About QuickBooks Online Essentials
QuickBooks Online Essentials is made by Intuit, the same company that created the QuickBooks accounting software. QuickBooks Online Essentials is online software, or software as a service (SaaS). This means that you can access the software by going online and logging in. You do not need to download a program to your computer in order to use QuickBooks Online Essentials, but you can complete many of the same tasks that you would use the regular QuickBooks software to do.
QuickBooks Online Essentials is free to use for 30 days. After that, a subscription fee is required to continue using the service-based software. This is an excellent option for companies or individuals who don't have a lot of money to pay all at once for software, or those who will benefit from an online version because they need to access QuickBooks from multiple computers or locations.
QuickBooks Online Essentials contains all the features and tools that a small business, or even a contractor, would need to keep track of vendors, customers, and financial accounts. You can pay bills using QuickBooks Online Essentials, prepare payroll, and even print checks. However, to do things such as prepare budgets, keep track of employee time, and create purchase orders, you must upgrade your account to QuickBooks Online Plus and pay a higher monthly fee. The online version does not provide the inventory capabilities that its desktop counterpart does, the same capabilities that make the desktop version perfect for even larger companies.
Benefits of Using QuickBooks Online Essentials
As cloud-based services become more and more commonplace, small business owners and accountants are also finding ways to take care of daily financial and accounting chores online by using QuickBooks Online Essentials. One of the biggest benefits of using QuickBooks Online Essentials is that you can access your records from anywhere. This means, if you are a small business owner, you can enter transactions from anywhere, even from home on your laptop. Come tax season, your accountant can simply login to your QuickBooks Online Essentials account and get everything he/she needs.
There's also no longer a need to install updates or patches - or to worry about installing one program on several computers. Everything you need (and love) from QuickBooks is now online.
Who Uses QuickBooks Online Essentials?
Everyone from independent contractors to small businesses to accountants can use QuickBooks Online Essentials for accounting tasks.
· Accountants can use QuickBooks Online Essentials for tax purposes.
· Independent contractors can use QuickBooks Online Essentials to enter invoices, keep track of their bank accounts, and make end-of-quarter or end-of -year taxes easier than ever.
Small businesses can use QuickBooks Online Essentials for inventory, invoicing, banking, and much, much more!
Terms You Should Know
We are going to provide definitions to you now so that we know you understand exactly what they mean -- and how to apply them to your use of QuickBooks.
These terms are listed below. All definitions are quoted from www.businessdictionary.com.
1. Assets: "Something valuable that an entity owns, benefits from, or has use of, in generating income. In accounting, an asset is something an entity has acquired or purchased, and which has money value (its cost, book value, market value, or residual value). An asset can be (1) something physical, such as cash, machinery, inventory, land and building, (2) an enforceable claim against others, such as accounts receivable, (3) right, such as copyright, patent, trademark, or (4) an assumption, such as goodwill. Assets shown on their owner's balance sheet are usually classified according to the ease with which they can be converted into cash. See also intangible assets and tangible assets."
2. Chart of Accounts: "System of accounting records developed by every organization to be compatible with its particular financial structure, and in agreement with the amount of detail required in its financial statements. It consists of a list of ledger account names and numbers showing classifications and sub-classifications, and serves as an index to locate a given account within the ledger."
3. Expenses: "Money expended or cost incurred in a firm's efforts to generate revenue, representing cost of doing business. Expenses may be in the form of actual cash payments (such as wages and salaries), a computed 'expired' portion (depreciation) of an asset, or an amount taken out of the firm's earnings (such as bad debts). Expenses are summarized and charged in the firm's income statement as deductions from the income before assessing income tax. Whereas all expenses are costs, not all costs (such as those incurred in acquisition of income generating assets) are expenses.
4. Liability: "Accounts and wages payable, accrued rent and taxes, trade debt, and short and long-term loans. Owners' equity also is termed a liability because it is an obligation of the firm to its owners. Liabilities are entered on the right hand-side of the page in a double-entry bookkeeping system."
5. Owners' Equity: " Capital employed in a firm, computed by deducting the book value of the liabilities from the book value of the assets. Whereas the term 'assets' universally means 'total assets,' some experts propose that the term 'liabilities' should not include long-term liabilities because (since they are incurred in funding the operations of the firm) they are part of the capital employed. Being based on the historical value of the assets, it rarely reflects the current (market) value of the funds invested. Also called net assets, net worth, shareholders' equity, or shareholders' funds.
Accessing QuickBooks Online Essentials
Getting started with QuickBooks Online Essentials begins with going to the website located at https://quickbooks.intuit.com/online/. Click the Try it Free button to get started with your free trial, as shown below:
Next, you'll want to select Sign Up For Free Trial for QuickBooks Online Essentials.
You'll then be asked to sign up. As the site states, no credit card is required for the 30 day free trial.
Fill in your information the website, then select Sign Up.
If you are prompted with the Ready to buy now and are not ready to purchase, select Continue to Trial in the bottom right-hand corner.
After a short pause while QuickBooks creates your account, you'll then be taken to the Set Up Company screen:
Fill in your Company name, Company address, City, State, Zip code, Phone number, and insert a picture of your Company logo, if you have one.
Once you have filled in all of the necessary fields select Save and next.
You'll then be taken to the Set Up QuickBooks screen:
Fill out each section: "Your Industry", "You Sell", "Company Type", and select the appropriate options for "How do you like to get paid."
