There’s no limit, so we’ll leave that blank.Ĭlick Finish and that’s it. Usually the default rate will be the current federal mileage rate. It will be based on the number of miles driven.ĭefault rate and limit. Our payroll item IS based on quantity, not on hours. If the tax tracking is correct, the Taxes window should already be correct without any input from us. I’ve never seen an instance where something needed to be changed in this window. This is a reimbursement to an employee for miles driven for the company, it’s not taxable wages.Ĭhange the Tax tracking type selection to None.Ī few windows follow, allowing for additional information. The default when creating an Addition type item, which we are doing here, is Compensation. The selection in this window determines whether or not the amounts will be taxed, how the amounts will appear on payroll tax forms, and on W2s. Tax tracking type is always the most important decision when setting up any payroll item. If you like, you can make it a subaccount of Automobile Expense. I like to create an expense account called Mileage Reimbursement. Mileage Reimbursement seems like a good name.įollowing that, we’ll need to tell QuickBooks what expense account should be used when this item is added to a paycheck and QuickBooks needs to post the dollars to a specific expense account. In the next step we need to name the payroll item we’re creating. This is an Addition, right? We are adding an amount to an employee’s paycheck. Once we make this selection and click Next, the following window appears. There just isn’t enough flexibility in EZ Setup. I always choose the Custom Setup in the first window. From Lists->Payroll Item List, choose the Payroll Item button, then select New. The first step is to setup a payroll item. To reimburse an employee for mileage, I can easily add the amount to a paycheck. Subject to withholding, social security, Medicare, and more. Actually, working with a client, we discovered her mileage reimbursements were being reported as wages. It didn’t happen exactly that way, but close. Why was it costing her hidden fees and why was the employee upset? That’s an overview of progress invoicing and how it can save you time and work more efficiently.What could go wrong? She added mileage reimbursement to her employee’s paycheck. Estimates report so I can see where I stand with my customers and projects. QuickBooks shows the full amounts from the estimate and how much I’ve already invoiced for, so I know what’s left.įinally, I come back in to invoice for the final work to close out the project.īest of all, QuickBooks keeps track of all this behind the scenes on the Job Progress Invoices vs. I can choose different amounts for each line, leaving the labor for later. When I’m ready to order the cabinets, I’ll create an invoice for all the parts my vendors will need to be paid for. QuickBooks creates and invoice for 10% of everything on the original estimate. This invoice is just going to be a 10% deposit of the full project to ensure my customer is committed to the work. Wben I’m ready to create my first invoice, I click Create Invoice. I’m going to include cabinets, labor for my subcontractors, and time I spend on designing and executing the project. Let’s say I’m an interior designer selling a kitchen remodel. Start by creating an estimate for the full project. Progress invoicing helps you do both of these more efficiently and accurately. Examples include wanting to collect a deposit up front or wanting to invoice for the work that’s been completed as a project goes on. Many small businesses invoice for their projects in pieces over time. I’m going to show you progress invoicing, a new features in QuickBooks 2012 for Mac. Hi! I’m Will, and I’m the product manager for QuickBooks for Mac. (Quickbooks > Preferences > Sales & Invoicing) Show me To use this feature, be sure you have Estimates and Progress Invoicing turned on in your preferences. Editor’s note: This shows you progress invoicing in QuickBooks 2012, but if you have QuickBooks 2011 or earlier, there’s a manual method for invoicing over time.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |