Using Accountant's Copy in QuickBooks 2008

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions, Point of Sale and Peachtree users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants.

Got a QuickBooks Mess? Call The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in my series of “Quicklets” – informational podcasts about QuickBooks, Peachtree and related bookkeeping topics. Today I want to answer a listener email about using the Accountant's Copy in QuickBooks 2008.

I recently received an email from a listener who had purchased QuickBooks Premier 2008. He noted that the inside flap on the box under the Accountant section states, "Easily exchange & work with client's prior period accounting from all 2007 & 2008 editions." Additionally he quoted the Intuit website which advertises that the new 2008 "IMPROVED!" Accountant's Copy Allows you to exchange, open and adjust virtually all your client's prior period accounting records from all 2007 and 2008 QuickBooks editions."

Unfortunately, when he tried to work on his client's 2007 Accountant's copy, it forced him to update the data to 2008. His concern was that if he proceeded, his client would not be able to upload the file. After several unsuccessful calls to customer service and technical support, he sent me an email. After asking a few pertinent and logical questions, I turned to our technology wizard who found the answer:

You can open Accountant's Copy files created from QuickBooks 2007 or earlier. If you work in a QuickBooks 2007 Accountant's Copy, the file is upgraded to QuickBooks 2008 when you open it, but your client can still import your changes into his or her QuickBooks 2007 company file. Be aware that what you can and cannot do in an Accountant's Copy from QuickBooks 2007 is restricted to the way the features worked in that version of QuickBooks.

Thanks, Lance for the great question! It was a pleasure to be of assistance!

I hope this is helpful to our listeners. If you have a question or a suggestion for a future podcast topic, drop me a line at jayne@quickbooksgal.com.

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Well, that’s it for now. I appreciate your time and hope you will join us again next time for another in our Quicklet© series. If there are topics you would like me to cover, send me an email at jayne@quickbooksgal.com. I welcome your ideas, questions, and comments.

Got a QuickBooks Mess? Call The QuickBooks Gal!

I’m Jayne Miller, The QuickBooks Gal. Thanks for listening.

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2008

Using Class Tracking in QuickBooks

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions, Point of Sale and Peachtree users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Call The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in my series of “Quicklets” – informational podcasts about QuickBooks, Peachtree and related bookkeeping topics.

Today I would like to talk about using Class Tracking in QuickBooks.

In order to use class tracking, the first thing you have to do is turn that feature on. Go to the "Edit" menu and select "Preferences." From there, Click on "Accounting" and select the "Company Preferences" tab. Now click in the box next to "Use Class Tracking" to turn the feature on. Once you've done that click OK.

Now every time you write a check, enter a bill, or record a deposit, you will see a "class" column. To add classes you can either type something into that column the first time you need to set it up (QuickBooks will prompt you to create the class) or you can go to the "Lists" menu and click on "Class List" which will open up a window displaying your existing classes where you can add or modify them.

The only thing left is to now view reports by class.

I hope that quick crash-course helps get you started. If you have questions, drop me a line at jayne@quickbooksgal.com. Don't forget that you can save 20% and get free shipping on your 2008 QuickBooks Products at our online store at http://www.quickbooksgal.com/.

Don't Forget!

February 28th Deadlines

• Federal copy - W-2; W-3 transmittal enclosed – postmarked no later than Feb 28. 2008.

(Actually, this year's deadline is 2.29.08 for W-2 ONLY)

Mail these to Social Security Administration, Data Processing Center, Wilkes-Barre, Pa 18769.

• Federal copy – 1099 – 1096 transmittal enclosed – postmarked no later than Feb 28, 2008.

(The deadline really is 2.28.08. If you mail on the 29th, you're late!)

Mail these to the Internal Revenue Service; use the address on the 1096 transmittal form that is designated for your state.

I also want to remind you of the tasks you need to pay attention to next month. Now that our W-2s and 1099's are done, it's time to look at our February checklist.

February Tasks

• Store 2007 payroll records

• Date stamp all reports listed above with the dates you mailed them

• Attach certified mailing receipts if applicable

• Download W-4 2008 form and distribute to employees and update payroll records with any changes to employee addresses or withholding data.

