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Posts tagged QuickBooks Online
Converting QuickBooks Online to the Desktop Version
Mar 29th
Do you use QuickBooks Online and have found several limitations? Are you tired of paying a subscription fee that basically costs the same each year as a new purchase of QuickBooks for the desktop (which can last several years)? Then go ahead and convert! Below are some pre-conversion tips and minor issues to be watchful for if you decide to convert your file:
Generate Reports – QuickBooks Online does not have the option to backup data like with the desktop version, so I suggest exporting reports to Excel to compare with your newly converted file. Unfortunately, QuickBooks Online reports are limiting, such as the number of lines that can show up in a single report. When generating a detailed report, make sure to scroll down to the bottom of the page to verify that no error message shows up. It says something like there is too much data. To get around this, change the date range to a smaller size, such as quarterly, and export the information to Excel in multiple exports.
Edit Customer:Jobs – QuickBooks Online allows you to make a “customer” into a job and vice versa. But in the desktop version, once a customer is created you cannot make it a job of another customer. So if you have ever wanted to put customers under a single name, the time to do it is before you convert the file. For example, if you have contracts with several sub-divisions but one company makes the payment, jobs would be handy to use.
Set Aside Time – Once you start the conversion process, QuickBooks lets you know that it may take a couple hours to a couple of days to convert the data. You receive an email with a link to the converted file and must download the new file. The new file takes at least 20 minutes to magically become a QuickBooks desktop file.
Verify Data Post-Conversion – According to the instructions provided by Intuit, if there are duplicate chart of accounts after the conversion, the duplicated account should show up with an OE next to it. However, I have not seen that happen. Instead, I have seen the same exact name appear. This can cause an error with the program and make other functions of the program not work properly. Verify your data after the conversion to see if you receive an error message stating that duplicate list items exist.
Memorized Transactions & Reports – Memorized activities and reports do not come through with the conversion. You have to manually re-create them. If you want to set-up a memorized invoice, do not use a previous invoice as a template. Instead, create the invoice from scratch and then memorize it. For some reason, the first line of the Bill To address does not show up on invoices created in QuickBooks Online that were converted into the desktop version. By creating the invoice from scratch, you will avoid having a truncated address appear on the Bill To section of your invoice.
Bank and Credit Card Reconciliations – Unfortunately, after the conversion all transactions are “uncleared” so it appears as if you never reconciled your bank statement or credit card statement. The good news is that you do not have to reconcile each month again. Instead, you can reconcile it all at one time based on the last reconciliation you completed.
Work With a QuickBooks ProAdvisor – No, I am not saying this because I am a Diamond Level ProAdvisor and want you to use my services. However, if you have a ProAdvisor help you with the conversion, depending on the level of support the ProAdvisor has (I have unlimited phone and chat support at no extra charge), weird issues may be able to be resolved on-site immediately. If you do the conversion by yourself and have strange issues after the conversion, you would have to purchase Intuit support services, which is usually via the telephone and not the best service. Sometimes you have to wait 20 minutes to get a telephone support specialist. The online chat support service available to some ProAdvisors is much more efficient (1-5 minute wait time for an agent), and therefore is the most cost effective.
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Should I Use QuickBooks Online?
Apr 4th
One of the best advantages of using QuickBooks Online is that you can access the program from anywhere in the world that has Internet access. However, the Basic program (currently $12.95 / month subscription fee) may not fit your business. Also, you cannot work on QuickBooks Online when the server is down, which has happened to me at a client’s location twice.
No Recurring Transactions – A great feature of the QuickBooks Pro desktop version is the ability to set-up recurring, or memorized, transactions that can be used as a template or enter themselves automatically. For example, you could set-up a payroll journal entry that has all the accounts set-up for you and you just change the dollar amounts for the current payroll cycle. Or, you could use the feature to enter in a rent bill each month automatically. You could also use the feature to automatically enter invoices for customers who owe the same amount of money each month. Recurring billing is available on the QuickBooks Online Essentials version, but that costs $24.95 / month ($299.40 per year, but you can buy the desktop version for $229.95 and use it for a few years).
No Class Tracking – Another great feature of the QuickBooks Pro desktop version is called class tracking. Class tracking allows you to tag income and expense items to specific locations, such as property ABC for a rental company, or to grants for a non-profit agency to track net monies left in grant pools. Unfortunately, the QuickBooks Online Basic version does not have class tracking. Instead, you have to use the QuickBooks Online Plus version which costs $39.95 / month ($479.40 per year. Ouch!).
No Progress Invoicing – This feature allows a user to create an estimate and then invoice a partial amount for the invoice. For example, let’s say your business has a policy of collecting 1/2 of the money up front and 1/2 of the money upon receipt of service. You would create an estimate in QuickBooks Pro and then make a progress invoice for 50% of the estimate. That way the customer sees the total amount agreed up and the amount currently invoiced and due. Estimates cannot be created and progress invoicing does not exist in the QuickBooks Online Basic version.
No Inventory Tracking – Only the QuickBooks Online Plus contains inventory tracking. Again, the price is $479.40 per year for that version compared to the QuickBooks Pro edition for $229.95 per year which could last up to three years worth of usage. If you buy the desktop version now through www.intuit.com when it is on sale, the cost is only $183.95.
Those are just a few examples of the differences between the QuickBooks Online editions and QuickBooks Pro desktop edition. To really know if Quickbooks Online is right for you, seek out a QuickBooks Pro Advisor(r) and discuss your needs with the advisor.
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