We at Exigo Business Solutions know that you in the Kansas City area would rather be sending invoices than paying bills. But, such is life. And, with the help of QuickBooks, entering bills can be as painless as possible.
As QuickBooks ProAdvisors, our job is to show you how QuickBooks can help you most efficiently keep track of and pay your bills. Bill paying is going through a period of transition these days. Some bills still come in the mail. Others are being sent via email. And, nowadays, some vendors require that you visit their website to make payments.
The first problem is keeping tracks of all of the bills that you receive and pay in various manners. You need to keep track of due dates. Do you jot them all down on a calendar and then go back to bill for the amount before paying? And then, you need to look for the invoice that came in the mail, the email notice, or a reminder to check the vendor’s website! The answer is to use QuickBooks to organize your bills. You will save time and avoid missing payments due to confusion.
The first step is to enter all the bills that you receive into QuickBooks. This is the time-consuming part. But, it makes the second part easy! When you need to pay the bills, you will pay the right amount, pay on time, and not forget any payments!
Go to QuickBooks home page and click on “Enter Bills.”
You will see a window similar to this.
The first thing is to create the record for the bill.
Click the “down” arrow by VENDOR and choose the name of the biller from the list. And, if this is the first bill from this vendor, click “Add New” to create a new vendor record. The DATE and ADDRESS should fill in automatically. Make sure that the BILL DUE date is correct when you set up default payment TERMS in the record of the vendor. Enter the vendor’s AMOUNT DUE and other required fields such as DISCOUNT DATE, REFERENCE NUMBER, or MEMO.
In the example, we show a utility bill. The “Expenses” tab will be highlighted. Make sure that the amount that you entered for the payment is also in this field. Right below “Expenses” is the “Account” field. Open the list and make the appropriate selection. For paying bills, you can ignore the CUSTOMER:JOB field and the BILLABLE field. They only are used for charging customers for good or services.
IMPORTANT: If you do not have familiarity with assigning accounts to transactions, contact us to schedule your QuickBooks training. We have lots of clients in Liberty and throughout the Midwest who needed help from us to get the most out of QuickBooks. Contact us and we will be glad to help.
Now that you have saved your bill, you can access it when it is time to pay. The great part of using QuickBooks for this task is that QuickBooks can either remind you to pay or pay the bill automatically! Therefore, before leaving the “Enter Bills” window, click “Memorize” as shown in the image.
When you open the “Memorize Transaction” window, the vendor will already be in the “Name” field.
Now there are three options.
Add to My Reminders List: Use this option to have QuickBooks add to the “Reminders” list. To make sure that you see the reminder each time you open QuickBooks, go to the “Edit” menu, click “Preferences”, “Reminders”, “My Preferences.” Click by the “Show Reminders List” for when opening a company file. Click on the “Company Preferences” tab (administrator only). Choose the row for “Bills to Pay Now.” Pick the button for “Show Summary” or “Show List” and put in the number of days to notify you before the bill is due.
Do Not Remind Me: This means exactly what it says.
Automate Transaction Entry: This option works when the transaction is exactly the same every time. If there are a limited number of transactions, you can put that number in the “Number Remaining” field. Then enter when to pay in the “Days in Advance to Enter” field.
The third option is for advanced users. You need to be careful and sure about defining automation. To make sure you are getting this right, ask us at Exigo Business Solutions for the QuickBooks training that you need.
Click OK when you are finished. This closes the window and saves the bill.
Next month we will cover the paying of the bills. For now, contact us for any help with accounts payable. And let us know if you wish to set up QuickBooks training.