• Download the new I-9 form and get completed forms from all employees

• Clean up payroll file in QuickBooks and make former employees inactive.

• Download W-9 form and mail to new subcontractors/vendors.

• Create a checklist for quarterly and end of year tasks; you’ve just completed these tasks, so now is a great time to create a spreadsheet or document with a checklist of these tasks, processing notes and deadlines so you will have a handy tool next year. You can modify the checklist for use on a quarterly and year-end basis. This is especially helpful if you have multiple clients…helps to assure you don’t forget anything.




Well, that’s it for now. I appreciate your time and hope you will join us again next time for another in our Quicklet© series. If there are topics you would like me to cover, send me an email at jayne@quickbooksgal.com. I welcome your ideas, questions, and comments.

Got a QuickBooks Mess? Call The QuickBooks Gal!
I’m Jayne Miller, The QuickBooks Gal. Thanks for listening.

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2008

W-2, 1099 Processing Deadlines

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions, Point of Sale and Peachtree users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Call The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in my series of “Quicklets” – informational podcasts about QuickBooks, Peachtree and related bookkeeping topics.

Today I would like to talk one more time about W-2’s; 1099’s, Quarterly and Annual reports. I’d like to recap these processes and deadlines:


January 31st Deadlines

• State Unemployment Taxes & Forms should be completed, filed and liabilities paid by Jan 31st.

• Local returns and liabilities are usually due on the last day of January; check your local regulations.

• 941 4th Quarter 2007 report is due and should be postmarked by Jan 31, 2008.

• 940 Annual FUTA return is due and should be postmarked by Jan 31, 2008.

• W-2’s are due to be distributed to employees or postmarked no later than Jan 31, 2008.

• 1099’s (Miscellaneous, Interest, etc) must be postmarked no later than Jan 31, 2008.

February 28th Deadlines

• Federal copy - W-2; W-3 transmittal enclosed – postmarked no later than Feb 28. 2008.

(Actually, this year's deadline is 2.29.08 for W-2 ONLY)

Mail these to Social Security Administration, Data Processing Center, Wilkes-Barre, Pa 18769.

• Federal copy – 1099 – 1096 transmittal enclosed – postmarked no later than Feb 28, 2008.

(The deadline really is 2.28.08. If you mail on the 29th, you're late!)

Mail these to the Internal Revenue Service; use the address on the 1096 transmittal form that is designated for your state.

February Tasks

• Store 2007 payroll records

• Date stamp all reports listed above with the dates you mailed them

• Attach certified mailing receipts if applicable

• Download W-4 2008 form and distribute to employees and update payroll records with any changes to employee addresses or withholding data.

• Download the new I-9 form and get completed forms from all employees

• Clean up payroll file in QuickBooks and make former employees inactive.

• Download W-9 form and mail to new subcontractors/vendors.

• Create a checklist for quarterly and end of year tasks; you’ve just completed these tasks, so now is a great time to create a spreadsheet or document with a checklist of these tasks, processing notes and deadlines so you will have a handy tool next year. You can modify the checklist for use on a quarterly and year-end basis. This is especially helpful if you have multiple clients…helps to assure you don’t forget anything.

Well, that’s it for now. I appreciate your time and hope you will join us again next time for another in our Quicklet© series. If there are topics you would like me to cover, send me an email at jayne@quickbooksgal.com. I welcome your ideas, questions, and comments.

Got a QuickBooks Mess? Call The QuickBooks Gal!

I’m Jayne Miller, The QuickBooks Gal. Thanks for listening.

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2008

Processing 1099s In QuickBooks

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions & Point of Sale users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Ask The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in our series of “Quicklets” – informational podcasts about QuickBooks and related bookkeeping topics.

I've received several calls in the last few days from folks who still haven’t done their 1099s. With that in mind, I am posting an instruction sheet that I email to many clients. I hope you find it helpful.

1. Bring up a Quick Report for all vendors who are eligible for a 1099 and double check how you coded their checks. You will need to write down all the codes you used so you can “map” accounts later.

2. Make sure all vendors who are eligible for a 1099 are marked as Independent Contractors in their profiles and that you have their soc sec numbers or EIN listed in their profile.

