 QuickBooks Online 2023 create invoices using billable time, receive payment and make deposit. Get ready to start moving on up with QuickBooks Online. Here we are in our get great guitars practice file. We started up in a prior presentation using the 30 day free trial. We also have open the free QuickBooks Online sample company to open the two at the same time we suggest using incognito or another browser. You can open the incognito window if using Google Chrome by selecting the three dots in the browser and choose incognito window. Then type into the search engine QuickBooks Online test drive. We're using the sample company to compare the accounting view, the view get great guitars is in and the business view, the one the sample company is in. You can change between the two by going to the cog up top and change the view down below. Let's duplicate some tabs to put reports in like we do every time. Right-click in the tab up top to duplicate. Right-click in the tab up top to duplicate. Going back to the tab to the middle and we're going to go to the report. Support accounting instruction by clicking the link below giving you a free month membership to all of the content on our website broken out by category further broken out. By course, each course then organized in a logical reasonable fashion, making it much more easy to find what you need than can be done on a YouTube page. We also include added resources such as Excel practice problems, PDF files and more like QuickBooks backup files when applicable. So once again, click the link below for a free month membership to our website and all the content on it. It's on the left. Open up one of the faves that being the balance sheet. If it's not one of your favorite reports, then there's something wrong with you. You need to seek help because it's one of the favorites for everyone. If you want to know where the reports are on the business view, by the way, they're under the business overview and then the reports. Then we're going to go to the tab to the right and open up the other favorite report, which also is mandatory favorite just because it just has to be. And then I'm going to go up top and change the range. Close the boogie change the range from 010123 tab. Let's go to 022823. And then we want to change the totals to the months. Run it. We've got Jan. We've got fed. We've got the tote and then tab to the left. Close the hand boogie and that range in Zara change in 010123 to 022823. And I'm just going to say run that one as is. That's the setup process that we do every single time, every single time. It's getting, it's getting annoying. I know, but we have to. That's what we have to. That's a setup process. So I'm going to go tab to the left. Last time we talked about entering the time. So quick recap on this. If you're in like a law firm kind of situation or a CPA firm, in which case you've got like partners and then staff that you're going to build the time for, then you want, you're going to have to enter the time in some way, shape or form, possibly them giving you the time, your staff, that is for the work that has been done in an Excel sheet or something like that. Or they entered into the QuickBooks system or we take their time and enter it into the QuickBooks system by entering the time so that we can then bill out the time. That's what we did last time. We could also use it to pay the hourly employees, but it's actually a little bit more complex to think about the billing of the time. So there's a little bit more items involved in order to pay the employees. If they're hourly employees, they have one rate no matter what they did when they bill out the time and we're going to invoice on it, then we're not going to use the same rate that we used to pay them because obviously we're going to have to mark it up in some way to make a profit. And we might bill the time out based on what they did or we might bill the based out on who did the work. And so that's what we did last time. Now we're going to be creating these invoices. So we're going to imagine it's the billable time for us in our situation as the guitar shop here. We bill out our guitar instructors apparently. And now we're going to make the billing at the end of the month for the lessons that they did is the concept. So last time we entered the time by going to the plus button and we went to the weekly time sheet and we entered the time for Erika and Adam. Now we might use their time sheets to kind of look and see what they put in the time sheet, of course, but we also can then when we bill out the customers go into our customer center, which I would say was the sales area and then the customers. If you're in the business view, by the way, where is it located, you might say, that's not the business view. It's over here. It's going to be under the get paid and paid area and then the customers and you can sort in here by this billable activity. So we've got these eight items and that'll show us who we need to be billing out for me to hit it again because I undid it when I did it last time. So there's the ones that we need to enter the billable items for. I have the start invoice. I can go into a particular customer if I so choose and create an invoice from the time. So this time has not entered a financial transaction yet. No impact thus far on the financial statements, but it's ready for us to enter a transaction. So I could go into here or I can just hit the plus button and add an invoice. So we'll do it a couple different ways. Let's do it this way thus this time. And this is going to be customer number one that generic customer name. He didn't want to give us his name. He's learning guitar lessons incognito. So a secret guitar lesson. So we're