Question:
I had a win 95; QuickBooks 4.0 computer which crashed. I’m trying to restore my 4.0 and the company data to a win 98se computer. I am able to copy the QuickBooks 4.0 with no problem, but the one data file that I am able to restore successfully, is current to only 2003. The other two files (one of which is my more current data file) won’t allow me to copy it because it says it’s a read only file (can’t change the attributes either). My backup 4-floppys won’t restore either, they get through two floppy disks and the restore process begins all over from start. Help!!!!! Steve
Answer:
I have a few possibilites to consider. First, the file that is telling you that it is read only, is it a .QBB file or a .QBW file? If it is a .QBW file, these cannot be restored, it is a working file...not a backup. The problem with your disks, may be that the files have gotten corrupted. I have seen this with floppy disks. I reccomend that you use a CD-RW Drive, ZIP drive, or a USB Hard drive...I see problems with these much less frequenly.
This is something that you may need Intuit's help with. They may be able to help you get the .QBW file and it other componants off your old hard drive.
Otherwise you may have to rebuld your 2004-2005 data...Not Fun.
Friday, July 01, 2005
Repayment of an Employee Advance.
Question:
I gave an employee an advance to his pay via check (not through
payroll)He now wants to pay it back but I am not sure on how to enter this part
of the transaction.
Joe
Answer:
First of all congratultions, its rare to see an employee who wants to pay back an advance. The question I usually get is how do I set up a garnishment on their payroll check to get my money back. So give the guy a raise!
To answer your question, there are two ways to go about this:
1. Set up a payroll advance item on his payroll check. This is probably the way to go if you give advances fairly frequently. QuickBooks Payroll should walk you through this. You may have already done this when you gave him the advance. If so, tell him to keep his money and then deduct the amount from his next paycheck...via the same item that you used to give it to him (just input it as a negative this time).
2. If payroll advances occur infrequently for your company, just use a journal entry to put the money back.
DEBIT - Cash/Checking
CREDIT - The account that you put the advance in the first place. (Usually, Payroll advance - Employee Name (a current asset account)).
I gave an employee an advance to his pay via check (not through
payroll)He now wants to pay it back but I am not sure on how to enter this part
of the transaction.
Joe
Answer:
First of all congratultions, its rare to see an employee who wants to pay back an advance. The question I usually get is how do I set up a garnishment on their payroll check to get my money back. So give the guy a raise!
To answer your question, there are two ways to go about this:
1. Set up a payroll advance item on his payroll check. This is probably the way to go if you give advances fairly frequently. QuickBooks Payroll should walk you through this. You may have already done this when you gave him the advance. If so, tell him to keep his money and then deduct the amount from his next paycheck...via the same item that you used to give it to him (just input it as a negative this time).
2. If payroll advances occur infrequently for your company, just use a journal entry to put the money back.
DEBIT - Cash/Checking
CREDIT - The account that you put the advance in the first place. (Usually, Payroll advance - Employee Name (a current asset account)).
Applying A/P Credits.
Question:
When my accountant makes general journal adjustments to correct AP account for checks not cashed for the year I end up with a bill with a negative amount and a bill with a positive amount listed on my bills to pay window. When making the journal entries the vendor is noted with each AP entry. How do I get these entries to cancel each other out?
Answer:
The first thing that you need to do is go into the Pay Bills Screen (Vendors - Pay Bills), make sure that the button for show all bills is selected. Hopefully, you have a bill that shows up for the vendor and amount in question (One of the bills that your accountant adjusted). If so select that bill, and select "Set Credits". The negative amount that your accountant entered should show as an available credit. Apply that credit to the bill that he adjusted out and you should be set!
When my accountant makes general journal adjustments to correct AP account for checks not cashed for the year I end up with a bill with a negative amount and a bill with a positive amount listed on my bills to pay window. When making the journal entries the vendor is noted with each AP entry. How do I get these entries to cancel each other out?
Answer:
The first thing that you need to do is go into the Pay Bills Screen (Vendors - Pay Bills), make sure that the button for show all bills is selected. Hopefully, you have a bill that shows up for the vendor and amount in question (One of the bills that your accountant adjusted). If so select that bill, and select "Set Credits". The negative amount that your accountant entered should show as an available credit. Apply that credit to the bill that he adjusted out and you should be set!
Undeposited Funds.
Question:
When receiving a payment that is sitting in the undeposited funds account, how do you then assign to the correct income account when making the deposit?