3. Map accounts
a. EDIT
b. PREFERENCES
c. 1099
d. Select NON EMPLOYEE COMPENSATION – BOX 7 to bring up the drop-down option
e. Scroll up to the top and select SELECTED ACCOUNTS
f. A new window will appear; place a check mark next to all the accounts you want to map (see #1).
g. Once you have finished, save & exit.

4. Go to REPORTS, 1099 SUMMARY and check the report to be sure that everyone appears and in the proper amounts under the heading Box 7, Non Employee Compensation.

5. If there are any balances under the uncategorized column, you have not captured all distribution accounts in the mapping process. Go back to #1.

6. If all is correct, then I always run the 1099’s on blank paper first.

7. If this works, then print Copy B for vendors; Copy C for your files, Copies 1&2 for State Agencies, and Copy A for IRS, however I never print that copy until after Feb 15th because if you have to print more because someone calls and says they should have gotten one or that they have a new address, then you have wasted the forms and if mailed already, you have to submit a revised report to FEDS.

8. Keep in mind that if you run all 1099’s and don’t run the 1096 immediately, then run an individual 1099 later, you should re-run the entire list of 1099s before you attempt to print the 1096. QuickBooks remembers the last run’s total and will print a 1096 for the last run….maybe only the total of the one you ran since you process the batch.

9. Run the 1096 on plain paper before you print the Federal copy…again you are double checking the accuracy before you use the transmittal.

10. Mail the 1096 transmittal and copy A of the 1099’s to IRS no later than 2.28.08. You can find the correct address on the 1096 transmittal. Do not fold, staple or otherwise mangle these forms…use a 9x12 envelope and put plenty of stamps….you want this to get there on time!

I hope this is helpful. If you have questions, drop me a line at jayne@quickbooksgal.com. Don’t forget to listen to our podcasts and check out our websites at http://www.quickbooksgal.com/ and http://www.custmbiz.com/.

Got a QuickBooks Mess? Call The QuickBooks Gal!

I'm Jayne Miller, The QuickBooks Gal. Thanks for listening!

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2008

QuickBooks R4 Update - Accountant's Copy/W-2 Issues

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions, Point of Sale and Peachtree users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Call The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in my series of “Quicklets” – informational podcasts about QuickBooks, Peachtree and related bookkeeping topics.

Today I want to let you know that there is an new QuickBooks Update; R-4 that will fix issues related to the Accountant's Copy Bank Reconciliation and W-2 processing that some of you may be experiencing. This is especially important to those of you who have clients for whom you process payroll and those of us who process our own payroll. QuickBooks 2008 R4 is now available both as an Automatic Update and a Manual Download.

Potential Error in Reconciliation in Accountant's Copy.

• This error will be prevented with R4. If the error has already been created, please see the Knowledge Base item KBID 1009092 for steps to fix the error.

Several Issues with QuickBooks Payroll and W-2.

• Without R4, users can make changes to the W-2 form but in some cases the changes aren't being saved.

• Or, clients can have problems creating W-2s for employees whose names begin with special characters. (NOTE: A QuickBooks Payroll subscription is required to access W-2s and other payroll forms.)

Both of these issues are addressed in R4.

I would like to remind everyone to back up. We're wrapping up 2007 bookkeeping and processing lots of end of year documents such as W-2, 1099, and Quarterly & Annual reports. Let's make sure we are backing up and protecting our work! If you are using an older version of QuickBooks (1999-2005) it's time to think about upgrading to QuickBooks 2008. This is especially important if you are processing Payroll or accepting Credit Cards through QuickBooks. Check out the money saving offers on my blog or visit quickbooksgal.com to shop in our online store.

Well, that’s it for now. I appreciate your time and hope you will join us again next time for another in our Quicklet© series. If there are topics you would like me to cover, send me an email at jayne@quickbooksgal.com. I welcome your ideas, questions, and comments.

Got a QuickBooks Mess? Call The QuickBooks Gal!

I’m Jayne Miller, The QuickBooks Gal. Thanks for listening.

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2008

Writing Off Short Payments or Bad Debt

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions & Point of Sale users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Ask The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in our series of “Quicklets” – informational podcasts about QuickBooks and related bookkeeping topics.