going to go over here and we can add. I'm going to add all of them. Add all and there we have it. So we don't have the email address either because he was so secretive. He didn't give us the name or the address, but he's going to pay us his promises. And then on the date, let's say this is let's say this is 022723. And then down here, we've got the 150 150 and the 300 no tax being applied because it was a service item. We can see the links that are linking to the time that we entered. What's this going to do? Well, it's an invoice. It's going to increase the accounts receivable 300. The other side driven by the items that we set up is going to go to, I believe services that we set it up going to and and we'll check that out. And also the sub ledger will be impacted for the for the customer one. Let's save and close it and just check that out and see if that is indeed what does take place. So if I'm in customer one now, I see the detail. I see this invoice is now open. We expect to have payment on it and these two time items are closed. So very nice kind of tracking mech mechanism internally to see that those have been used to populate. And then I'm going to go to the balance sheet and run it. I was running and we're going to go to the a r a to the r scrolling down scrolling scrolling scrolling. Keep on scrolling. Okay, I don't know what. So there we have it. It's closing this back out and scrolling back up and then tab to the right and we'll run this one. And this is going to be services. I think is where we put it. And there's our guitar lessons there looks good. And then we could run the sub ledger for accounts receivable. But we've seen that a lot. So I don't think we necessarily need to because we could see it in the detail on the left here. All right, let's do the same thing for the rest of them. We're going we're sitting here going, wow, we're going to be rich as we do our billing process. We're just going to bill all these people for our guitar lessons. It's going to be great. So now I'm going to go back into my customers. We've got the unbilled activity. We've got these ones left. So again, I could create an invoice from here. This way this time, I'm going to stay start an invoice boom invoice created and the time is down here already for us. So nice. So I can just email it out if it was if I had that capacity. But these are secretive guitar lesson people were teaching them music that that's dangerous. No one wants this. No one wants to know that that they're learning this epic music. So we have to so we have to just give them the manual invoice, but they're going to pay us. So it's $300. This is going to do the same thing. Let's do let's do a save and new this time for customer number three. I'll just say save it and knew it. We can do that. Save a new and then this is going to be customer three and then it'll ask us again on the on the left. So now we've got these two items for customer number three. I'm going to say Adam, pull them all in, please pull them in. We're rocking in the dough charging this person for our secret guitar lesson music is so we're building them out. 460 same deal. Accounts receivable goes up income goes up sub ledger goes up. Let's close that out or saving clothes. Let's do a saving clothes again. And then we'll check out one more round. So now let's do it this way. Now I'm in the customers again. So I'm going to then I'm in the unbilled. I've only got that one left. Let's start the invoice with that one this time do it that way customer one populates it. Beautiful movie be to the end and everything's the same. Lo Mismo and we're going to say let's say save and close save it and close it. And let's check out the transactions which should everything should be much the same on the transaction side of things. We've got all this accounts receivable. We just got to make sure that these secret customers that don't tell us their name are actually going to pay us. I'm a little skeptical who came up with this idea. They won't even give us their email address and we're going to collect on this money. We shouldn't have given them our secret guitar our secret guitar lesson music. Anyways, I want advanced payments next time. So there's that and then on the other side. If I run it, we've got our service items. So we just need to collect on those. We just need to collect on that stuff. And so then let's go back up top and then of course we can track this information internally now. So if I go back to my customers and I uncheck this off, we got customer one, two, three and four. If I go to customer two, we've got this nice time that has been entered. And then we use that to to invoice. Therefore, the time is closed. We should see a similar thing in customer three and customer four. So the time is in there closed invoice has been generated from it. Let's go to one more customer four, one more customer four. And so the time if I go into the time it's been applied out. And so I'm going to close that back out and say, do you want to leave without saving? I do. And then we're going to go to the invoice and the invoice was generated from it. And so there we have the links here. So that looks good. And then the invoices we can also track as we've seen in the past by by looking at the sales and we can go to the sales up top. We can go to the invoices here. We can look at it and sort it that way. We can also go to the sales items up top. And if I close the hamburger, I don't want to give a survey. I'm in the middle of something here into it crying out loud. And I can sort then by the item here. Notice they have an unbilled income too. So you could sort by that unbilled item, but we've built them all out here. So there's nothing unbilled at this point. But