Answer:
The income account is not determined when you record deposits. The income account is chosen when you create the invoice (each item is assigned an account). When you receive the payments, the A/R is cleared and the amount is put in undeposited funds (This is where you are). The deposit step simply moves the money from undeposited funds to the respective cash account.
When receiving a payment that is sitting in the undeposited funds account, how do you then assign to the correct income account when making the deposit?
Answer:
The income account is not determined when you record deposits. The income account is chosen when you create the invoice (each item is assigned an account). When you receive the payments, the A/R is cleared and the amount is put in undeposited funds (This is where you are). The deposit step simply moves the money from undeposited funds to the respective cash account.
Tuesday, June 28, 2005
Vendors Entered as Customers.
Question:
I’m a brand new user of Quick Books. I have vendors set up in my customer list. How do I delete them from the customer list and put them in as vendors? There are transactions on log for them because they are vendors.
Thanks
Answer:
Hopefully, you haven't entered very many of vendors as customers, because you are going to have to re-key all of them.
The best thing to do, would be to print a customer contact list (Reports - Customers & Receivables - Customer Contact List). This will give you most of the information that you will need to key from.
NOTE: QuickBooks will not let you use the same name to describe vendors and customers, so you will have to alter the vendor name slightly (you can let the company name be the same, just not the vendor name field). The easiest thing to do might be to add an ",Inc." to the end or something like this.
After you have entered all the vendors, go to the customer list (Customers - Customer: Job List) and right click on and make inactive all the customers that you have replaced in the vendor list. QuickBooks will not let you delete vendors/customers that have transactions (Which yours do).
I’m a brand new user of Quick Books. I have vendors set up in my customer list. How do I delete them from the customer list and put them in as vendors? There are transactions on log for them because they are vendors.
Thanks
Answer:
Hopefully, you haven't entered very many of vendors as customers, because you are going to have to re-key all of them.
The best thing to do, would be to print a customer contact list (Reports - Customers & Receivables - Customer Contact List). This will give you most of the information that you will need to key from.
NOTE: QuickBooks will not let you use the same name to describe vendors and customers, so you will have to alter the vendor name slightly (you can let the company name be the same, just not the vendor name field). The easiest thing to do might be to add an ",Inc." to the end or something like this.
After you have entered all the vendors, go to the customer list (Customers - Customer: Job List) and right click on and make inactive all the customers that you have replaced in the vendor list. QuickBooks will not let you delete vendors/customers that have transactions (Which yours do).
Internet Banking.
Question:
I have 3 different bank accounts and would like to transfer the Debit Card transactions into the check register I went to internet banking to sign on and received an error page..
Answer:
Unless I am missing something, you need to check with your bank's technical support.
I have 3 different bank accounts and would like to transfer the Debit Card transactions into the check register I went to internet banking to sign on and received an error page..
Answer:
Unless I am missing something, you need to check with your bank's technical support.
My Payables are Not Posting Properly.
Question:
I am the bookkeeper for a retail windows store. Over half of our
business is custom orders. Our profit and loss is not recording cost
of
goods sold on custom orders correctly because of this senario:
A customer orders windows at the end of the month. We record a sales
receipt. This goes into Accounts Receivable towards sales for the
month.
We order the windows from the vendor--creating a purchase order. After
about 10 days, the windows arrive and we create an item receipt. The
item receipt records into Accounts Payable and this puts the Cost of
Goods sold for this item into the month following when the sales were
recorded. I use the item receipt and bill features to track our
merchandise and billing with the vendors. I really don't want to
change the date after the billing is closed to throw the expense back to the
same month as the sales.
The best solution would be to have purchase orders post to accounts
payable and count towards Cost of Goods Sold--since the sale and the
order happen on the same day. Does anyone know if this is possible?
If not, does anyone have any ideas how I can get an accurate monthly
P&L?
Answer:
It sounds like you are using QuickBooks very well. Actually, one would argue that your financials are correct, even though they may not be as you would like them to be. According to accounting principles, you do not book a payable until you have possession of the merchandise that you ordered. So if the windows are being shipped FOB buyer, then you don't record the payable until the goods reach your dock. On the other hand, if the windows ship FOB seller, then you are liable when the windows ship. In any case the date most likely would not be the date you ordered them. Actually I believe QuickBooks is making the accruals properly, and the only way to change it would be to override the item receipt/bill date, which I would not suggest.
