How to Set Up & Track Inventory In QuickBooks Online
Whether you buy things that you resell to your visitors or result in the products that you sell to customers, you should always know what your cost is, everything you sell the item for and exactly how much you have on-hand. By tracking inventory in QuickBooks, you can do all this and much more.
Why Tracking Inventory Is Important
Tracking your inventory will assist you to stay on top of what you have in stock to enable you to make certain you can fulfill any pending or upcoming customer orders. It will help you to see whether you are making money or taking a loss on each product (for example. profit margin) so that you can decide if it’s worth it to continue to sell an item or simply just drop it from your own catalog altogether. If you want to Set Up And Track QuickBooks Inventory and you need any help then Contact our Proadvisors.
Advantages of Tracking Inventory In QuickBooks
There are certain benefits to tracking inventory in QuickBooks. Listed here are just a couple of reasons:
QuickBooks will track the expense of each item you have sold (in other words. cost of goods sold).
You can easily track the sale of every product so you know which items are flying from the shelves versus the items which are collecting dust.
It is possible to check to see just what your present on hand quantities are to determine what products you need to place an order along with your supplier for.
How exactly to Put Up & Track Inventory In QuickBooks Online
Before we could set up our inventory in QuickBooks, we ought to switch on the inventory tracking feature.
Here you will find the steps to setup inventory in QuickBooks Online:
Step 1 – Navigate to Company Preferences
From the Gear icon when you look at the upper right corner, select Account and Settings as indicated into the screenshot below.
Navigate to Account and Settings in QuickBooks Online
Step 2 – Navigate to the Sales Tab
Regarding the left-hand menu, click on the Sales tab as indicated in the screenshot below.
Select Sales Settings in QuickBooks Online
Step 3 – switch on the Inventory Tracking Feature
Click on the pencil icon found in the upper right corner and then select “On” next to “Track inventory quantity readily available” as indicated when you look at the screenshot below. Click the Done button that will be located at the end of this screen to save your changes.
Turn On QuickBooks Inventory Tracking in QuickBooks Online
Step 4 – Navigate to your services and products List
Click the Gear icon into the upper right corner and select Products and Services directly underneath the List column as indicated into the screenshot below.
Navigate to Products & Services in QuickBooks Online
Step 5 – Create a unique Inventory Item in QuickBooks
Click on the “New” button as indicated in the screenshot below.
Add a brand new Inventory Item in QuickBooks Online
Step 6 – Select the Item Type
In the next screen, you really need to see the variety of things that you are able to put up. For the purposes of the article, we are going to focus on the Inventory item type. However, if you want to understand simple tips to setup some of the other item types, take a look at How to setup services and products tutorial for detail by detail instructions.
Select Item Type in QuickBooks Online
Step 7 – Enter the Information for the New Item
Below is a screenshot along with a brief overview of this info you ought to provide here
Step 8 – Review a number of Products & Services Report
Once you've set up all your inventory items, it is possible to run a Products/Service list report in QuickBooks.