if not you can kind of refresh things up top upload if you you could set up basically a system of uploading the bills if depending on your particular circumstances which could make the data input a little bit easier in some cases pay bill opens the pay bill window so if you wanted to pay this directly you could go into this and it'll go to the pay bill window having that one already checked off i'm going to close this back out and say no you can also of course go to pay bills by going to the drop down up top in the ventures and go to the pay bills okay so now let's look at the next one i'm going to go up here and go oh just let's take a look at the reports tab real quick so many people don't use the reports tab quite as often but you can kind of generate reports based on or that are related to this this transaction so you got the quick report opens report that displays transactions for the selected vendor so if i open that up you've got the vendor report oftentimes you might get this detail from the vendor center or by running a vendor related report report history so you can see the history of the report journal transaction journal now this one you probably don't use this to give to anybody but this gives you the journal entry so if you have an accounting background and you're saying i want to see the journal entry of the forms because the point of the forms is to enter something in part and not have to know the debits and credits but if you're learning the debits and credits then this is a great tool because every form that you enter you want to know which accounts are impacted which ones are going up and down and then if you know the debits and credits the debits and credits can be more straightforward so every form that you look at you want to be thinking in your mind what's the impact on the financial statements what are the debits and credits in other words or which accounts are going up and down so that form can be a useful tool just for practicing the item list gives you a quick jump to the item list which we can again find in the reports as well this will be more applicable with a bill if you had inventory that you're purchasing the open purchase orders again only applicable in some cases if you have inventory vendor balanced detail so this will give you a report about a vendor which you probably would get more likely from the vendor center unpaid bills again you'd probably go to the vendor center to look at that in more detail purchases by vendor detail so some reports here i'm going to go back to the main tab which is the one that normally you'd be looking at let's take a look at the next bill if i go to the next bill here we've got this one this one similar process the difference here is that now instead of the expensive side of things they entered that into the item side of things why because they're buying inventory and they're tracking the inventory within the quickbooks system so the inventory is being tracked we have to set up the inventory items we'll talk about that later and so that'll help you to track the perpetual units of inventory into the system and then you got the quantity the cost and so on in order to populate down here let's close this back out now next time we'll talk about entering the bill and then paying the bill when you go to the pay bill all the bills that you have entered that have not yet been paid will be populated here you could determine which ones then you want to be paying and sort them at a future point closing this back out you also if i open up the tab over here can look at a similar set of data by going to the vendor center let's do that by going here or vendor drop down vendor center and so within the vendor center i closed up the carrot again you could go to the to the bills for example for a particular vendor and then you could search the bills that have been entered here you can also search for the open bills by going to the transactions tab up top and say go to the bills and search for the bills here that have been entered you can try to look for the ones that are open the ones that have not yet been paid yet this way and you can look for the overdue ones that are none at this point in time for this company okay let's look at the impact on the financial statements if i open up this carrot and we go down to the balance sheet whenever we enter a bill i'm going to close the carrot for now whenever we enter a bill it's going to increase the accounts payable so the balance sheet we'll talk about more later but it's in order assets i'm going to close up this carrot altogether liabilities and then the equity down here so we're focused in on right now the liabilities side of things we're focused in on the accounts payable so when we buy something on account entering a bill we purchase something we haven't paid for it then instead of the checking account going down that we have the liability account of accounts payable going up we're sorting the fact that we have a bill that we have not yet paid for so if i double click on the accounts payable changing the the intro date 010124 now you can see this only has bills and payments of bills that's what we would expect in an accounts payable account right it's going to be going up with a bill and then it's going to go back down when we pay the bills off and if you get into this in more detail is a bit more complicated one you got this one right here you can kind of like tick and tie out that 300 i thought i saw the other 300 but you should be able to go through here's an outflow of 300 so you should be able to tick and tie them off right it goes up with a bill and then it goes down when basically you pay off the bill that's what we would expect to see in the accounts payable but this accounts for payable a court report doesn't track the information by who we owe so if we want to track the information by who we owe we can do that a few different ways we can go to the vendor center we can go here to the vendor center and and look at who we owe by going to the vendors here or we can go to the home page and we can basically track the outstanding bills by going to the pay bills or we can run another report which is going to be related to the balance sheet report let's do that quickly here if we go to the reports here's this one i'm going to close the transaction detail report i'm going to close this one so now i want to run another report that's breaking this information out by who we owe reports drop down we're going to go then to the vendors payables and we can go to the ap aging summary this is the most common one oftentimes you could use the vendor balance summary or the vendor balance detail let's take a quick look at that one vendor balance detail and so this gives the information by vendor now so it gives the activity the reason you don't use this one as much is because this basically gives you the same stuff that you had in the vendor center but if you total it up you get down to the total of the 26 6 36 92 which should match what is on the balance sheet right 26 6 36 92 the one report that we often use more often because it's it's not the information you get from the vendor center it's going to the vendors drop down the ap aging report as of 12 31 24 and this breaks out who we owe the money to but it also gives us kind of that outstanding or the overdue stuff so now we've got the ones that are that we have that we have more urgency to pay here which can be a beneficial another beneficial added report that we might use for different various reasons within the accounts payable cycle especially if we get kind of more complex with a lot more accounts payable let's go back to the balance sheet so so there we have it now when we enter the bill usually the other side of the bill when we enter these transactions from 010124 when we enter a bill transaction for example and let's look at one that's down here towards December going to scroll down so we've got these these bills that have been entered in December then the other side oftentimes if I see the split column this is going to give us now it's a little bit more complicated here because we have jobs so they're they're basically going to a job account but that went to account five four three zero zero note that every transaction has at least two accounts that are impacted so this one went to account six four two one zero so the other side if I close this out six four two one zero let's go to the income statement it close up this one six four let's just say six four two one zero six four six four two so I think this is six four two one zero if I double click on that one then you could see this was entered with a bill right so there's the other side of that bill I think it was the same one we were looking at if I double click on it and drill down on it that takes me back to the bill so that's how you can kind of deconstruct what is happening so every time you enter a bill what you want to do and you might be able to go to the reports here and look at the transaction journal look at the journal look at the two accounts that are impacted and then go to your major financial statement reports balance sheet and income statement and drill down go from the source go to the end result and drill back down and see the building blocks that that got to that end result so when we go to the when we enter a bill it usually increases the accounts payable and then the other side is going to go to the income statement and it's going to be some kind of expense typically the expense is going to be you know decreasing the net income and we'll talk about these two reports in more detail in future presentations but you might have accounts payable that is paying for say inventory so you might be buying the accounts payable and the other side is going to be increasing an asset an asset such as inventory or an asset such as as fixed assets like furniture and fixture so that's the general thing with the bill i'm going to go back to the homepage here and in the next presentation we'll focus in on the pay bill component which would of course be the next natural step in the accrual process for the accounts payable