I am the bookkeeper for a retail windows store. Over half of our
business is custom orders. Our profit and loss is not recording cost
of
goods sold on custom orders correctly because of this senario:
A customer orders windows at the end of the month. We record a sales
receipt. This goes into Accounts Receivable towards sales for the
month.
We order the windows from the vendor--creating a purchase order. After
about 10 days, the windows arrive and we create an item receipt. The
item receipt records into Accounts Payable and this puts the Cost of
Goods sold for this item into the month following when the sales were
recorded. I use the item receipt and bill features to track our
merchandise and billing with the vendors. I really don't want to
change the date after the billing is closed to throw the expense back to the
same month as the sales.
The best solution would be to have purchase orders post to accounts
payable and count towards Cost of Goods Sold--since the sale and the
order happen on the same day. Does anyone know if this is possible?
If not, does anyone have any ideas how I can get an accurate monthly
P&L?
Answer:
It sounds like you are using QuickBooks very well. Actually, one would argue that your financials are correct, even though they may not be as you would like them to be. According to accounting principles, you do not book a payable until you have possession of the merchandise that you ordered. So if the windows are being shipped FOB buyer, then you don't record the payable until the goods reach your dock. On the other hand, if the windows ship FOB seller, then you are liable when the windows ship. In any case the date most likely would not be the date you ordered them. Actually I believe QuickBooks is making the accruals properly, and the only way to change it would be to override the item receipt/bill date, which I would not suggest.
More Problems Getting Reports Out of QuickBooks.
Question:
Hi CPA,
I received your blog site from a friend just in time. Having tried to use the QB help topics and customer service without any success, I was hoping that perhaps you would be able to help me with a current dilemma that I have. I am using QB Pro 2005 and have been unable to get a profitability statement that will satisfy the owners of the company that I work for.
They want a statement/report that shows each invoice separately with customer name, invoice number, amount, and % of profit provided for them on a daily basis. I have tried to explain to them that this ends up being a cut and paste operation which takes a great deal of time. I've used as many filters to get a report that will work but at this time it is still a culminative gathering of three different reports. I've tried to convey to the bosses that QB has it's limitations and gives the % of profit for Customers, not individual invoices, and that the % of profit will be figured out for the total amount of sales for customers with multiple invoices. Furthermore, I have tried to let them know that the only way that I would be able to get a profitability statement for every invoice would be to run them separately every time an invoice is generated, slowly me down considerably and I would still have to use the cut and paste method because I have been unable to manipulate any report showing a separate invoice number with % of profit on one report.
Is there an easier way to generate a report that would be close to what the bosses want?
Any suggestions would be appreciated.
Thank you for this blog site.
Answer:
May I say...Holy Crap. It seems that your bosses are very demanding, and may or may not be financially savvy (they may just like paperwork).
From your question I can tell that you have a very good understanding of QuickBooks and how to manipulate the reports to the fullest extent possible.
As far as I can tell you are doing everything that you can to please your bosses with tools that you have been given. The only way that you could fix it, is to sell your bosses on more comprehensive accounting software. I believe that even something as simple as QuickBooks Enterprise Edition (Click Here for information about reports) would give you this functionality. Depending on the size of your operation, something as powerful as Microsoft's Great Plains might prove to be a fantastic solution for your bosses (they could have as many reports as they could imagine...and all you have to do is hit print). Unfortunately, with greater capability comes greater cost.
Hi CPA,
I received your blog site from a friend just in time. Having tried to use the QB help topics and customer service without any success, I was hoping that perhaps you would be able to help me with a current dilemma that I have. I am using QB Pro 2005 and have been unable to get a profitability statement that will satisfy the owners of the company that I work for.
They want a statement/report that shows each invoice separately with customer name, invoice number, amount, and % of profit provided for them on a daily basis. I have tried to explain to them that this ends up being a cut and paste operation which takes a great deal of time. I've used as many filters to get a report that will work but at this time it is still a culminative gathering of three different reports. I've tried to convey to the bosses that QB has it's limitations and gives the % of profit for Customers, not individual invoices, and that the % of profit will be figured out for the total amount of sales for customers with multiple invoices. Furthermore, I have tried to let them know that the only way that I would be able to get a profitability statement for every invoice would be to run them separately every time an invoice is generated, slowly me down considerably and I would still have to use the cut and paste method because I have been unable to manipulate any report showing a separate invoice number with % of profit on one report.
Is there an easier way to generate a report that would be close to what the bosses want?
Any suggestions would be appreciated.
