QuickBooks Tip – Accounts Payable – Vendor Bill Approvals
A reader asked the following question:
Technically, the bill should be approved before it is input into QuickBooks; and generally indicating on the front or face of the document/purchase order/voucher/vendor invoice or whatever you happen to call it, is usually the relied upon method.
1. Purchasing inexpensive “custom printed stamps” is probably one of the easiest ways in which to start the process.
When ordering custom made stamps you can include lines with places for accounting to approve the document signifying that the invoice had all pertinent documentation attached, that the dollar amounts matched, and the date that the invoice was received. Be sure that there is another line or place for the owner to sign off.
2. Another valuable stamp is one that is made for costs that are to be passed along to the customer.
If a vendor invoice has costs that have to be passed along to the customer, purchase a stamp that says “Invoiced Customer ____________”, you can then stamp the vendor bill and insert the customer name on the actual invoice and mark the Invoice as “To Be Billed” in QuickBooks.
3. If all of the above sounds like too much work and “paper shuffling” and you fear that some vendor invoices will become lost in the process, then try this simple method.
As vendor invoices are received, enter them into QuickBooks using the Enter Bill function. Use the memo field to indicated Purchase Order Numbers, discrepancies, and other important information; such as if it is billable to the customer. Use the “To Be Billed” function as necessary.
Generate an “Unpaid Bills Detail Report” (QuickBooks Reports Menu -> Vendors & Payables -> Unpaid Bills Detail) that has been modified to include the “memo” field. Provide this report, along with the current bank balance, and give it to the business owner. He/she will then circle bills that they wish to have paid and return the report to you. You generate the checks; give them the checks to be signed along with the report; now indicating the bank balance after you have generated the checks.
One Response to QuickBooks Tip – Accounts Payable – Vendor Bill Approvals
Leave a Reply
- The Great Debate – QuickBooks Desktop vs. QuickBooks Online
- Using Account Numbers in Your QuickBooks Chart of Accounts
- QuickBooks Creating a More Meaningful Payroll Expenses Section
- Calculating & Displaying Fringe Benefits on a Certified Payroll Report
- QuickBooks Tip - Child Support Garnishments
- How To Turn On and Use Manual Payroll in QuickBooks
- Create a QuickBooks Job Cost Report With Hours & Payroll Costs
- QuickBooks Payroll Tip - Tracking Employee Advances or Loans
- QuickBooks Tip - Job Costing Starts With A Simple Item
- QuickBooks for Contractors Tip – Basics of Progress Invoicing
- QuickBooks Tip-Creating a Functional Payroll Liabilities Section
- Welcome to the QuickBooks for contractors blog
- QuickBooks Tip: Important Facts About Items Left as Billable
- QuickBooks Tip-Handling Employee Reimbursements for Expenses
- QuickBooks Tip - Determing Cost of Goods Sold
- Straight from the IRS - Social Security Tax Reduced to 4.2%
- QuickBooks 2015 Announced - Important System Requirements
- QuickBooks 2013 Upgrade Do's, Don'ts & Frequent Questions
- QuickBooks 2012 - Frequently Asked Questions About Upgrading
- QuickBooks 2015- The Good, Bad and Ugly, Part 1