Once you have filled in all of the necessary fields select Save and next.
After a short pause you will see the screen pictured below:
Select Save and next.
You'll be asked if you would like to use QuickBooks Online Essentials on a mobile device.
If you would like to have access on your mobile app select otherwise select
You'll then be taken to your home page:
Getting Started with QuickBooks Online Essentials
Navigating QuickBooks Online Essentials
QuickBooks Online Essentials is broken up into tabs to make navigating the program easy.
The main tabs appear on the left of the screen and are pictured below:
They are: Home, Customers, Vendors, Employees, Transactions, Reports, Taxes and Apps.
In the top center of your screen you will see , this toolbar allows you to search transactions, create customers, vendors, employees , and view recent transactions .
Click the tab to search transactions:
Click the "Create" tab to create an invoice, estimate, expense, and check.
To have even more options within the tab, click .
Now you have four options they are: "Customers", "Vendors", "Employees", and "Other" options. There are also sub tabs within each option.
To close the Create dropdown menu click .
Click the tab to see recent transactions. Click it again to close the recent transactions dropdown.
At the top right of the QuickBooks Online Essentials screen, you can sign out of QuickBooks Online Essentials. Click the beside where you see your company name, and select:
You can also make changes to your account. Click sub-tab under the tab, to do things such as update billing, company, and personal information. The options are shown below:
The QuickBooks Online Essentials Home Page
The Home page is shown below:
Now, let's explore the home page. In your "Activities" section, click "Take a tour of the home page."
There are 7 main features of the home page.
1. Create new - Your one-stop shop for creating new transactions, including invoices, sales receipts, bills, and more.
2. Income - Enter your invoices and sales receipts to track who owes you and what's overdue.
3. Expenses - Enter your bills to keep track of where you spend your money. Even better when you connect your bank!
4. Profit and Loss - This P&L report shows a snapshot of your business income and expenses over time.
5. Activities - See a list of recent transactions, upcoming tasks, and messages from your customers and accountant.
6. Bank Accounts - Connect your bank accounts, and we'll automatically download the transactions. No more manual data entry!
7. Your Company - Manage all the details of your QuickBooks account - subscription, users, importing data, multiple companies, and more.
Take time to become familiar with the home page. It gives you a good picture of what QuickBooks Online Essentials will do for you.
The Home page gives you an overview of what you need to do and what you can do. The Activities section lets you know what needs to be done.
The Company Tab
Let's click on the Company tab , in the top right hand corner of your screen. It's pictured here, below.
The Company tab is where you'll go for information that pertains to your company. Here, you can manage all the details of your QuickBooks account - subscription, users, importing data, multiple companies, and more. Now, let's look at the Customers tab.
The Customers Tab
Pictured below, the Customers tab is what you'll click on whenever you are entering invoices or transactions. This is also where you'll create your Customer list.
The Vendors Tab
The Vendors tab is where all information about your vendors is located, including your vendors list, purchase orders (upgrade required), and bills. It's pictured below.
The Employees Tab
If you do payroll using QuickBooks, this is where you'll go to prepare payroll checks. Don't worry. QuickBooks makes it easy once you get set up.
The Transactions Tab
The Transactions tab has five sub tabs, Banking, Sales, Expenses, Registers, and Print Checks.
The Banking sub tab is where you'll go to add financial accounts, including cash accounts. It's also where you'll find your checkbooks and checkbook registers.
The Sales sub tab is where you'll go to create and view an invoice, payment, estimate, sales receipt, credit memo or delayed charge.
The Expenses sub tab is where you'll go to create and view a bill, expense, or check.
The Registers sub tab is where you can view balances of various accounts.
The Print Checks sub tab is where you can setup and print checks.
The Reports Tab
The Reports tab is where all the reports available in QuickBooks are located. You can go here to run dozens of different types of reports and summaries. You can even customize these to your needs.
The Taxes Tab
The Taxes tab has two sub tabs, Sales Tax and Payroll Tax.
The Sales Tax sub tab helps you set up and manage sales tax for your business.
The Payroll Tax sub tab helps you set up and manage sales payroll taxes for your business.
Getting Help in QuickBooks Online Essentials
Some programs out there have Help files that severely lack in the "help" department. It can be hard to find what you need. That is not the case with QuickBooks Online.
Anytime you need help, you can simply click the Help button toward the top right of the screen:
This opens up QuickBooks Online support. Just enter the topic you're looking for and click .
You can also click when it is available. When available, this feature will further explain items in more detail, as shown below:
QuickBooks Online Essentials walks you through every step and every page. You'll never be left needing help and not be able to find it.
- QuickBooks Online Essentials: Paying Bills
- Useing the Checkbook in Quickbooks Online Essentials
- How to Add Users to QuickBooks Online Essentials
- The Process of Creating Lists in Quickbooks Online Essentials
- Investment Tools and Strategies: Trading on Margin
- The Law of Accounting: The Balance Sheet
- Features of a Contract
- Understanding Credit Management: Budgeting
- The Mindset that leads to Financial Success
- Objectives and Limitations of Performing a Financial Ratio Analysis
- Producing Statements in QuickBooks 2015
- Financial Analysis Tools: Current Asset and Debt Management
- Overview of Bookkeeping and Bookkeeping Practices
- How to Set Up QuickBooks 2015