Thank you for this blog site.
Answer:
May I say...Holy Crap. It seems that your bosses are very demanding, and may or may not be financially savvy (they may just like paperwork).
From your question I can tell that you have a very good understanding of QuickBooks and how to manipulate the reports to the fullest extent possible.
As far as I can tell you are doing everything that you can to please your bosses with tools that you have been given. The only way that you could fix it, is to sell your bosses on more comprehensive accounting software. I believe that even something as simple as QuickBooks Enterprise Edition (Click Here for information about reports) would give you this functionality. Depending on the size of your operation, something as powerful as Microsoft's Great Plains might prove to be a fantastic solution for your bosses (they could have as many reports as they could imagine...and all you have to do is hit print). Unfortunately, with greater capability comes greater cost.
Monday, June 27, 2005
QuickBooks Error # 12029.
Question:
I have upgraded to quickbooks basic 2005. I cannot recieve updates, quickbooks gives me an error #12029.
I can connect to the internet with internet explorer. I am using Windows XP and DSL.
Thanks!
Tom
Answer:
The quickbooks error that you speak of means that QuickBooks is unable to reach the internet. To resolve, you will need to find the problem with your internet connection...whether it is your settings, a firewall, or your DSL connection itself.
The following link gives dome steps that you can take that will hopefully narrow down your problem.
Click HERE
I have upgraded to quickbooks basic 2005. I cannot recieve updates, quickbooks gives me an error #12029.
I can connect to the internet with internet explorer. I am using Windows XP and DSL.
Thanks!
Tom
Answer:
The quickbooks error that you speak of means that QuickBooks is unable to reach the internet. To resolve, you will need to find the problem with your internet connection...whether it is your settings, a firewall, or your DSL connection itself.
The following link gives dome steps that you can take that will hopefully narrow down your problem.
Click HERE
Help Needed!
Question:
When I pull up a P&L and go into the transaction detail by account I see several duplicates. Some are credits and some are charges. There are as few as 2 and as many as 9. Any ideas as to what the problem is or how to remedy it? Also, how can I print a customer list for specific dates and a chart of accounts for only one class?
Thanks for your help!
Answer:
I'm not sure I understand...Has anyone else seen what has been described?
When I pull up a P&L and go into the transaction detail by account I see several duplicates. Some are credits and some are charges. There are as few as 2 and as many as 9. Any ideas as to what the problem is or how to remedy it? Also, how can I print a customer list for specific dates and a chart of accounts for only one class?
Thanks for your help!
Answer:
I'm not sure I understand...Has anyone else seen what has been described?
Buying and Selling Property Business in QuickBooks.
Question:
I buy and sell property. I cannot figure out how to set up the following scenario:
I contract to purchase a lot for $20,000 with a $1000.00 deposit and a 60 day close
& issue the $1000.00 check
During the 60 day close period, I contract to sell the lot for $25,000.00 to a different party.
The close on the purchase is the same date as the close on the sell - after signing the docs at the title co, I am effectively left with a $5000.00 profit less costs.
Is there a way to set this up on QuickBooks?
Answer:
The easiest thing to do in your situation is to record transactions as they happen. For instance, in the above scenario, the first thing that you would do is cut a check for the $1,000.00. You would post this amount to "Deposits", a current asset account.
During the holding period, and costs you would incur would be regular expense since you are in the trade of buying and selling property.
Now, I think that you have 2 choices.
1. Record the purchase and the sale separately. This is probably what I would do since I wouldn't think that you would always have a buyer before the purchase is closed. To do this, write a check for the purchase price of the property, including all costs (according to your HUD statement). If you don’t want to print this check, put "draft" in the check number field, and uncheck the "To be Printed" box. Then, record the land purchase in a cost of goods sold account named "Purchases", and classify the other expenses to their respective expense accounts. To record the sale, create an invoice for the sale amount using a non-inventory item that posts to the "Lot Sales" (or something similar) income account.
2. Your other option would be to summarize all the transactions in a journal entry. In the above example (After the check for the deposit had been written):
DEBIT
Purchases - 20,000
Cash - 6,000
CREDIT
Lot Sales Income - 25,000
Deposits - 1,000
You could either record the other expenses in the above journal entry or by check.
I buy and sell property. I cannot figure out how to set up the following scenario:
I contract to purchase a lot for $20,000 with a $1000.00 deposit and a 60 day close
& issue the $1000.00 check
During the 60 day close period, I contract to sell the lot for $25,000.00 to a different party.