then we've got the invoices that are outstanding. Where's that located on the business view? Could be a question that some people may have. We've been in the customer center here. You could go to the invoices tab here. And then that other thing is located elsewhere. It's under the bookkeeping for some reason. And then it's under the sales tab. And that's where we sorted this kind of information for the invoices. So there is that. Now let's receive one of the payments. I'm going to go through the next process, of course, would be the receive payment. I'm just going to do it for customer one here. And so I can go into multiple places. I can open the receive payment itself, type in customer one. I can go into the information here and look for customer one. So let's do it this way. And I'm just going to say receive payment. That's the next step that we would expect to see happening. It generates the receive payment form for us. Let's say this happens on the same date. That's good. I'm just going to stick to cash on the payment method. And then we're going to put it into payments to deposit as we have in the past, instead of putting it directly into the checking account so I can group it with other payments that I might have that are going to go into the checking account in one lump sum. There's the invoice that has been populated down below. What's this going to do? It's going to increase the cash type of account, but it's going to go to that payment to deposit, the undeposited fund like account. The other side is going to be decreasing the receivable and the link to the invoice will be populated as well. So let's save it and close it and check it out. So now if I look here, it's obviously been removed. It's going to be removed from the open. If I go to the status and look at open invoices, it's removed there. If I look at the closed ones, then we're going to say or the ones that have been paid. There it is here. If I go to the tab to the right and I said, run it, run it and A to the R and scroll down. There's the payment that has been received. Okay. And then I'm going to scroll back up and go back and then to the into not to the income statement to the AR and the cash. Right. The cash has not the checking account. What are you doing? You haven't deposited it yet. It's in, it's in the payments to deposit. There it is. 400, the 400 and there's the 300 that we just had there. Okay. That looks right. And then if I go to the tab to the left, we can also check out what happens for that individual customer. So I can say, okay, if I go into the sales tab and look at the customer for customer number one, let's just check out customer number one. We see that we entered the time we invoiced and then we received the payment. So now the invoice has been paid. If I go into the invoice, we get that nice little paid item here and the link and the links between the forms. And then we've got our payment, which is of course has a link to the invoice. So that's all great looks perfect internally. So if there's any questions from customer one, we can answer them. And then we're going to make the deposit. So now I have this amount in the amount to be deposited 400. I want to take it out of there and put it into the checking account because we're going to put it into the checking account as one lump sum of $400. So we're going to go to the tab to the left and hit the plus button up top, make deposit. And so these two amounts, one was a pump payment. The other, the sales receipt, the form used when at the cash register. But because they're both cash payments, we're going to imagine at the end of the day, we're physically going to put them together, make one deposit of $400. Therefore we want it to match when we deposit in our books so we can reconcile using bank feeds or standard bank reconciliation. So I could select both of them one at a time or I can just say select all of them, saving myself a little bit of energy so I can stay up a little later at night and watch like YouTube videos or something. So this is going to increase the checking account and the other side is going to go decrease that amount to be deposited. Let's save it and close it and look at that last component of our problem here. So not the whole problem, but this section that we've been working on. The problem is much longer. We're going to go on for days more. It'll be great. It's not over yet. You've got a lot more exciting material to look forward to. And then the other side decreased the payments to deposit right here. And so there's that. It put it in here as two separate items instead of one lump sum in here so you can tick and tie them out, which is kind of nice. And so there's that. So that looks good. Let's open up the trial balance to see where we stand at this point in time. So I'm going to go new time to the left. Open up the reports so I can put a trial balance in it. Type in trustee trial balance, the trial balance and close up the hand buggy. I'm going to change the range from 010123 to 022823. I'm going to look at it on a month by month basis side by side. There it is. There's where we stand on our four legs. The debits and credits for January, debits and credits for February. And we're ready to run like a Jaguar or something like a, some kind of fast, isn't it? Jaguars are fast, aren't they? Like a leopard or something. Going to sprint like crazy. So if your numbers tie up to these numbers, great. If they don't, then try expanding the date range. If it's a date issue, drill down on it, see if you can change the date for the practice problem, but be careful doing that in practice. And we'll be running a transaction detail report at the end of the month of data input and drill down on any differences.