I have been able to create Items for the services I provide, but I'm confused about creating expense Items. For example, how would I create expense Items for:
Taxis Trips (i.e. going to a conference) Computers Office supplies Meals (client entertainment)
etc.
TIA
"Other Charge" item.
You can also create or edit a Service item so that it may be used as either Income or Expense by selecting the option "This service is performed by......", which allows you to associate the item with an Income account when used on an invoice and with an Expense account when used on a Bill or Cheque.
An Other Charge can similarly be used for both Income and Expense by selecting "This is a reimbursable charge."
OK, I just need to clarify something. Reading the online help, it seems to suggest that I'll re-sell the Item to my customer. That's not the case here. It's more like overhead. I'm confused as to what defines "a reimbursable charge."
In a similar vein, how should I handle situations where I pay for something out of my own pocket, though it is for company business. I'd like to be able to put that in a Shareholder's Load account. IOW, the company will just owe me the money. How do I do that?
True, the primary purpose of the reimbursable charge is to facilitate charging an expense directly to a customer. But just because you
*can*, does not mean that you *must* charge it to a customer. Most users do not create items for expenses such as the examples you cite - just charge them to the appropriate accounts on the "Expenses" tab of a cheque or bill - but you certainly *can* if you wish. I assumed you asked "how" because you had a reason for doing so, but maybe you're just confused. You might save yourself a lot of time and money by asking your accountant or a QB advisor for 1-2 hours of training.There are several possible methods of recording business expenses paid personally. My preference is to create a "Bank" type account for this purpose, call it something like "Payments by shareholder" or "Shareholder's pocket". On your balance sheet this will usually look like a bank overdraft. Periodically - at least at year-end, or monthly or as often as you wish, "cover the overdraft" by recording a "deposit" or "funds transfer" to the account from your Shareholder Loan account.
Thanx. It was my accountant that suggested QuickBooks. Now, I think I'll make him earn his fee by telling me where things should go. ;-)
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