The close on the purchase is the same date as the close on the sell - after signing the docs at the title co, I am effectively left with a $5000.00 profit less costs.
Is there a way to set this up on QuickBooks?
Answer:
The easiest thing to do in your situation is to record transactions as they happen. For instance, in the above scenario, the first thing that you would do is cut a check for the $1,000.00. You would post this amount to "Deposits", a current asset account.
During the holding period, and costs you would incur would be regular expense since you are in the trade of buying and selling property.
Now, I think that you have 2 choices.
1. Record the purchase and the sale separately. This is probably what I would do since I wouldn't think that you would always have a buyer before the purchase is closed. To do this, write a check for the purchase price of the property, including all costs (according to your HUD statement). If you don’t want to print this check, put "draft" in the check number field, and uncheck the "To be Printed" box. Then, record the land purchase in a cost of goods sold account named "Purchases", and classify the other expenses to their respective expense accounts. To record the sale, create an invoice for the sale amount using a non-inventory item that posts to the "Lot Sales" (or something similar) income account.
2. Your other option would be to summarize all the transactions in a journal entry. In the above example (After the check for the deposit had been written):
DEBIT
Purchases - 20,000
Cash - 6,000
CREDIT
Lot Sales Income - 25,000
Deposits - 1,000
You could either record the other expenses in the above journal entry or by check.
Fixed Assets and Depreciation.
Question:
I need to book an asset that wasn't booked in Quick Books, instead the payments that were made every month is being directly entered into the asset account. My depreciation is not being deducted every month. What is the correct way to book these assets?
Thanks
Charmaine
Answer:
Without knowing numbers and circumstances, I can't really tell you how to straiten up what you have. So let me just explain how these transactions should have been booked.
When you purchase a fixed asset (an asset with a useful life expected to be longer than 1 year) you should post the cost of that asset to the applicable fixed asset account. If you financed the purchase, then you would also set up a note payable account. It is to the note payable account that all future payments should be posted to.
Depreciation can be tricky. Many small companies don't bother to post depreciation, they just wait till the end of the year and let their accountant do it. If you feel that you need this information to be posted monthly, then I would suggest that you have your accountant give you a "next year's depreciation" report that is based on the current years assets. You then can divide the total amount of depreciation on that report by 12 and post it monthly. There would then be only a small adjustment that has to be made at the end of the year for any assets purchased during the year.
This may sound like a shortcut way of doing things, but I believe that it will save you time and money. Here are several reasons why:
1. Depreciation is complicated, and unless you are trained in its nuances, you could make a mistake that it will take your accountant precious time to find.
2. Your accountant most likely uses much more powerful depreciation software than QuickBooks provides.
3. Depreciation is better calculated at the end of the year for tax purposes. Based on you profit, your accountant will be able to use depreciation strategies to lower your taxable income.
In any case the accountant that does your tax return is going to calculate depreciation anyway.
I need to book an asset that wasn't booked in Quick Books, instead the payments that were made every month is being directly entered into the asset account. My depreciation is not being deducted every month. What is the correct way to book these assets?
Thanks
Charmaine
Answer:
Without knowing numbers and circumstances, I can't really tell you how to straiten up what you have. So let me just explain how these transactions should have been booked.
When you purchase a fixed asset (an asset with a useful life expected to be longer than 1 year) you should post the cost of that asset to the applicable fixed asset account. If you financed the purchase, then you would also set up a note payable account. It is to the note payable account that all future payments should be posted to.
Depreciation can be tricky. Many small companies don't bother to post depreciation, they just wait till the end of the year and let their accountant do it. If you feel that you need this information to be posted monthly, then I would suggest that you have your accountant give you a "next year's depreciation" report that is based on the current years assets. You then can divide the total amount of depreciation on that report by 12 and post it monthly. There would then be only a small adjustment that has to be made at the end of the year for any assets purchased during the year.
This may sound like a shortcut way of doing things, but I believe that it will save you time and money. Here are several reasons why:
1. Depreciation is complicated, and unless you are trained in its nuances, you could make a mistake that it will take your accountant precious time to find.
2. Your accountant most likely uses much more powerful depreciation software than QuickBooks provides.
3. Depreciation is better calculated at the end of the year for tax purposes. Based on you profit, your accountant will be able to use depreciation strategies to lower your taxable income.
In any case the accountant that does your tax return is going to calculate depreciation anyway.
Subscribe to:
Posts (Atom)
