The job costing feature allows you to get an estimate of the amount of money you are spending and making from a job. there are various tools in Quickbooks that allow you to determine the job costing for a particular job in your business. this feature allows you to track the spending you have made on a job and then compare all these expenses with the return or revenue from the job to determine the exact costing of that job. In Quickbooks software, you can calculate this value using various tools.
Along with this, you can use this job costing feature to evaluate the cost for every employee or client. Moreover, you don’t even need to install any external software or program in the Quickbooks software. you will get an in-built tool in the Quickbooks software to evaluate this value.
If you have a report exported from any other program and you can want to import it in the Quickbooks software then you need to use the Quickbooks Conversion tool. this tool allows you to convert company files from different programs. These tools is available in the Quickbooks itself and you can also use this tool to convert Quicken to quickbooks.
Below we have introduced the Job Costing feature along with its benefits and usage. if you are looking for the method to set up job-costing in Quickbooks then you can follow the steps below.
Job Costing – Feature of Quickbooks Online
- 1 Job Costing – Feature of Quickbooks Online
the Job costing feature is used by several businesses like in Constructions and professional service companies to evaluate the cost of the job to ensure that they are going to make profit from this job. these companies use this feature to monitor the job cost for a particular job. However, the Quickbooks Online Job Costing is a quite complex tax to perform, but you can perform the Quickbooks Job Costing in an easier way.
Most of the multi-level companies and organizations use the Job Costing feature of Quickbooks to make sure they are spending the money on the right job and to make the proper decision for the future. the job costing feature allows you to track each and every cost of the job.
- Look and explore the difficult task of your business.
- Now mark all the jobs that are not as profitable as per your expectations.
- after this create a report on this and ensure to make better expectations in the future.
Quickbooks Job Costing Feature Benefits
these are some of the benefits of Quickbooks Job Costing feature.
- Calculate the profitability of Business based on Projects.
- Make proper and accurate decisions.
- this feature helps you in comparing the real cost with the budgeted cost.
- allow having full control of the Job based on Cost.
- Calculate the performance of your team.
Quickbooks Job Costing Feature Setup
After learning about all the benefits and usage of Quickbooks Job costing feature let us move to the steps to set up the Job Costing feature in Quickbooks Online.
Step: 1 Set Initial Preference
We are assuming that the Quickbooks software is installed properly on your desktop along with proper configuration to set up the job costing feature.
- Now go to the edit option and then click.
- after opening the jobs and estimates option and then click on “Company option”.
- now to the company preferences tab and then provide all the required settings to set up job costing.
- after this, ensure that the “time and expense” to ensure that when you try to track the job then time tracking feature is enabled.
Step: 2 Job Types Designing
You will be required to design the job types, in order to evaluate the job costing before sending the jobs to the clients. Follow these steps to design the job types.
- Open the Quickbooks software and then go to lists option.
- now choose the “Customer and vendors profile” and then click on the Job type list.
- Now a window will appear on the screen and you have to click on the “Job type” at the bottom left-hand side and then click on New.
- Now a new window will appear on the screen to create a new Job type.
- enter all the information required to create the new job type.
- Follow these steps to create multiple job types and then create sub-categories for these jobs. you can add the sub-category by clicking on the new again option and then save it with sub-type name.
Step: 3 Set Up Job For Clients
You can assign task to your clients using the Customer Jobs feature. Here are the steps you need to follow in order to set up a job for clients.
- Open the Quickbooks software and then choose the client option and then click on “Add Job”.
- after this provides the details of the clients in the next window and then click on Job Info tab and enter the Job name.
- now you need to select the template of the task. for instance, you can choose the tax.
- Now select the job status from the drop-down menu from the available options: Pending, awarded, closed, None, and Non-awarded.
- now provide all the required information like Job description, date, projected date, and end date.
- after entering all the details now click on the Ok option.
after setting up jobs, you can use these details to track the reports and transactions in your business. while filtering a report or evaluating the job costing for a particular job make sure you have chosen the right job.
Step: 4 Producing Bills
Quickbooks software allows you to send dispatch bills and to set up estimates for a job. follow the steps to create progress invoices in Quickbooks of a particular Job.
Initially, you will be required to create an estimate and then click on “Create Invoices” after reviewing all the bills.
after this, a new window will be displayed on the screen with three options.
- Invoice for a complete estimate
- Type the percentage of the estimate for which you want to create an invoice.
- Select the item or provide the percentage of the item for which you want to create an invoice.
select one option from these and then choose the Ok option. you will get the invoice for your estimate based on your selection.
Step: 5 Advanced Reporting
Quickbooks job costing feature allows you to create reports to manage the process in a more precise way. it helps you to determine task performance in the best way.
Step: 6 Invoicing of Progress and estimates
Make sure to estimate the progress of the task using the reports on a daily basis. these reports can be really useful to determine any kind of issue or error.
So this way you can set up job costing in Quickbooks online. Make sure to follow these steps in order to avoid any kind of error. Feel free to contact the Quickbooks Expert team to get any advice for the process.