The other day a client called to ask me how she could write off some small short payments on customer accounts. Additionally, she had a couple of account that she wanted to write off to bad debt at the end of 2007. That is really simple if you use the Credits & Discounts button inside the window where you apply payments on accounts.

Here's how to do this:

1 - Open up the Receive Payments window and bring up the customer account you wish to affect. Then, date the transaction for the end of the accounting period you wish to affect. Note: I do this so I can easily find any adjustments I make...I always date my adjustments the last day of the month/year that they affect.


2 - Make sure that you do not enter an amount in the Amount section.

3 - Attempt to place a check mark next to the invoice in the ledger portion of the window that you wish to adjust. You will get an error message telling you that you don't have an amount designated...just tell the message OK. Note: in QuickBooks 2008, once you click on the invoice, the amount automatically fills in above. If this happens, blank out the amount window.


4 - Press the Discounts & Credits button in the lower portion of the window to bring up another window where you can select the amount to discount and the account to which you wish to assign the "write-of" amount.

5 - Enter the amount you wish to write off and then select the account. I use Customer Discounts when a customer underpays an invoice an I have chosen to write it off....generally I write off anything under $5.00. If you are writing off an noncollectable debt, then use Bad Debt Expense as your category.

Of course, you can always use a General Journal entry to accomplish this, however this method not only is simpler, it also reconciles the open balance on the invoice(s) you are writing off.

I hope you find this useful. If you need help or have questions, send me an email at jayne@quickbooksgal.com.

Last week, I did a podcast about the new I-9 forms that replaced the old forms on December 26, 2007. I hope you are all using those. Today, a lady came into my office looking for those forms...someone told her that she should come here for them. If you are looking for the new form, visit my blog for a link where you can download the form and the instructions or check out my podcast at blog.quickbooksgal.com.

I would like to remind everyone to back up. We're wrapping up 2007 bookkeeping and processing lots of end of year documents such as W-2, 1099, and Quarterly & Annual reports. Let's make sure we are backing up and protecting our work! If you are using an older version of QuickBooks (1999-2005) it's time to think about upgrading to QuickBooks 2008. This is especially important if you are processing Payroll or accepting Credit Cards through QuickBooks. Check out the money saving offers on my blog or visit quickbooksgal.com to shop in our online store.

Well, that’s it for now. I appreciate your time and hope you will join us again next time for another in our Quicklet© series. If there are topics you would like me to cover, send me an email at jayne@quickbooksgal.com. I welcome your ideas, questions, and comments.

Got a QuickBooks Mess? Call The QuickBooks Gal!

I’m Jayne Miller, The QuickBooks Gal. Thanks for listening.

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2007

New I-9 Employment Eligibility Verification

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions & Point of Sale users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Ask The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in our series of “Quicklets” – informational podcasts about QuickBooks and related bookkeeping topics.

Today I want to remind you of an important change to the New Form I-9 that you issue to your employees in order to document their employment eligibility.

Employers are required to begin using this new form effective December 26,2007. There are several significant changes, including a revised list of acceptable identity verification documents.

Employment Eligibility Verification

Purpose of Form :

All U.S. employers are responsible for completion and retention of Form I-9 for each individual they hire for employment in the United States. This includes citizens and non-citizens.

On the form, the employer must verify the employment eligibility and identity documents presented by the employee and record the document information on the Form I-9.

The list of acceptable documents has been amended in the 2007 version of the Form I-9 and can be found on page 4 of the forms.

Number of Pages :

4

Where to File :

Do not file Form I-9 with U.S. Immigrations and Customs Enforcement (ICE) or USCIS.

Form I-9 must be kept by the employer either for three years after the date of hire or for one year after employment is terminated, whichever is later.

The form must be available for inspection by authorized U.S. Government officials (e.g., Department of Homeland Security, Department of Labor, Office of Special Counsel).

You should have the latest version of the free Adobe Reader to download and use the 2007 version of Form I-9.

Please note the following changes to the Form I-9 process:

• Five documents have been removed from List A of the List of Acceptable Documents:

Certificate of U.S. Citizenship (Form N-560 or N-561)
Certificate of Naturalization (Form N-550 or N-570)
Alien Registration Receipt Card (I-151)
Unexpired Reentry Permit (Form I-327)
Unexpired Refugee Travel Document (Form I-571)

• One document was added to List A of the List of Acceptable Documents:

Unexpired Employment Authorization Document (I-766)

• All Employment Authorization Documents with photographs have been consolidated as one item on List A:

I-688, I-688A, I-688B, I-766

• Instructions regarding Section 1 of the Form I-9 now indicate that the employee is not obliged to provide his or her Social Security number in Section 1 of the Form I-9, unless he or she is employed by an employer who participates in E-Verify.

• Employers may now sign and retain Forms I-9 electronically. See instructions on page 2 of the Form I-9.

Note: The Spanish version of Form I-9, available below on this page, may be filled out by employers and employees in Puerto Rico ONLY. Spanish-speaking employers and employees in the 50 states and other U.S. territories may print this for their reference, but may only complete the form in English to meet employment eligibility verification requirements.

You can download English or Spanish forms using the following links:

• Download I-9
  
• Download I-9 (Spanish version)

You can also use the Department of Homeland Security's E-Verify to verify potential and current employees on line.

I hope you find this helpful. Look for more QuickBooks Gal podcasts on similar topics soon.

If you have questions or would like to suggest topics for future podcasts, drop me a line at jayne@quickbooksgal.com.
That's if for now. I'm Jayne Miller, The QuickBooks Gal. Thanks for listening.

Got a QuickBooks Mess? Call the QuickBooks Gal!

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2008

Recording Prepaid Expenses On A Monthly Basis

“Quicklet” - A Podcast for QuickBooks Pro, Premier, Enterprise Solutions & Point of Sale users featuring helpful information, tips, tricks and suggestions for bookkeepers, business owners, and consultants. Got a QuickBooks Mess? Ask The QuickBooks Gal!

Hi, I'm Jayne Miller, The QuickBooks Gal. Welcome to another in our series of “Quicklets” – informational podcasts about QuickBooks and related bookkeeping topics. I hope everyone had a great Holiday Season. It's great to be back for another wonderful year of Quicklets podcasts about bookkeeping & QuickBooks issues. Thanks again for joining me and for sticking with me for the last year +. I look forward to a great New Year!

Today I want to give you an example of how you will expense Prepaid Expenses when you pay for something such as a 1-year insurance policy in January and you want to spread the expense throughout the year on a monthly basis.

Recording Expenses in a Prepaid Account

You purchase an annual insurance policy in January and you prepay the 1-year insurance premium of $24,000 for insurance effective the same date and record it in Prepaid Insurance. There are two ways to record the Prepaid amount.

The first is to just write a check for $24,000 to the vendor and code it to Prepaid Insurance (this is an "Other Current Asset" account type on the Balance Sheet). If you have already recorded the check as an expense, in QuickBooks or Peachtree, you can simply find the check and change the account from Insurance Expense, for example to the prepaid insurance account. If you prefer to record the purchase as a journal entry, you can follow this example:

a. Using a journal entry, debit Prepaid Insurance and credit Cash.

Prepaid Insurance	24,000
Cash		24,000
This records the prepayment of 1-year premium

b. Then you will record the following adjusting journal entry on the (first or last day of each) month there after:

Insurance Expense	2,000
Prepaid Insurance		2,000
To record insurance January (for example. expense ($24,000 x 1/12)

* $24,000/12 months = $2,000 per month of insurance used

This adjusting entry debits Insurance Expense, increasing the balance by $2,000 to recognize the amount of insurance used up in each month-and credits Prepaid Insurance to reduce the account by the same amount.

This is a good example of how to record prepaid policies such as insurance or workman's comp at the time of payment and then, on a monthly basis, record the appropriate portion of the expense to the monthly financial picture.

I hope you find this helpful. Look for more QuickBooks Gal podcasts on similar topics soon. If you have questions or would like to suggest topics for future podcasts, drop me a line at jayne@quickbooksgal.com.

That's if for now. I'm Jayne Miller, The QuickBooks Gal. Thanks for listening.

Got a QuickBooks Mess? Call the QuickBooks Gal!

"You must remember this: You're braver than you believe, and stronger than you seem, and smarter than you think." --Christoper Robin

Jayne Miller, is the owner of Custom Business Solutions, is a consulting firm in Reno, NV that specializes in providing bookkeeping and software support. © 2007